CAN THE DISMISSAL OF CRIMINAL PROCEEDINGS PRECLUDE – IN ACCORDANCE WITH THE NE BIS IN IDEM PRINCIPLE – THE IMPOSITION OF ADMINISTRATIVE SANCTIONS?
In its judgment of 6 July 2023, the Court of Appeal of Milan, Civil Division, responded positively to the question by once again addressing the issue of the relationship between criminal proceedings and Consob sanctioning proceedings on insider trading.
In the administrative proceedings, Consob (the Italian Supervisor) had charged an insider trader with violation of Article 187-bis, paragraph 1, letter b) of the Consolidated Law on Finance, imposing interdictory and pecuniary sanctions at the outcome of the administrative proceedings.
In the meantime, for the same facts, Consob had sent a notice of offence for the crime under Article 184 of the Consolidated Law on Finance to the competent Prosecutor’s Office, which then commenced criminal proceedings that ended with a decree of dismissal by the Judge for Preliminary Investigations pursuant to Article 409 of the Code of Criminal Procedure.
