ACRSD imposes SAR 5.5M fine on Capital Market Law violators

Logo of General Secretariat Committee for the Resolution of Securities Disputes (ACRSD)

The General Secretariat of Committees for Resolution of Securities Disputes announced today, Feb. 29, that the Appeal Committee for Resolution of Securities Disputes (ACRSD) issued a resolution on Jan. 8, 2024, on the public penal case filed by the Public Prosecution against Salim bin Ali bin Salim Bkalka, Sultana bint Ali bin Salim Bkalka and Ali bin Salim bin Ahmad Bkalka, according to the Capital Market Authority's (CMA) website.

The abovementioned individuals were convicted of violating Article (49/a) of the Capital Market Law and Article (2/a) of the Market Conduct Regulations, for entering purchase orders aiming to affect the share/unit price, some of which were linked with sale orders, as well as entering purchase orders aiming to achieve a high closing bid price, when trading in shares of listed companies.

The decision included the following: Imposing a SAR 1.75 million fine on Salim bin Ali bin Salim Bkalka and obliging him to pay to SAR 1.78 million to CMA; imposing a SAR 60,000 fine on Sultana bint Ali bin Salim Bkalka and obliging her to pay to SAR 290,370 to CMA, and imposing a SAR 1.4 million fine on Ali bin Salim bin Ahmad Bkalka and obliging him to pay to SAR 282,952 to CMA against the illegal gains achieved in their investment portfolios.

Furthermore, any person affected by these violations in this case is entitled to file a compensation claim (as an individual or class action) with the ACRSD for the damage affecting him from these violations, provided that such a claim is preceded by a complaint filed with the CMA in this regard.