CmaBoardReleases
Title: Announcement Regarding Issuance of Disciplinary Board Resolution No. (59/2021 Disciplinary Board) (72/2021 Authority) and imposition of a fine of 10 thousand Dinars against Kuwait and Gulf Link Transport Company for violating the rules of Disclosure and Transparency.
For the following reasons:
1. Provision of Item (17) of Article (4-1-1) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
2. Provision of Article (4-2-1) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
Kuwait and Gulf Link Transport Company failed to disclose in Boursa Kuwait an agreement to transfer the ownership of the shares of the National Cleaning Company with a total of 53,156,385 shares from the Kuwait and Gulf Link Transport Company (the first party) to Sabhan Al Khaleej General Trading Company - a subsidiary company - (the second party) during the time specified by law, despite the fact that the Authority informed the Company of the need to disclose in accordance with its two letters dated 09/11/2020 and 3/12/2020, however the Company did not disclose until 7/12/2020.
The Resolution included the infliction of the following penalty: -
“Kuwait and Gulf Link Transport Company is fined an amount of five thousand Dinars for each of the violations attributed to it”.
In this regard, the CMA emphasizes the implementation of CMA Law and its Executive Bylaws on all persons dealing in securities activities, and urges them to comply with these rules in order to promote investors' confidence, create a sound investment environment, and implement the Law according to the principles of fairness, transparency, and integrity in line with the best international practice.