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

Sunday, May 27, 2018 at 3:38 PM

Sun May 27, 2018 15:38

The Capital Market Authority announces that the Appeal Committee for the Resolution of Securities Disputes has issued its decision dated 26/8/1439H corresponding to 12/5/2018G on the lawsuit filed by The Public Prosecution (referred to it by the Capital Market Authority) against Ahmad bin Sulaiman bin Abdullah Albattah and Ali bin Abdullah bin Ali Alsuhaili. The verdict concluded with the conviction of the mentioned defendants for violating Paragraph (a) of Article (50) of the Capital Market Law and Paragraph (a) of Article (6) of the Market Conduct Regulations for trading the shares of Weqaya Takaful insurance and reinsurance Company based on insider information during their membership of the company Board of Directors. The Appeal Committee decision included the imposition of a number of penalties on the defendants, detailed as follows:
First defendant: (Ahmad bin Sulaiman bin Abdullah Albattah)
1) Imposing a fine on him amounting to (100,000) One Hundred Thousand Riyals.
2) Prohibiting him from managing portfolios, working as an investment advisor and working in companies listed in the Saudi Exchange for three years.
3) Obliging him to pay (8,436,949.92) Eight Million, Four Hundred Thirty Six Thousand, Nine Hundred Forty Nine Saudi Riyals and Ninety Two Halalas to the Capital Market Authority’s account for the avoided losses as a result of the violated trades on his investment portfolio.
Second defendant: (Ali bin Abdullah bin Ali Alsuhaili)
1) Imposing a fine on him amounting to (100,000) One Hundred Thousand Saudi Riyals.
2) Prohibiting him from managing portfolios, working as an investment advisor and working in companies listed in the Saudi Exchange for three years.
3) Obliging him to pay (1,134,110.30) One Million, One Hundred Thirty Four Thousand, One Hundred Ten Saudi Riyals and Thirty Halalas to the Capital Market Authority’s account for the avoided losses as a result of the violated trades on his investment portfolio.

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.