Quotes: US MENA   Enter Symbol: NewsLetter: Search: advanced

Saudi - CMA toughens stance on insider trading  Join our daily free Newsletter

MENAFN - Arab News - 17/12/2013

No. of Ratings : 0
Add to Mixx!


 


(MENAFN - Arab News) The Capital Market Authority (CMA) reiterated in a new statement on Monday that trading based on insider information in listed companies remains prohibited.
It cited Capital Market Law (CML) and relevant regulations in reinforcing its position on the issue.
Article 50 of the CML states: "Any person who obtains, through family, business or contractual relationship, inside information (insider) is prohibited from directly or indirectly trading in the security related to such information, or to disclose such information to another person with the expectation that such person will trade in such security."
Insider information means information obtained by the insider, which is not available to the general public, has not been disclosed, and such information is of the type that a normal person would realize that in view of the nature and content of this information, its release and availability would have a material effect on the price or value of a security related to such information, and the insider knows that such information is not generally available and that, if it were available, it would have a material effect on the price or value of such security.
According to Article 5 of CMA's Market Conduct Regulations, an insider is prohibited from disclosing any inside information to any other person when he knows or should have known that it is possible that such other person might trade in the security related to the inside information.
In addition, a person who is not an insider is prohibited from disclosing to any other person any inside information obtained from an insider, when he knows or should have known that it is possible that such other person to whom the disclosure has been made may trade in the security related to the inside information.
As part of its investor awareness efforts to help investors avoid violations, CMA issued a Guidebook of Examples of some violations of the Capital Market Law and its implementing regulations.
During the first half of 2013, one case related to insider trading was suspected and CMA prepared its indictment and raised the case to the Committee for the Resolution of Securities Disputes.
CMA urges board of directors and those interested in the market to read the CMA's rules and regulations as well as its investor awareness guidebooks which are available on its website.

 






  MENA News Headlines


 






Google

 
 

Middle East North Africa - Financial Network

MENAFN News Market Data Countries Tools Section  
 

Middle East North Africa - Financial Network
Arabic MENAFN

Main News
News By Industry
News By Country
Marketwatch News
UPI News
Comtex News

IPO News
Islamic Finance News
Private Equity News

How-To Guides
Technology Section

Travel Section

Search News

Market Indices
Quotes & Charts

Global Indices
Arab Indices

US Markets Details

Commodoties

Oil & Energy

Currencies Cross Rates
Currencies Updates
Currency Converter

USA Stocks
Arab Stocks
 

Algeria 
Bahrain 
Egypt 
Iraq
Jordan 
Kuwait 
Lebanon
Morocco 
Oman 
Palestine
Qatar 
Saudi Arabia 
Syria
Tunisia 
UAE 
Yemen

Weather
Investment Game
Economic Calendar
Financial Glossary

My MENAFN
Portfolio Tracker

Voting

Financial Calculators

RSS Feeds [XML]

Corporate Monitor

Events

Real Estate
Submit Your Property

Arab Research
Buy a Research

Press Releases
Submit your PR

Join Newsletters


 
© 2000 menafn.com All Rights Reserved.  Terms of Service | Privacy Policy | Contact Us | Advertise | About MENAFN | Career Opportunities | Feedback | Help