The Capital Market Authority announces that the Appeal Committee for the Resolution of Securities Disputes has issued its decision dated 24/12/1438H corresponding to 15/9/2017G on the lawsuit filed by The Public Prosecution against Fahad bin Abdulrahman bin Abdulaziz Alshalan (which was referred from the Capital Market Authority). The decision convicted the defendant of violating Article (49) of the Capital Market Law and Article (2) of the Market Conduct Regulations when trading the shares of (Methanol Chemicals Co., National Gypsum Co., Filing and Packing Materials Manufacturing Co., Arabian Pipes Co. and Saudi Real Estate Co) during the period from 1/5/2013G until 31/7/2013G. These practices constituted manipulation and fraud and created a misleading and incorrect impression about the security of the mentioned companies. The Appeal Committee decision included imposing a number of penalties on the defendant, detailed as follows:
- Imposing a fine on him of (360,000) Three Hundred and Sixty Thousand Riyals for these violations.
- Obliging him to pay (17,572.65) Seventeen Thousand, Five Hundred and Seventy Two Riyals and Sixty Five Halalas to the Capital Market Authority’s account for the illegal gains in his investment portfolio.
- Refraining him from trading (buying) the shares of companies listed on the Saudi Stock Exchange, whether in person or on behalf of others, for three months.
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.
(the security and the date on which the suspected trading occurred)
