The imposition of an administrative sanction does not affect the reliability of the bank, which is the effective applicant for authorization and its ability to ensure sound and prudent management is not in question. As regards the conduct in question, the sanction procedure had already been initiated by the Bank of Italy.
Similar considerations hold for the temporary shortfall of the capital ratio, since, as noted earlier, this had been made good in full and the Bank of Italy had already initiated the administrative sanction procedure for violation of the rules on capital requirements.