• SWE FI imposed fine of SEK 5,000 to BNP Paribas due to failure to notify on time a short net position in shares in SAS AB achieved relevant threshold for notification.
• Based on §5 of Act [2012:735] with supplementary provisions of EU short selling reg.

Overview

• BNP Paribas notified short net position in shares in SAS AB reached relevant threshold of 0.4% on 12 April 2018; report received by SWE FI on 13 April 2018 at 15.59.
• On May 21, 2019, FI raised the question of whether notification had been received late and if the company must therefore pay a special fine.
• Company stated it submitted first notification on time but it contained a typo; SWE FI informed the company of the error on 13 April 2018 at 15:34, company submitted new notification on same day at 15:59.
• If notification re threshold values below 0.5% is 1 trading day late, per standard model, the basic fee payable by a legal entity will be 10,000 kronor.
• According to SWE FI's assessment, breach was considered small as notification was received on the same day as registration would take place but after 15:30.
• The special fee can thus be reduced to half i.e. to 5,000 kronor; also states there are no special reasons to waive the fee however, the fine can be appealed.