25 Capital Market Law violators referred to Public Prosecution

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The Capital Market Authority (CMA) decided to refer 25 violators of the Capital Market Law and Market Conduct Regulations to the Public Prosecution.

The suspicion is regarding the suspects’ execution of practices that involve manipulation and fraud on the shares of one of the investment funds and 84 listed companies, one of which is listed on Nomu-Parallel Market.

The first decision included the referral of 23 suspects for placing buy orders that aim to influence the stock and unit prices (some of them are related to sell orders) during trading on units of one investment fund and shares of 72 listed companies on the Saudi Exchange (Tadawul), the CMA said.

Two others were referred to the Public Prosecution for carrying out similar acts that involved the entry of buy orders that aim to impact a high closing auction price during trading on shares and units of 26 companies, comprising one Nomu-listed firm and one Tadawul-listed investment fund, the market regulator added.

The General Secretariat of Committees for Resolution of Securities Disputes (GS-CRSD) will announce to the public the identities of convicted violators on its website upon the issuance of final decisions by the Committees for Resolution of Securities Disputes.

Moreover, any person affected by these violations is entitled to file a compensation claim, after conviction, against the violators before CRSD after submitting a complaint to CMA in this regard.