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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 14/05/1438H corresponding to 11/02/2017 regarding the lawsuit filed by the Capital Market Authority against Alwaleed bin Abdulaziz bin Abrahim Almuneef, Hamad Bin Abdulrahman bin Ali Al Hanaya Aldosari. The decision convicted the defendants for violating Article (49) of the Capital Market Law and Articles (2) and (3) of the Market Conduct Regulations by trading the shares of ACE Arabia Cooperative Insurance Company which later changed its name to be CHUBB Arabia Cooperative Insurance Co. during the period from 04/06/2012 until 18/07/2012. These practices constituted manipulation and fraud and created a misleading and incorrect impression about the mentioned company. The following fines and sanctions are applied:
 
First defendant: (Alwaleed bin Abdulaziz bin Abrahim Almuneef)

  1. Impose a fine on the convicted of (100,000) One Hundred Thousand Riyals for these violations.
  2. Obliging him to pay (621,536.75) Six Hundred and Twenty One Thousand, Five Hundred and Thirty Six Riyals and Seventy Five Halalas to the CMA’s account for the illegal gains in his investment portfolio. 
  3. He shall refrain from trading (buying) the shares of companies listed on the Saudi Stock Exchange, whether in person or on behalf of others, for nine months. 

Second defendant: (Hamad Bin Abdulrahman bin Ali Al Hanaya Aldosari)

  1. Impose a fine on the convicted of (70,000) Seventy Thousand Riyals for these violations.
  2. Obliging him to pay (56,742) Fifty Six Thousand, Seven Hundred and Forty Two Riyals to the CMA’s account for the illegal gains in his investment portfolio. 
  3. He shall refrain from trading (buying) the shares of companies listed on the Saudi Stock Exchange, whether in person or on behalf of others, for three months.

Third:  Investor with a national ID number (1084199700)
Obliging him to pay (357,079) Three Hundred Fifty Seven Thousand, Seventy Nine Riyals to the CMA’s account for the illegal gains in his investment portfolio.
 
The Capital Market Authority insures its devotion to apply the Capital Market Law and its Implementing Regulations as well as protect the investors from illegal acts, and whoever is affected by these acts can file a suit for compensation to the committee as per Article (57) of the Capital Market Law, this must be preceded by a complaint filed to the CMA.