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Italy's market watchdog fines LVMH executive over Bulgari deal

Published 11/02/2016, 10:52 AM
Updated 11/02/2016, 11:00 AM
© Reuters. Logos of the Louis Vuitton brand are seen outside a Louis Vuitton store in Bordeaux
LVMH
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MILAN/PARIS (Reuters) - Italy's market watchdog has fined LVMH (PA:LVMH) managing director Antonio Belloni 350,000 euros ($388,185.00) for divulging confidential information to a fund manager before the luxury group's 2011 acquisition of jeweler Bulgari.

Belloni informed Alessandro Sonvico, an asset manager at Swiss-based wealth manager Pentagram, of an upcoming LVMH offer for Bulgari shares, Consob said in a statement on Wednesday. Consob also said it had fined Sonvico 350,000 euros.

Belloni denies the charges against him and LVMH said he would appeal the Consob decision.

"Mr. Belloni notes the administrative decision by Consob which he has decided to appeal, challenging all aspects of the charges against him," Belloni's lawyers said.

No-one at Pentagram was immediately available to comment. Sonvico did not immediately respond to a Reuters request to comment via Linkedin.

Consob also said Belloni was barred from holding any management role in a listed company for eight months.

LVMH said that according to its French and Italian lawyers, none of the positions held by Belloni would be affected by the Consob decision.

"LVMH, which has been fully informed by Antonio Belloni throughout, maintains full confidence in its group managing director whose loyalty and integrity have been constant features since he first joined the Group in 2001," the group said in a statement.

© Reuters. Logos of the Louis Vuitton brand are seen outside a Louis Vuitton store in Bordeaux

($1 = 0.9011 euros)

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