Judge rejects request for investigation into Philips in sleep apnea affair

The Dutch Enterprise Chamber has rejected a request for an official inquiry into Philips regarding its handling of the 2021 sleep apnea device recall. Investors had sought the investigation, claiming the company failed to timely inform the market about degrading foam issues in millions of ventilators, which led to significant stock price drops and financial losses. However, the court concluded there were no grounds to suggest that Philips provided incorrect or misleading information to the public at the time.

While the court acknowledged the financial impact on shareholders, it clarified that this ruling does not determine liability for potential damages or company fault. Philips welcomed the court's decision, emphasizing its ongoing focus on patient care and operational plans. In response, the Dutch Investors Association, VEB, stated it will study the ruling closely to evaluate further options for protecting the interests of affected shareholders, noting that the financial harm caused by the incident remains a major concern for investors.