A Monaco company has been given a hefty fine for abuse of confidence. Monaco Yachting & Technologies must pay €90,000 and €20,000 in damages and interest following a ruling against the firm by Monaco’s criminal court.
The company had been entrusted with €2.65 million towards the cost of building a yacht, a sum that should have been lodged in a special account.
However, although the initial agreement for the building of the vessel was signed in 2008, the client, a company registered in the Isle of Man, had complained that the money paid as a deposit had been used by Monaco Yachting & Technologies for general expenses. Despite repeated attempts to resolve the matter without resorting to the courts, the client brought the case before the criminal court in Monaco.