The Capital Market Authority announces that the Appeal Committee for the Resolution of Securities Disputes has issued its decision dated 09/06/1438H corresponding to 08/03/2017G on the lawsuit filed by the Bureau of Investigation and Public Prosecution against Faisal bin Abdulrahman bin Abdulaziz Alsaud (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 (Allianz SF and ACIG) during the period from 15/05/2013G until 08/06/2013G. 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 (60,000) Sixty Thousand Riyals.
- Obliging him to pay (895,582.05) Eight Hundred and Ninety Five Thousand, Five Hundred and Eighty Two Riyals and Five Halalas to the Capital Market Authority’s account for the illegal gains in his investment portfolio.
- Restraining him from trading (buying) the shares of listed companies for a period of three months, either in person or on behalf of someone else.
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.
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