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An Announcement from the Capital Market Authority regarding the decision issued by The Appeal Committee for the Resolution of Securities Disputes to convict violators of the Capital Market Law and its implementing regulations

​The Capital Market Authority announces that the Appeal Committee for the Resolution of Securities Disputes has issued its decision dated 30/04/1437H corresponding to 09/02/2016 regarding the lawsuit filed by the Capital Market Authority against Nawwaf bin Mohammad bin Sukhaiber Alharbi, Suroor bin Mohammad bin Sukhaiber Alharbi, Ameen bin Abdullah bin Ali Almallah, Sami bin Dheedan bin Sant Alotaibi. The decision upheld the previous decision issued by the Committee for the Resolution of Securities Disputes convicting the defendants for violating Article (49) of the Capital Market Law and Article (2) and Article (3) of the Market Conduct Regulations for trading the shares of the following companies: (Basic Chemical Industries Co.,  Astra Industrial Group, National Gas and Industrialization Co., Saudi Advanced Industries Co., Alujain Corp., Filing and Packing Materials Manufacturing Co., Arabian Pipes Co., Saudi Vitrified Clay Pipes Co., Saudi Real Estate Co.,  National Agricultural Marketing Co., Aldrees Petroleum and Transport Services Co., Alkhaleej Training and Education Co., Halwani Bros. Co., Saudi Pharmaceutical Industries and Medical Appliances Corp., National Metal Manufacturing and Casting Co., Middle East Specialized Cables Co., Abdullah Al Othaim Markets Co., Red Sea Housing Services Co., Fawaz Abdulaziz Alhokair Co., National Agricultural Development Co., Ash-Sharqiyah Development Co.) during the period between 11/05/2008 until 27/05/2009. These practices formed manipulation and fraud and created a misleading and incorrect impression about the mentioned companies. The Appeal Committee decision included applying the following fines and sanctions:
First: The Defendant/ Nawwaf bin Mohammad bin Sukhaiber Alharbi

  1. Oblige him to pay 691,899.35 Six Hundred and Ninety One Thousand and Eight Hundred and Ninety Nine Riyals and Thirty Five Halalas to Capital Market Authority’s account for the gains in his investment portfolio that  realized as a consequences of his violations.
  2. Imposition of a fine of 480,000 Four Hundred and Eighty Thousand Riyals.

Second: The Defendant/ Suroor bin Mohammad bin Sukhaiber Alharbi

  1. Oblige him to pay 1,741,636.55 One Million and Seven Hundred and Forty One Thousand and Six Hundred and Thirty Six Riyals and Fifty Five Halalas to Capital Market Authority’s account for the gains in his investment portfolio that  realized as a consequences of his violations.
  2. Imposition of a fine of 750,000 Seven Hundred and Fifty Thousand Riyals.

Third: The Defendant/ Ameen bin Abdullah bin Ali Almallah

  1. Oblige him to pay 2,261,077.70 Two Million and Two Hundred and Sixty One Thousand and Seventy Seven Riyals and Seventy Halalas to Capital Market Authority’s account for the gains in his investment portfolio that  realized as a consequences of his violations.
  2. Imposition of a fine of 195,000 One Hundred  and Ninty Five Thousand Riyals.

Fourth: The Defendant/ Sami bin Dheedan bin Sant Alotaibi

  1. Oblige him to pay 248,839.60 Two Hundred and Forty Eight Thousand and Eight Hundred and Thirty Nine Riyals and Sixty Halalas to Capital Market Authority’s account for the gains in his investment portfolio that  realized as a consequences of his violations.
  2. Imposition of a fine of 165,000 One Hundred and Sixty Five Thousand Riyals.

Fifth: the defendants shall refrain from trading the shares of companies listed in the Saudi  Stock Exchange (buying) and from engaging in brokerage activities, portfolio management and working as investment consultants as well as working in listed companies for three years.

Sixth: oblige a number of investors to pay 3,189,970.75 Three Million and One Hundred and Eighty Nine Thousand and Nine Hundred and Seventy Riyals and Seventy Five Halalas for the illegal profits in their investment portfolios as a result of the violations made by the defendants Nawwaf bin Mohammad bin Sukhaiber Alharbi, Suroor bin Mohammad bin Sukhaiber Alharbi, Ameen bin Abdullah bin Ali Almallah

The Capital Market Authority insures its devotion to apply the Capital Market Law and its Implementing Regulations as well as protect investors from illegal acts.