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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 Convicting 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 15/6/1439H corresponding to 3/3/2018G on the lawsuit filed by The Public Prosecution (referred to it by the Capital Market Authority) against Khalid bin Ibrahim bin Abdullah Ababtain, Ayman bin Abdulrahman bin Haroun Alhomaidhi and Salem bin Ali bin Faisal Almutairi. The verdict upheld the previous verdict issued by the Committee for the Resolution of Securities Disputes which concluded with the conviction of the defendants of violating Article (49) of the Capital Market Law and Article (2) of the Market Conduct Regulations when trading the shares of Takween Advanced Industries Co., Astra Industrial Group, National Petrochemical Co., Mouwasat Medical Services Co., Anaam International Holding Group, Saudi Industrial Export Co., Saudi Printing and Packaging Co., Alkhaleej Training and Education Co., Halwani Bros. Co., Salama Cooperative Insurance Co., Walaa Cooperative Insurance Co., Sanad Cooperative Insurance Co., United Cooperative Assurance Co., Al-Rajhi Company for Cooperative Insurance, Al Alamiya for Cooperative Insurance Co., during the period from 8/10/2013G until 10/10/2013G. These practices constituted manipulation and fraud and created a misleading and incorrect impression about the security of the mentioned companies. The Committee decision included the imposition of a number of penalties on the defendants, detailed as follows:

First defendant: (Khalid bin Ibrahim bin Abdullah Ababtain)

  1.  Imposing a fine on him amounting to (170,000) One Hundred and Seventy Thousand Riyals.

Second defendant: (Ayman bin Abdulrahman bin Haroun Alhomaidhi)

  1. Imposing a fine on him amounting to (50,000) Fifty Thousand Riyals.
  2. Obliging him to pay (120,989.40) One Hundred and Twenty Thousand, Nine Hundred and Eighty Nine Riyals and Forty Halalas to the Capital Market Authority’s account for the illegal gains achieved as a result of these violations.

Third defendant: (Salem bin Ali bin Faisal Almutairi)

  1. Imposing a fine on him amounting to (20,000) Twenty Thousand Riyals.
  2.  Obliging him to pay (80,828.10) Eighty Thousand, Eight Hundred and Twenty Eight Riyals and Ten Halalas to the Capital Market Authority’s account for the illegal gains achieved as a result of these violations.

The Capital Market Authority affirms on its devotion to apply the Capital Market Law and its Implementing Regulations as well as protecting the investors from illegal practices, and whoever is affected by these practices 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.

(To view the security and the date on which the suspected trading occurred)