RIYADH — Three workers of a corporation were penalized by the Capital Market Authority (CMA) for violating many provisions of the Capital Market Law. Three employees will be fined SR 3.95 million, and one will be imprisoned for six months. Three workers of Abdullah A. M. Al-Khodari Sons Co. were found guilty by the Appeal Committee for the Resolution of Securities Disputes (ACRSD) under CMA of breaking several sections of the Companies Law and the Capital Market Law.
According to the ACRSD, the company’s director of the financial department, Sohail Sa’eed Mohammed Sa’eed, its chief financial officer, Kailash Nath Sadangi, and its chief executive officer, Fawaz bin Abdullah bin Abdulmohsen Alkhodari, were found guilty of violating Article 49/a of the Capital Market Law and Article 7 of the Market Conduct Regulations by engaging in actions that artificially increased the revenues of four construction projects in the company’s financial statements between the fiscal year that ended on December 31, 2010, and the fiscal year that ended on December 31, 2017. It was discovered that the actual expenses shown in the business’s records did not match the costs utilized to determine the project completion percentage.
Fawaz bin Abdullah bin Abdulmohsen Alkhudari, the company’s chief executive officer, was also found guilty in the ACRSD’s final decision of violating Article 211/a of the Companies Law by failing to provide evidence of losses associated with six construction projects that were withdrawn from the company in the fiscal year that ended on December 31, 2017, with the intention of hiding the company’s financial situation in violation of the International Financial Reporting Standard and the International Accounting Standard.
Also Read:
Saudi Arabia is the First Arab Nation to Congratulate Trump
