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The AMF to call for an amendment of the law on obstructing investigations and inspections

AI Analysis

Executive Summary

The AMF announced its intention to propose legislative amendments to the French Monetary and Financial Code following a January 28, 2022 Constitutional Council decision that found dual prosecution for obstructing AMF investigations and inspections unconstitutional. The amendment aims to eliminate the possibility of simultaneous administrative and criminal penalties for the same obstruction conduct, while preserving the AMF's enforcement authority.

What Changed

The primary regulatory change addresses a constitutional violation regarding dual prosecution under the ne bis in idem principle: - Current problem: The Monetary and Financial Code previously allowed both administrative sanctions by the AMF Enforcement Committee and criminal prosecution for identical obstruction conduct, violating the constitutional prohibition against double jeopardy. - Proposed solution: Legislative amendments will eliminate the possibility of dual prosecution while maintaining the AMF's ability to sanction obstruction of investigations and inspections. - Scope of obstruction conduct: The law covers refusal to allow access to documents, provide copies, communicate information, respond to summons, or grant access to professional premises during AMF investigations or in

What You Need To Do

  • *For compliance professionals and regulated entities
  • *Review cooperation policies
  • *Assess ongoing proceedings
  • *Monitor legislative developments
  • *Counsel on cooperation
  • *Document compliance

Key Dates

January 28, 2022 - Constitutional Council decision declaring dual prosecution unconstitutional
No specific implementation deadline stated - AMF committed to proposing amendments "as soon as possible"
Current status (as of January 2026) - Amendments appear to be in legislative proposal stage; no effective date yet announced

Compliance Impact

Urgency: MEDIUM

Who is Affected

*Direct impact:Entities and individuals subject to AMF investigations or inspectionsInvestment management companies and their officersThird parties (auditors, depositories, clients) who may be requested to provide informationCompanies in regulated sectors under AMF supervision*Indirect impact:Legal counsel advising clients on AMF cooperation obligationsCompliance functions managing investigation responses

Summary

Sanctions & settlements Journalists The AMF to call for an amendment of the law on obstructing investigations and inspections

Relevant Firm Types

Asset ManagerBroker DealerAll Firms
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