5 investors, local firm fined SAR 44.9M on capital market violations

Five investors were convicted of violating the Capital Market Law and fined SAR 3.5 million. Four investors and a local company were ordered to pay SAR 41.4 million due to the illicit gains achieved in their investment portfolios, in addition to another portfolio.

The Appeal Committee for the Resolution of Securities Disputes (ACRSD) issued a final decision on the public penal case filed by the Public Prosecution against: Shaden bint Abdulkarim bin Muhamad Al Rajhi, Shahad bint Abdulkarim bin Muhamad Al Rajhi, Mesha'el bint Abdulkarim bin Muhamad Al Rajhi, Riyadh bin Sulaiman bin Omar Alkhorashi and Abdulkarim bin Muhamad bin Abdulaziz Alrajhi.

The decision included imposing SAR 250,000 fine on Shaden bint Abdulkarim bin Muhamad Al Rajhi and obliging her to pay to CMA an amount of SAR 1.790 million against the illegal gains achieved in her investment portfolio. Moreover, a fine of SAR 250,000 was imposed on Shahad bint Abdulkarim bin Muhamad Al Rajhi and she was obliged to pay to CMA an amount of SAR 8.096 million.

The decision also included obliging an investor to pay to CMA an amount of SAR 5.058 million.

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