Two others were also found guilty of similar violations and were fined 200,000 riyals and 100,000 riyals each
Fawaz bin Abdullah bin Abdul Mohsen Al-Khudari has been sentenced to six months in jail and fined 3.65 million riyals for violating Saudi Arabia's trading and exchange regulations, according to an announcement from the Makkah Region's official handle.
The sentencing includes a 3.25 million riyal fine for violating Paragraph A of Article 211 of the Companies Law, along with an additional 400,000 riyals for breaches of Paragraph A of Article 49 of the Financial Market Law and Article 7 of Market Conduct Regulations.
In a post on social media platform X, Makkah Region said that Al-Khudari is prohibited from working for publicly traded companies for the next three years.
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Another individual, Kailash Nath Sadangi, was also found guilty of similar violations, specifically under Paragraph A of Article 49 of the Financial Market Law and Article 7 of the Market Conduct Regulations. He has been fined 200,000 riyals and is likewise banned from employment with companies trading on the stock market for three years.
A third individual, Suhail bin Saeed bin Mohammed Saeed, was fined 100,000 riyals for breaching the same regulations and will also face a three-year ban from working in publicly traded companies.
Those affected by these violations are entitled to seek compensation by filing individual or collective lawsuits against the Securities Disputes Resolution Committee. However, they must first submit a complaint to the Capital Market Authority regarding any damages sustained.
Article 211 of Saudi Arabia's Companies Law states:
Without prejudice to any harsher penalty stipulated in any other law, imprisonment for a period not exceeding five years and a fine of not more than 5,000,000 riyals, or either penalty, shall apply to:
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