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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 a violator 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 04/07/1437H corresponding to 11/04/2016 regarding the lawsuit filed by the Capital Market Authority against Yazeed bin Sulaiman bin Saleh Alkhelewy. The decision upheld the previous decision issued by the Committee for the Resolution of Securities Disputes convicting the defendant 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: (Saudi Pharmaceutical Industries and Medical Appliances Corp. , Saudi Vitrified Clay Pipes Co. , Saudi Cement Co. , Southern Province Cement Co. , Tabuk Cement Co. , Abdullah Al Othaim Markets Co. , Mouwasat Medical Services Co. , Saudi Real Estate Co. , Taiba Holding Co. , Al-Baha Investment and Development Co. , Jarir Marketing Co. , Herfy Food Services Co. , Malath Cooperative Insurance and Reinsurance Co. , Allianz Saudi Fransi Cooperative Insurance Co. , Sanad Cooperative Insurance Co. , Arabia Insurance Cooperative Co. , Al Sagr Cooperative Insurance Co. , United Cooperative Assurance Co. , Astra Industrial Group, Al Hassan Ghazi Ibrahim Shaker Co. , Arabian Pipes Co. , Abdullah A. M. Al-Khodari Sons Co. , National Gas and Industrialization Co. , National Gypsum Co. , Food Products Co. , United Electronics Co. , Saudi Research and Marketing Group, Fawaz Abdulaziz Alhokair Co. , Al-Jouf Agricultural Development Co. , The Mediterranean and Gulf Insurance and Reinsurance Co. )

during the period from 11/06/2011 until 12/06/2012. These practices formed manipulation and fraud and created a misleading and incorrect impression about the mentioned companies. The following fines and sanctions shall be applied:

  1. Impose a fine on him in the amount of 560,000 Five Hundred and Sixty Thousand Riyals.
  2. He shall refrain from trading the shares of companies listed on the Saudi Stock Exchange (buying) for one year.
  3. He shall refrain from engaging in activities of portfolio management, in addition to working as an investment consultant for one year.
  4. He shall refrain from working in companies listed on the Saudi Stock Exchange for one year.

The decision also included obliging an investor to pay 199,797.30 One Hundred and Ninety Nine Thousand and Seven Hundred and Ninety Seven Riyals and Thirty Halalas to CMA's account for the illegal profits in her investment portfolios as a result of the violations made by the defendant Yazeed bin Sulaiman bin Saleh Alkhelewy.

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.