SIX confirms fine on GAM Holding AG is final and legally binding

Maria Nikolova

GAM Holding AG has accepted the decision of the Sanctions Commission of SIX Swiss Exchange and has waived its right to appeal.

Further to its decision from January 2020 to impose a fine of CHF 400,000 on GAM Holding AG for breaching IFRS accounting standards, the Sanctions Commission of SIX Swiss Exchange today confirms the fine is final and legally binding.

SIX explains that, following the announcement of the fine, GAM Holding AG has accepted the decision of the Sanctions Commission and has waived its right to appeal.

The fine is related to GAM’s acquisition of Cantab Capital Partners. In particular, it was claimed that GAM Holding AG had failed to recognize a financial liability in the consolidated balance sheet of the 2017 IFRS annual financial statements. Furthermore, GAM Holding AG had not included the effects of the revaluation of the financial liability in the consolidated income statement of the 2017 IFRS annual financial statements.

In connection with the acquisition of Cantab Capital Partners, GAM Holding entered into a contractual obligation to pay a share of future performance fees to the previous owners for an indefinite period of time. GAM Holding AG did not recognize this contractual obligation as a financial liability at the acquisition date and at subsequent balance sheet dates. Instead, GAM Holding disclosed it as a contingent liability.

The Sanctions Commission has determined the obligation in question as a financial liability under IFRS accounting standards, which must be recognized in the balance sheet and remeasured at each reporting date. The Sanctions Commission qualified the breach of the applicable IFRS rules as a significant violation that was committed negligently.

As a result, the Sanctions Commission imposed a fine of CHF 400,000 on GAM Holding AG. The decision of the Sanctions Commission is now final and legally binding given that GAM Holding AG has waived its right to appeal.

Read this next

blockdag

Top 5 ICOs that are Likely to Explode in the Current Bull Run 2024

Explore top upcoming ICOs: BlockDAG, GBTC, TUK, SCOTTY, and SPONGE. Learn about their potential high returns and unique features.

blockdag

BlockDAG’s Revolutionary Dev Release 36: Off-Chain PoW and a $30 Projection by 2030

Explore BlockDAG’s latest off-chain PoW innovation and its $32M presale success. Projected to reach $30 by 2030.

blockdag

30,000x ROI Potential: BlockDAG Secures $33.5M in Presale, Outruns Retik Finance’s Bitmart Performance

Uncover how BlockDAG’s impressive $33.5M presale and its innovative platform draw investors away from Retik Finance following the Bitmart listing.

blockdag

IT Professional Switches to Lucrative Crypto Mining Entrepreneur with BlockDAG’s Advanced Mining Technology

Learn how an IT pro turned Litecoin mining into a fortune. See if BlockDAG can match this with advanced mining tech and 30,000X ROI potential.

blockdag

May 2024 Crypto Spotlight: Why Whales Are Choosing BlockDAG Over Retik Finance, Will CoinW & P2B Listing Save $RETIK?

Uncover why BlockDAG is winning over smart investors in May 2024, and surpassing Retik Finance’s performance on exchanges like CoinW and P2B.

blockdag

Ethereum Leads Altcoins Toward a Huge Rally: Expert Top Picks for Altseson Unveiled

A fresh surge in alternative cryptocurrencies is building momentum as Ethereum leads the charge.

Chainwire

BEVM Unveils Groundbreaking Taproot Consensus for Decentralized Bitcoin Layer 2 Solution

On May 20, 2024, the Bitcoin Layer2 development team BEVM released the technical yellow paper titled “Taproot Consensus: A Decentralized BTC Layer2 Solution.”

blockdag

AI Cryptos to Pump Hard After NVIDIA’s Q1 Earnings 📊

The recent earnings from a tech giant have hinted at a significant upswing for AI-focused cryptocurrencies.

Retail FX

Weekly Roundup: Republican to end Fed, Bankman-Fried moves to California

Let’s take a look back at top stories that dominated the financial markets in our Weekly Round coverage. This week’s digest takes a deep dive into the most recent events and trends within the Forex, Fintech, and cryptocurrency.

<