CRSD issues ruling in lawsuit filed against MMG board members

Logo of Mohammad Al-Mojil Group Co.

The Committee for Resolution of Securities Disputes (CRSD) handed a ruling on April 30 in the lawsuit filed by Abdulmohsen bin Mohammed Al-Daham against some board members of Mohammad Al Mojil Group (MMG).

According to a statement by the General Secretariat of CRSD on June 5, the first circuit of CRSD dismissed hearing the Al-Daham’s lawsuit against the second, sixth, eighth, ninth, 10th, 12th, and 13th defendants.

The first defendant and the fifth defendant (in absentia) Adel bin Mohammed Al Mojil, a Saudi national, and the seventh defendant (in absentia) were jointly ordered to pay SAR 214,700 in compensation to the plaintiff.

Other requests were rejected.

In December 2023, the Capital Market Authority (CMA) said that CRSD accepted the class action filed by an investor against some board members and employees of MMG.

The investor claimed compensation for the damage he suffered due to the announcements made by the company on Feb. 22, 2012, and April 21, 2012, which created a misleading and false impression about MMG’s financial position, Argaam reported.