Bucharest, September 16th, 2022 - In August 2022, the Council of the Financial Supervisory Authority adopted several decisions imposing sanctions on entities/persons operating in the non-banking financial market for violation of some provisions of the relevant legislation.
CAPITAL MARKET
Compania Hotelieră Intercontinental România S.A. - Mr. Bogdan Alexander Adamescu, in his capacity as Chairman of the Board of Directors and legal representative of Compania Hotelieră Intercontinental România S.A., was fined by 12,500 lei for failure to comply with the obligation to properly inform investors about the company's financial statements relating to the financial year 2020.
Unirea Shopping Center S.A. - Mr. Bogdan Alexander Adamescu, in his capacity as Chairman of the Board of Directors and legal representative of Unirea Shopping Center S.A., was fined by 11,600 lei, for failure to comply with the obligation to properly inform investors about the company's financial statements for the financial year 2020.
Electroconstrucția Elco S.A. Alba Iulia - Mr. Dorin Bărbănțan, as Chairman of the Board of Directors of Electroconstrucția Elco S.A. Alba Iulia, was fined by 10,800 lei, for failure to comply with the obligation to properly inform investors about the company's financial statements for the financial year 2020.
Mecanica Fină S.A. - Mr. Mollo Sergio, in his capacity as Chairman of the Board of Directors - General Manager of Mecanica Fină S.A. and signatory of the reports submitted by the company, was fined by 10,800 lei, for failure to comply with the obligation to properly inform investors about the company's financial statements for the financial year 2020.
Comcereal S.A. Slobozia - Mr. Marian Bălan, as Chairman of the Board of Directors of Comcereal S.A. Slobozia, was imposed a warning for failure to comply with the obligation to properly inform investors about the financial statements of the company for the year 2020.
IOR S.A. - Mr. Oancea Daniel, in his capacity as General Manager of IOR S.A., was imposed a warning for failure to comply with the obligation to properly inform investors about the company's financial statements for the financial year 2020.
EL-CO S.A. Tg. Secuiesc - Mrs. Nanca Viorica, as Chairman of the Board of Directors of EL-CO S.A. Tg. Secuiesc, was imposed a warning for failure to comply with the obligation to properly inform investors about the company's financial statements for the year 2020.
Conex Prahova S.A. - Mrs. Jullieta Mihai, in her capacity as Chairman of the Board of Directors of Conex Prahova S.A., was imposed a warning for failure to comply with the obligation to properly inform investors about the company's financial statements for the year 2020.
Sticloval S.A. - Mrs. Ecaterina Popescu, in her capacity as Chairman of the Board of Directors of Sticloval S.A., was imposed a warning for failure to comply with the obligation to properly inform investors about the company's financial statements for the year 2020.
Vinalcool Argeș S.A. - Mr. Marian Drăgușin, as Chairman of the Board of Directors of Vinalcool Argeș S.A., was imposed a warning for failure to comply with the obligation to adequately inform investors about the company's financial statements for the year 2020.
Utiliteh Services S.A. - Mr. Lucian Constantin Ciofoaia, as Chairman of the Board of Directors of Utiliteh Services S.A., was imposed a warning for failure to comply with the obligation to adequately inform investors about the company's financial statements for the financial year 2020.
Sinter Ref S.A. - Mr. Osman Zeiti, in his capacity as Chairman of the Board of Directors of Sinter Ref S.A., was imposed a warning for failure to comply with the obligation to properly inform investors about the company's financial statements for the year 2020.
Evergent Investments S.A. - Following the results of a periodic audit at Evergent Investments S.A., Mrs. Michaela Pușcaș, as compliance officer, was cautioned. The deficiency found concerned certain aspects of the rules for the valuation of AIF assets. At the same time, a plan of measures was imposed on the company to remedy certain deficiencies.
SIF Oltenia S.A. - Following the results of a periodic inspection at SIF Oltenia S.A., the following sanctions/measures were ordered:
At the same time, a plan of measures to remedy certain deficiencies was imposed on the company.
The main weaknesses found concerned some aspects of the procedural/organisational framework and the management of operational risks generated by the IT systems used.
