Latest news with #SR17
Zawya
14-03-2025
- Business
- Zawya
Saudi: $4.53mln fines slapped on 16 individuals and companies convicted of violating Capital Market Law
RIYADH — The Committee for the Resolution of Securities Disputes, under the Capital Market Authority (CMA), has slapped fines amounting to more than SR17 million on 16 individuals and companies for violating the provisions of the Capital Market Law. Nine officials of the Saudi Exports Development Authority were convicted and fined SR6.9 million for violations including recording misleading data in the annual financial statements for various periods and violating the Companies Law. The violations committed by the officials included recording misleading data by the executive management in the annual financial statements. This resulted in inflating the company's revenues by recognizing revenue from a deal with an institution, amounting to SR12 million, without meeting the recognition requirements in accordance with the accounting and auditing standards approved by the Saudi Organization for Certified Public Accountants (SOCPA). In other cases, a company and the three persons were fined SR4.1 million. Two convicted persons and other investors were also ordered to pay a fine of SR 5.91 million, while another convicted person was sent to jail for 90 days. The CMA explained that these actions and practices constituted manipulation and fraud, creating a misleading and incorrect impression regarding the securities of the mentioned companies. A fine of SR1.675 was imposed on the convicted Abdulrahman bin Saleh Al-Rashed, in addition to requiring him to pay SR1.252 million for the illicit gains made on his investment portfolio and SR2.261 million for the illicit gains made on the investment portfolios of his two minor children. Additionally, a fine of SR230,000 was imposed on the convicted Nasser bin Abdulaziz Al-Turki, along with an obligation to pay SR538,000 for the illicit gains obtained from his investment portfolio. Other investors were also required to pay SR1.864 million for illicit gains obtained from their investment portfolios, which resulted from the violative trades committed by Abdulrahman bin Saleh Al-Rashed. The committee convicted Ammar Salem Bakhriba, Elmar Capital, and Elmar Financial Company of violating Article 31 of the Capital Market Law and Article 5 of the Securities Business Regulations. Bakhriba engaged in securities activities, including management, by offering and managing an investment fund and receiving clients' funds for investment in that fund. Elmar Capital and Elmar Financial Company also participated in this activity by managing the fund and receiving clients' funds for investment in it, in exchange for a percentage of the invested amounts, without obtaining a license from the Capital Market Authority. The decision included imposing a number of penalties on them. Ammar Salem Bakhriba was sentenced to 90 days in prison and fined SR1 million, while Elmal Capital was fined SR1million. © Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (
Saudi Gazette
14-03-2025
- Business
- Saudi Gazette
SR17 million fines slapped on 16 individuals and companies convicted of violating Capital Market Law
Saudi Gazette report RIYADH — The Committee for the Resolution of Securities Disputes, under the Capital Market Authority (CMA), has slapped fines amounting to more than SR17 million on 16 individuals and companies for violating the provisions of the Capital Market Law. Nine officials of the Saudi Exports Development Authority were convicted and fined SR6.9 million for violations including recording misleading data in the annual financial statements for various periods and violating the Companies Law. The violations committed by the officials included recording misleading data by the executive management in the annual financial statements. This resulted in inflating the company's revenues by recognizing revenue from a deal with an institution, amounting to SR12 million, without meeting the recognition requirements in accordance with the accounting and auditing standards approved by the Saudi Organization for Certified Public Accountants (SOCPA). In other cases, a company and the three persons were fined SR4.1 million. Two convicted persons and other investors were also ordered to pay a fine of SR 5.91 million, while another convicted person was sent to jail for 90 days. The CMA explained that these actions and practices constituted manipulation and fraud, creating a misleading and incorrect impression regarding the securities of the mentioned companies. A fine of SR1.675 was imposed on the convicted Abdulrahman bin Saleh Al-Rashed, in addition to requiring him to pay SR1.252 million for the illicit gains made on his investment portfolio and SR2.261 million for the illicit gains made on the investment portfolios of his two minor children. Additionally, a fine of SR230,000 was imposed on the convicted Nasser bin Abdulaziz Al-Turki, along with an obligation to pay SR538,000 for the illicit gains obtained from his investment portfolio. Other investors were also required to pay SR1.864 million for illicit gains obtained from their investment portfolios, which resulted from the violative trades committed by Abdulrahman bin Saleh Al-Rashed. The committee convicted Ammar Salem Bakhriba, Elmar Capital, and Elmar Financial Company of violating Article 31 of the Capital Market Law and Article 5 of the Securities Business Regulations. Bakhriba engaged in securities activities, including management, by offering and managing an investment fund and receiving clients' funds for investment in that fund. Elmar Capital and Elmar Financial Company also participated in this activity by managing the fund and receiving clients' funds for investment in it, in exchange for a percentage of the invested amounts, without obtaining a license from the Capital Market Authority. The decision included imposing a number of penalties on them. Ammar Salem Bakhriba was sentenced to 90 days in prison and fined SR1 million, while Elmal Capital was fined SR1million.
