Facts
The appellants, nine companies and one natural person, were convicted by the Swiss Financial Market Supervisory Authority (FINMASA) for professionally accepting public deposits without authorization. FINMASA opened bankruptcy proceedings against two of the companies and imposed an advertising ban on the natural person. The appellants requested the cancellation of the bankruptcy opening and the advertising ban.
FINMASA had initiated an investigation against the companies and found that they had accepted public deposits without authorization. The companies had proposed to secure the investors' loans through an ordinary liquidation, but FINMASA insisted on opening bankruptcy proceedings.
The Federal Administrative Court dismissed the companies' appeal, and they filed an appeal with the Federal Court. They argued that the bankruptcy opening was disproportionate and that FINMASA had violated the principle of good faith.
Considerations
The Federal Court examined the appeal and came to the conclusion that FINMASA was authorized to order the bankruptcy opening. The companies had accepted public deposits without authorization and were over-indebted. FINMASA had not violated the principle of good faith, as the companies had been informed of the risks of bankruptcy opening.
The Federal Court also found that the advertising ban against the natural person was…