The AFM issued an order under pain of penalty on 13 September 2012 to Hypothecaire Vastgoed Obligaties III en IV ("HVO"), part of Regge Vastgoed.

The AFM was of the opinion that HVO had been negligent in failing to provide information to investors. According to the AFM, HVO failed to disclose that the HVO III fund had not obtained a bank guarantee to secure interest payments, even though the prospectus stated that it did have this guarantee. The HVO III and IV funds together raised EUR 3.2 million from investors, of which EUR 1.5 was transferred to Regge Zekerheidsholding BV instead of HVO Germany, contrary to what the prospectus stated.

The AFM also ordered that balance sheet positions and available liquid assets of various companies be disclosed so that bond holders could determine their position.

HVO applied for summary relief against the AFM's order, but this application was rejected.