The General Secretariat of the Committees for Resolution of Securities Disputes (GS-CRSD) announces the issuance of the Appeal Committee for the Resolution of Securities Disputes' (ACRSD) final decision No. (3176/L.S/2024) of 1445 H., dated 26/06/1445 H., corresponding to 08/01/2024, on the public penal case filed by the Public Prosecution (referred to it by the Capital Market Authority (CMA)) against: Salim bin Ali bin Salim Bkalka, Sultana bint Ali bin Salim Bkalka and Ali bin Salim bin Ahmad Bkalka.

The decision concluded with the conviction of the abovementioned individuals 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 the following shares of companies and units of real estate funds: Electrical Industries Co., AlJazira REIT, AL Maather REIT Fund, SICO Saudi REIT Fund, Salama Cooperative Insurance Co., Saudi Arabian Cooperative Insurance Co., Al Sagr Cooperative Insurance Co., and CHUBB Arabia Cooperative Insurance Co., during the period between 02/12/2020 and 08/08/2021. Such acts and practices formed manipulation and fraud, and created a false and misleading impression regarding the security of such companies and the units of such funds.

The decision included the imposition of a number of sanctions upon them according to the following:

First: Salim bin Ali bin Salim Bkalka:

1. Imposing a fine upon him amounting to (SR. 1,750,000) one million seven hundred fifty thousand Saudi Riyals.
2. Obliging him to pay to the CMA account the amount of (SR. 1,781,946.76) one million seven hundred eighty-one thousand nine hundred forty-six Saudi Riyals and seventy-six Halalas against the illegal gains achieved in his investment portfolio.
   
    

Second: Sultana bint Ali bin Salim Bkalka:

1. Imposing a fine upon her amounting to (SR. 60,000) sixty thousand Saudi Riyals.
2. Obliging her to pay to the CMA account the amount of (SR. 290,372.81) two hundred ninety thousand three hundred seventy-two Saudi Riyals and eighty-one Halalas against the illegal gains achieved in her investment portfolio.

Third: Ali bin Salim bin Ahmad Bkalka:

1. Imposing a fine upon him amounting to (SR. 1,400,000) one million four hundred thousand Saudi Riyals.
2. Obliging him to pay to the CMA account the amount of (SR. 282,952.60) two hundred eighty-two thousand nine hundred fifty-two Saudi Riyals and sixty Halalas against the illegal gains achieved in his investment portfolio.
3. Banning him from trading in shares by purchasing in the Saudi exchange either directly or indirectly, excluding trading through investment funds with Capital Market Institutions for Two years.

Furthermore, any person affected by these violations in this case is entitled to file a compensation claim (as individual or class action) with the CRSD for the damage he/she suffered from due to these violations, provided that such claim is preceded by a complaint filed  with the  CMA on this regard, via the following link: (File Complaint​)

However, the GS-CRSD will announce to the public on its website in case of registering any class action in order to enable the rest of investors affected by such violations to apply to the CRSD to join the class action.

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