Financial supervision According to Fiva, the investment services company violated the law, now the court rejected Privanet Capital Markets’ complaint for a penalty payment of 450,000 euros

Helsinki The Administrative Court has rejected Privanet Capital Markets Oy’s appeal against a fine of EUR 450,000 imposed by the Financial Supervisory Authority.

According to the decision of the Financial Supervision Authority, in 2015–2017 Privanet Capital Markets Oy had violated and neglected several provisions of the Securities Markets Act and the Investment Services Act.

The company had provided several untrue and misleading information when marketing and selling the shares of Lapis Rakennus Holding Oy and the debt securities of Lapis Rakennus Oy. In addition, the company had failed to fulfill its obligations in managing conflicts of interest.

On appeal, Privanet Capital Markets sought the annulment or reduction of the penalty payment.

The Helsinki Administrative Court dismissed the appeal on 1 February. The Administrative Court considers that in its decision the Financial Supervision Authority has taken due account of the factors related to the overall assessment of the amount of the common penalty payment and may, in the exercise of its discretion, set the total penalty payment at EUR 450,000.

The decision of the Administrative Court is not final.

Also Privanet executives at the time of the incident have been charged with a securities market misconduct.

The accused are the company’s former chairman of the board Roy Harjuformer CEO Matti Heiskala and two other leaders.

Privanet Capital Markets The investment service company’s license was revoked at the company’s own application in October 2020. The current business name of Privanet Capital Markets Oy is PCM Holding Oy.

The company’s former parent company, Privanet Group, has divested its ownership of PCM Holding.

Last year, Privanet Group merged with infrastructure developer Skarta, and the merged company was renamed Skarta Group.

Those accused of information misconduct are not employed by Skarta Group.