The U.S. Securities Commission (SEC) settled charges against the Germany automaker and its two American subsidiaries, according to a press release. BMW disclosed misleading and inaccurate information on its sales volume in the U.S. to raise $ 18 billion in bond offerings. Manipulation related to 2015-2019 and raised BMW sales position unfavorably to other premium automobiles.
- “Companies accessing U.S. markets to raise capital have an obligation to provide accurate information to investors,” -Stephanie Avakian, Director of the Division of Enforcement.
- The SEC finds BMW AG, BMW NA, and BMW US Capital violated antifraud provisions of Sections 17(a)(2) and (3) of the Securities Act of 1933.
- Without admitting or denying the findings, the three companies agreed to pay an $18 million joint penalty and desist from future violations of provisions.
- BMW cooperated with the investigation despite the challenges posed by COVID-19 pandemic
- Settlement illustrates significant benefits of cooperation to companies in enhancing the quality and efficiency of SEC investigations.
BMW stock responding adversely to the news of settlement charges. BMW: XETR is down