UniCredit Bank, as depositary - Following the results of a periodic audit at UniCredit Bank, the following measures were ordered:
INSURANCE
Euroins Romania Asigurare-Reasigurare S.A. - the company was fined by 1,023,200 lei for failure to comply with the provisions of Law no. 237/2015 on the authorization and supervision of insurance activity. The following measures were imposed on the company: within 3 months from the date of receipt of the decision, the company shall report on the implementation of the measures taken regarding the governance of the investment activity, as well as on the way it has taken into account the recommendations of the control team contained in the minutes. The company was also fined by 333,373 lei for non-compliance with the provisions of GEO no. 93/2012 on the establishment, organization and functioning of the Financial Supervisory Authority with subsequent amendments and additions.
Allianz-Tiriac Asigurări S.A. - the company was sanctioned with a written warning for violation of the provisions of Art. 35 para. (2) of A.S.F. Rule no. 13/2019 regarding the failure to submit the Audit Committee's activity report for the year 2021 within 6 months of the end of the financial year.
BRD Asigurări de Viață S.A. - the company was fined by 129,000 lei for failure to comply with the provisions of Law no. 129/2019 on preventing and combating money laundering and terrorist financing, with subsequent amendments and additions, in terms of failure to update within the legal deadline the internal procedures and policies relating to the implementation of the aforementioned law.
Grawe România Asigurare S.A. - The company was sanctioned with a written warning for the late payment of the compensation due in the case of 3 damage files, respectively for violation of the provisions of art. 21 para. (4) of the Law no. 132/2017 on compulsory motor third party liability insurance for damage caused to third parties by vehicle and tram accidents, as amended.
PRIVATE PENSIONS
BRD - Groupe Société Générale S.A., as a private pension intermediary, was sanctioned with a written warning for identifying deficiencies in operational processes related to the marketing of private pension funds.
BRD Societate de Administrare a Fondurilor de Pensii Private S.A. was fined by 553,900 lei and was given a written warning, for the fact that it did not ensure, in accordance with the law, the application of adequate and effective internal verification mechanisms necessary, in accordance with the size, nature and complexity of its activity, as regards the control of the data in the company's balance sheets. At the same time, the company did not ensure that all documents for internal use were recorded.
Madam Alina Cecilia Andreescu, in her capacity as General Manager of BRD Societate de Administrare a Fondurilor de Pensii Private S.A. , during the period under review, was fined by 67,800 lei and received a written warning, for non-compliance with legal provisions regarding certain operational flows, such as: updating of participants' data, punctual situations of late payments to beneficiaries, publication of financial statements with erroneous data, errors in reporting and informing participants, etc.
Madam Adriana Mîndrilă, as the person who managed the internal audit structure of BRD Societate de Administrare a Fondurilor de Pensii Private S.A. during the audited period, was fined by 2,100 lei as a result of not having planned and carried out, during the audited period, audit missions to determine the effectiveness and adequacy of the administrator's mechanisms and procedures with regard to the company's own accounting activity.
Madam Elena-Mihaela Pruteanu, in her capacity as the person who, during the period under review, managed the internal control structure of BRD Societate de Administrare a Fondurilor de Pensii Private S.A., was fined by 2,100 lei as a result of the fact that she did not regularly monitor and verify the proper application of the provisions of the regulatory acts, specific to the activity of managing private pension funds, and of the internal procedures, in order to keep track of the irregularities discovered, she did not make every effort to prevent any situation of violation of the provisions of the applicable regulatory acts or of the internal procedures of the administrator and did not formulate proposals for firm measures to remedy the situations of non-compliance.
Madam Maria-Alina Petru, as the person in charge of the internal control structure within NN Pensii Societate de Administrare a unui Fond de Pensii Administrat Privat S.A., was fined by 1,600 lei as a result of her failure to adequately fulfil her duty to monitor the company's compliance with the measures ordered by the A.S.F.
NN Pensii Societate de Administrare a unui Fond de Pensii Administrat Privat S.A. - Following the results of an unannounced inspection at NN Pensii Societate de Administrare a unui Fond de Pensii Administrat Privat S.A., the following measures were ordered:
At the same time, a plan of measures to remedy certain deficiencies/mitigate certain risks was imposed on the company. The main weaknesses identified concerned governance issues, the work of a key function, the procedural framework and operational activity.
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About the Financial Supervisory Authority
The Financial Supervisory Authority is the national authority, established in 2013 by GEO 93/2012 approved by Law 113/2013, for the regulation and supervision of the insurance, private pension and capital markets. The FSA contributes to strengthening the integrated framework for the functioning of the three sectors, which together account for more than 10 million participants. More information can be found at www.asfromania.ro.
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