Sanctions in the financial markets
In Finland, the system of sanctions in the financial markets is largely based on EU legislation. Member States are obliged to issue provisions on the administrative sanctions that can be imposed in the event of a breach of either the directly applicable provisions of EU regulations or the national provisions transposing EU directives.
Member States may, if they so wish, issue provisions on criminal sanctions instead of administrative sanctions. As a rule, Member States may use their discretion in deciding whether they want to lay down provisions on liability for damages.
In Finland, the system of sanctions in the financial markets is based on the broad scope of application of the administrative sanctions in accordance with EU legislation. The possible administrative sanctions are an administrative fine, a public warning and a penalty payment. A penalty payment may amount to at most 15% of the group's turnover for legal persons and to EUR 5 million for natural persons.
Administrative sanctions are imposed by the Financial Supervisory Authority. A decision of the Financial Supervisory Authority to impose a sanction may be appealed against to the Helsinki Administrative Court.
Some of the most serious acts and neglects have also been criminalised either in the legislation governing the financial markets or in the Criminal Code. For example, chapter 51 of the Criminal Code contains provisions on the abuse of insider information, market price distortion, and security market information offence. Several statutes governing the financial markets also contain provisions on liability for damages.