Issuance of CMA Board Resolution to refer 11 Suspects to Public Prosecution for the violation of Article 49 of Capital Market Law & Article 2 of Market Conduct Regulations While Trading in Alkathiri Holding Co. & Anaam International Holding Group shares
Wednesday, December 23, 2020 at 4:52 PM
Wed Dec 23, 2020 16:52
In line with the Capital Market Authority's (CMA) responsibilities to protect the market from unfair and unsound practices, and aiming to achieve fairness, efficiency and transparency in securities transactions, and based on Article (17) of the Capital Market Law, the CMA would like to inform the investors and participants in the capital market that a CMA Board resolution has been issued regarding the referral of a suspicion of a violation to the Public Prosecution. The suspicion is regarding the violation of Article (49) of the Capital Market Law and Article (2) of the Market Conduct Regulations by (11) investors, where they carried out practices that involved manipulation and fraud in market trades, for their suspicious trades in the shares of Al kathiri Holding Company and Anaam International Holding Group. The suspicion cases were regarding them carrying out a number of illegal practices, including entering purchase orders for the purpose of influencing the share price, and entering purchase orders at the closing auction to achieve a high closing price for both of the above mentioned companies during the period between 05/12/2019G until 15/11/2020G.
In this regard, the CMA stresses that it will not hesitate, in pursuit of prosecuting manipulators in the capital market, to supervise their dealings, based on its powers under the Capital Market Law, and the advanced technology means it possesses that enable it to supervise all dealings and monitor suspicious cases and take the necessary legal procedures in accordance with the laws and regulations, in order to achieve the CMA’s objectives toward enhancing the market efficiency and protecting the participant in it from illegal practices, beside ensuring they are not subject to cheating or manipulation.
It is worth noting that the General Secretariat of Committees for Resolution of Securities Disputes make announcements on its website upon the issuance of final decisions by the Committees for Resolution of Securities Disputes regarding criminal cases. Moreover, any person affected by these acts is entitled to file a compensation claim, to the Committee for the Resolution of Securities Disputes, provided that such claim is preceded by a complaint filed to the CMA (via this link) in this regard. as per Article 57 of the Capital Market Law.
(To view the dates of trading and the securities in relation to the violation, click here)