Italy's markets watchdog CONSOB has imposed sanctions on Petrofac Ltd. CEO Ayman Asfari, including a €300,000 (US$ 354,075) fine, in relation to dealing in shares of an Italian company, Petrofac said on Aug. 24.
The investigation by the Italian National Commission for Companies and the Stock Exchange (CONSOB) concerned a transaction made in 2012 involving the shares of a listed Italian company, Asfari said.
“The premise of CONSOB's case was that I met with an Italian executive who provided inside information. I can show irrefutable evidence that such a meeting never took place,” he said.
Asfari added that he did not receive a notification from CONSOB of the charges and therefore did not have the chance to defend himself.
Asfari informed Petrofac that he believed the decision to be wholly without merit and is determined to contest the decision and the process by which it was conducted to the fullest possible extent, Petrofac said.
The sanctions include a 12-month disqualification from taking up a management role with any Italian-listed company and an order confiscation property with a value of €385,000 (US$ 454,315).
Petrofac's Chairman, Rijnhard van Tets, said the board fully supported Asfari in his defense against the decision.
Petrofac is under investigation by Britain's Serious Fraud Office for its dealings with Monaco-based Unaoil, which Petrofac said it had engaged with primarily in Kazakhstan to provide local consultancy services from 2002 to 2009.
Petrofac's shares traded down 2.3% at 429.7 pence (US$ 5.51) at 6:44 a.m. CDT following the statement made by Petrofac.