The General Secretariat of Committees for Resolution of Securities Disputes announces the issuance of the Appeal Committee for the Resolution of Securities Disputes' resolution number (1613/L.S/2019) of 1440H dated 30/04/1440H corresponding to 06/01/2019G on the suit filed by the Capital Market Authority against Abdulaziz bin Abdurrahman bin Abdulaziz Al-Saud, Khalid bin Saleh bin Hamad Alrayes and Ghodayer bin Saleh bin Ghodayer Alrasheed. The resolution's text concluded with  convicting the aforementioned for violating Article 49 of the Capital Market Law and Article 2 of the Market Conduct Regulations by trading in the shares of the following companies; (Tihama Advertising and Public Relations Co., Saudi Industrial Development Co., Filing and Packing Materials Manufacturing Co., Al-Babtain Power and Telecommunication Co., National Shipping Company of Saudi Arabia, Saudi Public Transport Co., Aseer Trading, Tourism and Manufacturing Co., Al Gassim Investment Holding Co., Batic Investments and Logistics Co., Saudi Industrial Export Co., National Agricultural Marketing Co., Saudi Research and Marketing Group, Saudi Printing and Packaging Co., Saudi Printing and Packaging Co., Knowledge Economic City, Tabuk Agricultural Development Co., Al-Jouf Agricultural Development Co., Jazan Energy and Development Co., Al-Ahlia Insurance Co. and United Cooperative Assurance Co.), during the period from 01/01/2012G until 15/04/2013G. Such practices constituted manipulation and fraud, and created misleading and incorrect impressions about the securities of the aforementioned companies. The Committee's resolution included the imposition of a number of fines on them, detailed as follows:

First: Abdulaziz bin Abdurrahman bin Abdulaziz Al-Saud

1. Imposing a fine on him amounting (1,400,000) One Million, Four Hundred Thousand Saudi Riyals for these violations.
2. Obliging him to pay (18,016,457.70) Eighteen Million, Sixteen Thousand, Four Hundred Fifty Seven Saudi Riyals and Seventy Halalas to the Capital Market Authority's account, for the illegal gains resulted from these violations on his investment portfolio.
3. Prohibiting him from trading by buying shares of the companies listed on the Exchange for his own account or in favor of others, for a period of Two Years.

Second : Khalid bin Saleh bin Hamad Alrayes

1. Imposing a fine on him amounting (60,000) Sixty Thousand Saudi Riyals for these violations.
2. Obliging him to pay (5,451,299.50) Five Million, Four Hundred Fifty One Thousand, Two Hundred Ninety Nine Saudi Riyals and Fifty Halalas to the Capital Market Authority's account, for the illegal gains resulted from these violations on his investment portfolio.
   

Third:  Ghodayer bin Saleh bin Ghodayer Alrasheed

1. Imposing a fine on him amounting (500,000) Five Hundred Thousand Saudi Riyals for these violations.

The Committee's resolution also included obliging a number of investors to pay an amount of (32,598,012.10) Thirty Two Million, Five Hundred Ninety Eight Thousand, Twelve Saudi Riyals and Ten Halalas, for the illegal gains on their investment portfolios, resulted from the trading violations made by the violator/ Ghodayer bin Saleh bin Ghodayer Alrasheed.

Any person affected by these acts may file a compensation suit to the Committee as per Article 57 of the Capital Market Law, provided that such suit is preceded by a complaint filed with the Authority. 

(To view the dates of trading and the securities in relation to the violations, click here)