Major Banks Fined for Cartel Activities in European Government Bonds Market

The Court of Justice of the European Union (CJEU) has confirmed the European Commission's decision to impose fines totaling €371 million on Nomura, UBS, and UniCredit. These penalties were for their involvement in a cartel that manipulated the market for European government bonds (EGBs) between 2007 and 2011.

Reductions and Exemptions in Penalties

While the fines for Nomura and UniCredit were slightly reduced, the court largely upheld the Commission's ruling. Notably, Bank of America, Natixis, and NatWest escaped penalties due to legal time limits or their cooperation with authorities. Portigon's fine was completely waived because of its financial losses.

Court's Stance on Cartel Practices

The CJEU reinforced the view that the cartel's activities, including price-fixing, market sharing, and customer allocation, were detrimental to competition. The court ruled that the Commission did not need to demonstrate the direct market impact of these practices, underscoring their inherent harm to the competitive landscape.