Section 2: Offences relating to collective investments

The directors of a management company are liable to a fine of €30,000 if they : 1° Failing to comply with Article L. 214-101 ; 2° Failing to submit the documents provided for in the first two paragraphs of Article L. 214-109 to the General Meeting for approval.

Any person shall be liable to two years’ imprisonment and a fine of €9,000 if he or she: 1. Preventing a shareholder from attending a meeting ; 2. Participating in a vote at a meeting by falsely representing himself as a shareholder, either directly or through an intermediary; 3. Obtaining, guaranteeing or promising advantages for voting a certain way or for not taking part in the vote, or granting, guaranteeing…

Failure by the directors of a management company to request the appointment of one or more of the company’s statutory auditors is punishable by two years’ imprisonment and a fine of 9,000 euros.

It is punishable by six months’ imprisonment and a fine of 9,000 euros for any person, in his own name or as a partner in a company of statutory auditors, to accept, perform or retain the duties of statutory auditor notwithstanding the legal incompatibilities provided for in the second paragraph of Article L. 214-110.

It is punishable by five years’ imprisonment and a fine of 18,000 euros for a statutory auditor, in his own name or as a partner in a company of statutory auditors, to give or confirm false information about the situation of the non-trading property investment company or to fail to disclose to the public prosecutor any criminal offence of which he has knowledge. Articles 226-13 and 226-14 of the Criminal…

It is punishable by five years’ imprisonment and a fine of 18,000 euros for the directors of the management company or any person in the company’s employ to obstruct the statutory auditors’ verifications or controls or to refuse to provide them with all documents required for the performance of their duties.

It is punishable by five years’ imprisonment and a fine of 9,000 euros for the liquidator to use, in bad faith, the assets or credit of the company in liquidation in a way that he knows to be contrary to its interests, for personal purposes or to favour another company or business in which he has a direct or indirect interest.

The directors of a management company are liable to two years’ imprisonment and a fine of 750,000 euros if they carry out their duties without the company’s authorisation from the Autorité des marchés financiers, or after this authorisation has been withdrawn.