Reflections on Judgment No. 10228 of 2024: Administrative Sanctions and Distinct Proceedings

The judgment no. 10228 of April 16, 2024, by the Court of Cassation represents an important reference point for the regulation of administrative sanctions, particularly regarding the consolidation of distinct proceedings initiated against the same individual. With this ruling, the Court confirmed that the consolidation of sanctioning proceedings is merely optional, an aspect that has sparked extensive debate among experts and professionals in the legal field.

The Regulatory Context

The central issue addressed by the Court fits within the regulatory framework outlined by Legislative Decree no. 58 of 1998 and Consob Regulation no. 18750 of 2013. These legal instruments establish the modalities for the application of administrative sanctions by the National Commission for Companies and the Stock Exchange (Consob). In particular, Article 7 of the aforementioned regulation clarifies that the consolidation of proceedings is optional and regulates only subjective cumulation, not violations by the same person.

Administrative sanctions - Sanctions issued following the procedure of Article 195 of Legislative Decree no. 58 of 1998 - Consolidation of distinct proceedings initiated against the same individual concerning the same disputed events - Necessity - Exclusion - Foundation - Consequences - Appeal to the Court of Cassation - Criticism concerning the failure to consolidate proceedings concerning sanctions against the same individual - Admissibility - Limits. In the field of administrative sanctions imposed by Consob, the consolidation of distinct proceedings initiated against the same individual concerning the same disputed events is merely optional under Article 7 of Consob Regulation no. 18750 of 2013, which governs only subjective cumulation and not cases of violations committed by the same person; thus, the failure to consolidate distinct proceedings brought against the same individual is not subject to review in the appeal to the Court of Cassation, provided that in each proceeding, the charges have been contested and any defenses by the interested party have been considered, with each measure applied by the administrative authority then subjected to subsequent full judicial review.

The Implications of the Judgment

The Court's decision has significant implications for the parties involved in administrative sanction proceedings. In particular, it establishes that the failure to consolidate distinct proceedings cannot be contested in the appeal, as long as appropriate charges have been made in each of them and any defenses have been considered. This implies that sanctioned individuals must face each proceeding separately, with the possibility of appealing against each sanctioning measure.

  • Optionality of the consolidation of sanctioning proceedings.
  • Necessity of appropriate charges in each proceeding.
  • Possibility of appeal for each sanctioning measure.

Conclusions

In conclusion, judgment no. 10228 of 2024 provides a clear interpretation of the regulations concerning administrative sanctions, highlighting the optionality of consolidating distinct proceedings. This aspect can significantly influence the defensive strategy of lawyers and the planning of legal actions to be undertaken by the individuals involved. It is essential that the interested parties understand the implications of this ruling and adequately prepare to face the legal challenges that may arise from managing multiple sanctioning proceedings.

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