The
General Secretariat of the Committees for Resolution of Securities Disputes (GS-CRSD)
announces the issuance of the Appeal Committee for Resolution of Securities
Disputes’ (ACRSD) final decision No. (2124/L.S/2021) of 1442 H.,
dated 14/06/1442 H., corresponding to 27/01/2021G.,
in the case filed by the Public Prosecution (referred
to by the Capital Market Authority (CMA)) against: Osama Muhammad Abdulaziz Alsayad
and Yousef bin Musfer bin Ibrahim Alghamdi.
The
decision concluded with the conviction of the abovementioned individuals for
violating Article (31) of the Capital Market Law, as well as Article (5)
of the Securities Business Regulations, for participating in practicing a
securities business represented in “Advising” by receiving financial transfers and
transferring them to two companies under the names "Kheprat KSA" and
"El-Raed," both based outside the Kingdom, that provide portfolio
management services and recommendations, as well as provide daily reports on
the shares of companies listed on the Saudi Stock Exchange, in return for
various financial fees that are transferred and deposited in the bank account
of the first defendant or the bank account of the second defendant and advertising
for the aforementioned services on the website (http://kheprat.org/)
and on the social media account (Twitter) with the handle name (@TawsiyatElRaed
) without obtaining a license from the CMA.
The decision
included the imposition of sanctions upon them according to the following:
First
defendant: Osama Muhammad Abdulaziz Alsayad:
Imposing a
fine upon him amounting to (SR. 30,000) thirty thousand Saudi Riyals.
Second
defendant: Yousef bin Musfer bin Ibrahim Alghamdi:
Imposing a
fine upon him amounting to (SR. 30,000) thirty thousand Saudi Riyals.
Furthermore,
any person who has entered into an agreement or contract with the convicted
persons in relation to these violations is entitled to file a claim with the
CRSD to request the rescission of the agreement or contract and the recovery of
any money or other property paid or transferred by him under the agreement or
contract, as per Article (60/b) of the Capital Market Law, provided that such
claim is preceded by a complaint filed with the CMA on this regard, via the
following link (File Complaint Link).
