MNB fined Molt for 43 million forints

The Hungarian National Bank (MNB) has imposed a fine of 43 million forints on MOL Nyrt., one of Hungary’s largest energy companies, over its failure to disclose critical information regarding the permanent shutdown of the Barátság oil pipeline. This decision comes as part of the MNB's ongoing supervisory activities aimed at ensuring transparency and compliance with market regulations among listed companies. According to the bank’s official statement, MOL was required to publicly communicate to investors about the pipeline’s closure and its plans to compensate for the loss of oil imports via alternative routes by February 12. However, the company delayed this disclosure until February 16, several days after the incident occurred.

The MNB’s investigation revealed that MOL had already taken steps outside its usual operational procedures starting February 11, indicating that the company had knowledge of the situation affecting its operations and potentially impacting the value of its shares. Despite this awareness, MOL did not make the necessary disclosures within the legally mandated timeframe. The delay meant that investors were deprived of timely information crucial to making informed investment decisions. As a result, the MNB issued a warning to MOL and levied a penalty of 43 million forints for non-compliance with the extraordinary disclosure obligations under the Capital Market Act.

The issue arose following an attack on the Barátság pipeline on January 27, 2026, which caused an unexpected and prolonged halt in oil deliveries to Hungary. This disruption forced MOL to seek alternative methods to ensure continued supply, including rerouting oil through other pipelines. While MOL eventually disclosed these developments on February 16, the delay raised concerns about potential regulatory violations. The MNB emphasized that the company should have communicated such significant changes immediately upon becoming aware of them, as per legal requirements.

In addition to the financial penalty, the MNB highlighted that MOL’s actions constituted a repeated breach of its duties, given previous instances where the company had failed to meet disclosure standards. This recurrence of non-compliance further underscored the need for stricter adherence to regulatory guidelines. The MNB also noted that some of the information related to the pipeline shutdown had been leaked before the official announcement, potentially disadvicing certain individuals who had prior knowledge of the situation. Although this raised suspicions of insider trading, the MNB concluded that there was insufficient evidence to initiate formal proceedings on that front. Instead, they opted to collaborate with the Budapest Police Headquarters, which is conducting criminal investigations into the matter.

The controversy surrounding MOL’s delayed disclosure gained attention when the Tőzsdei Egyéni Befektetők Érdekvédelmi Szövetsége (TEBÉSZ), an organization representing individual investors, filed a complaint with the MNB. TEBÉSZ alleged that MOL’s executives might have engaged in insider trading during the period between January 27 and February 16, when the company had not yet officially announced the pipeline shutdown. According to calculations by the 444.hu media outlet, three senior MOL executives sold large quantities of their company shares during this time frame. These sales reportedly generated approximately 1.26 billion forints in revenue for the individuals involved. Notably, two of the executives sold all their MOL shares, while another disposed of nearly 91% of his holdings.

Despite these allegations, the MNB’s final assessment indicated that the evidence was not strong enough to pursue insider trading charges against MOL. Nevertheless, the bank reiterated its stance that the company must comply strictly with disclosure obligations moving forward. The case highlights the importance of transparency in corporate communications, particularly for major players in the energy sector whose decisions can significantly impact both national energy security and investor confidence. The MNB’s decision serves as a reminder to all listed companies of the necessity to adhere to regulatory frameworks designed to protect the interests of shareholders and maintain fair market practices.