Arab News
18-02-2025
- Business
- Arab News
Derayah Financial surpasses market growth in Saudi brokerage, asset management, CEO says
RIYADH: Saudi investment firm Derayah Financial saw its assets under management soar to SR17 billion ($4.53 billion) in 2024 as it outpaced growth across the sector in the Kingdom, according to its CEO. Speaking to Arab News at the Capital Markets Forum 2025, Mohammad Al-Shammasi revealed that this rise to a 70 percent year-on-year growth, ranking the company among the top independent firms in Saudi brokerage revenues, with the third-largest market share. Saudi Arabia's asset management industry was set for growth in the second half of 2024 and into 2025, with AUM increasing 13.5 percent year over year to exceed $250 billion by mid-2024, according to a Fitch Ratings report released in October. The Kingdom has the largest asset management industry in the Gulf Cooperation Council, the fifth-largest in the Organisation of Islamic Cooperation, and the second-largest public Islamic funds market globally. 'The overall size of the market is actually growing at a very decent growth rate. So, if you look at retail brokerage or digital brokerage, it is historically growing at a 9 percent CAGR year after year,' he said, adding: 'On the asset management side, that has been growing at around 14 percent year after year.' Oversubscribed IPO Al-Shammasi also discussed Derayah's recent initial public offering, which was 162 times oversubscribed, underscoring the firm's strong market position. 'This is a great testament to the company's performance over the past few years,' he said. Founded 17 years ago as a digital challenger in capital markets, Derayah has grown into Saudi Arabia's third-largest brokerage on of the the largest independent brokers in the region. The IPO allows shareholders to sell 20 percent of the company's shares in a secondary transaction, with 90 percent allocated to corporates and institutions and 10 percent to retail investors. 'We think this will give us huge credibility in the market,' Al-Shammasi said, adding that the transaction could also pave the way for more fintech companies to list on the Saudi stock exchange. The CEO emphasized the strong demand for Derayah's IPO from investors across Asia, Europe, and the US. 'We have seen investors from all over the world submitting bids for our IPO,' he noted. Al-Shammasi further assured that Derayah is well-funded for the near future, with a debt-free balance sheet and a track record of generous dividend distributions. 'The company does not really need any capital in the near term to continue its strategy and growth plans,' he said. 'We have a perfect environment to raise money here in the Kingdom, and I'm more than happy to tap the market if we need it,' Al-Shammasi added. The CEO also revealed that Derayah has partnered with Alpaca, a significant player in international brokerage, to cater to the growing local fintech sector. The partnership aims to provide fintechs in Saudi Arabia with a localized version of Alpaca's services while facilitating international investors' access to the Saudi market. 'Alpaca operates a lot of brokerage houses, and we believe this partnership will pave the way for international investors to come and trade in the local market,' he explained. The Capital Markets Forum 2025, hosted by Saudi Tadawul Group, aims to bring together policymakers, business leaders, and industry experts to discuss trends shaping the Kingdom's capital markets and position Saudi Arabia as a key player in the global financial ecosystem.
