Agreement between NSSMC and the PFTS: Stock exchange was obliged to eliminate violations

National Securities and Stock Market Commission (NSSMC) has entered into an agreement with PFTS Stock Exchange JSC to resolve the consequences of violating the relevant legislation.

This is the first such precedent in the capital markets and it became possible with the entry into force of the Law of Ukraine No. 3585-X on Improving State Regulation and Supervision of Capital Markets and Organized Commodity Markets.

The agreement stipulates that NSSMC ceases to prosecute PFTS Stock Exchange JSC for violation of the relevant legislation, and the exchange recognizes the fact of committing such an offense and undertakes to fulfill a number of requirements
– to bring its prudential indicators in line with the regulatory values by 28.02.2025 inclusive,
– voluntarily pay a financial sanction in the amount of UAH 50,000 within 10 calendar days from the date of the resolution.
Importantly, if the violation is not eliminated or cannot be eliminated, the PFTS exchange must apply for revocation of its license to organize trading in financial instruments.
It is worth reminding that for a long time PFTS Stock Exchange JSC did not take any resolutions to bring its activities in line with the current legislation. In addition, its capital liquidity ratios had a clear downward trend. In March, NSSMC drew up an act on capital market violations against PFTS.
The agreement was approved by a Resolution, which is available on NSSMC’s official website at https://www.nssmc.gov.ua/licensee/?edrpou=21672206#tab-8.