Investment Funds, Companies and Miscellaneous Provisions Act 2005
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Untrue statements and omissions in prospectus: criminal liability. |
48.—(1) Where a prospectus is issued and— | |
(a) includes any untrue statement, or | ||
(b) omits any information required by EU prospectus law to be contained in it, | ||
any person who authorised the issue of the prospectus (not being the competent authority designated under Irish prospectus law) shall be guilty of an offence unless he or she proves— | ||
(i) as regards an untrue statement, either that the statement was, having regard to the circumstances of the case, immaterial or that he or she honestly believed and did, up to the time of the issue of the prospectus, believe that the statement was true, or | ||
(ii) as regards any information omitted, either that the omission was, having regard to the circumstances of the case, immaterial or that he or she did not know it, or | ||
(iii) that the making of the statement or omission was otherwise such as, having regard to the circumstances of the case, ought reasonably to be excused. | ||
(2) A person guilty of an offence under this section shall be liable— | ||
(a) on summary conviction, to a fine not exceeding €5,000 or imprisonment for a term not exceeding 12 months, or | ||
(b) on conviction on indictment, to a fine not exceeding €1,000,000 or imprisonment for a term not exceeding 5 years or both. | ||
(3) Summary proceedings for an offence under this section may be brought and prosecuted by the competent authority designated under Irish prospectus law. | ||
(4) A person shall not be deemed for the purposes of this section to have authorised the issue of a prospectus by reason only of his or her being an expert having given the consent required by section 45 to the inclusion therein of a statement purporting to be made by him or her as an expert. | ||
(5) If at a trial for an offence under this section or an offence created by Irish prospectus law, the judge or jury has to consider whether the defendant honestly believed a particular thing or was honestly mistaken in relation to a particular thing, the presence or absence of reasonable grounds for such a belief or for his or her having been so mistaken is a matter to which the judge or jury is to have regard, in conjunction with any other relevant matters, in considering whether the defendant so believed or was so mistaken. |