Deutsche Borse has accepted fines amounting to €10.5 million (£9.4 million) that were issued by a court in Frankfurt after an insider trading case that involved Carsten Kengeter, the former boss of the German stock exchange.
Last night, Deutsche Borse said, The court imposed a €5 million fine on the company for an alleged breach of the insider trading ban way back in December 2015 and an addtional €5.5 million for failing to make a public announcement in January 2016.
It said that the District Court of Frankfurt am Main had terminated its probe in Kengeter as a person and that Deutsche Borse had been imposed with a fine as an “ancillary party.” The firm declined to provide further information since he was no longer connected with the company.
The inquiry was launched when it emerged that Kengeter acquired some shares in Deutsche Boerse in December 2015 just two months before the firm announced that it was in negotiations to merge its operations with the London Stock Exchange, a merger which has fallen through eventually.
In a statement, Deutsche Boerse stated: “The company remains firmly convinced that the allegations were unfounded.”
It addeD: “However, after a detailed examination and weighing all relevant aspects, Deutsche Boerse AG concluded that a termination of the proceedings on this basis is in the best interest of the company.”
Kengeter stepped down in October 2017 amid the probe. He has denied any wrongdoing and has said that he acquired the shares through an official executive compensation programme.