The Capital Market Authority announces the issuance of a final decision by the Appeal Committee for the Resolution of Securities Disputes' (ACRSD) convicting Ertiyad Holding Group of violating Article (31) of the Capital Market Law and Article (5) of the Securities Business Regulations, and imposing a financial penalty of SAR 6.12 million.
According to the ACRSD, the final decision was issued convicting Ertiyad Holding Group for practicing securities business, represented in the activity of “Acting as an Agent", without obtaining a license from the CMA, by receiving funds and investing them in the Saudi Exchange in return for a portion of profits.
The ACRSD's decision came as a result of joint coordination and cooperation between the CMA and the relevant concerned authorities, and in light of the public penal lawsuit filed by the Public Prosecution, referred to it by the CMA, against the convicted entity.
The CMA stresses the importance of investors' confidence in the capital market for its growth and prosperity. The CMA continuously monitors any violating behaviors of the Capital Market Law, its Implementing Regulations, and the regulations enforced by the CMA, identifies the perpetrators, and processes the necessary procedures to impose deterrent penalties against them, in order to enhance the CMA's efforts aimed at creating an attractive investment environment to all categories of investors and safe from unfair or unsound practices or that involve fraud, cheating, deception or manipulation.
The General Secretariat of the Committees for Resolution of Securities Disputes (GS-CRSD) announced that any person who has entered into an agreement or contract with the convicted entity in relation to this violation is entitled to file a claim (as individual or class action) with the CRSD to request the rescission of the agreement or contract and the recovery of any money or other property paid or transferred under the agreement or contract, as per Article (60/b) of the Capital Market Law, provided that such claim is preceded by a complaint filed with the CMA on this regard, via the following link
(File Complaint Link).
Additionally, the GS-CRSD will announce on its website when any class action is registered, allowing other investors who have entered into agreements or contracts with the convicted entity to submit a request to join the class action.
For further announcement's details, kindly visit the official website of General Secretariat of the Committees for Resolutions of Securities Disputes, via the following link:
Announcement from the General Secretariat of the Committees for Resolution of Securities Disputes Click Here
