CmaBylaw
Executive Bylaws
3-1 The Crime of Fraud and Manipulation in the Exchange Of Module Fourteen: Market Conduct
Section: Chapter Three: Fraud and Manipulation in the Exchange
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Wednesday, 15 February 2017
A punishment by imprisonment for a term of not more than five years and fine of not less than ten thousand Dinars and not more than one hundred thousand Dinars, or by either of these two penalties, shall be incurred by any person who is proved to have intentionally committed one of the following acts: 1. Behaves in a way that creates a false impression or misleads people concerning the actual trading in a Security or a Securities Exchange through: a. Entering into a deal in a manner that is not conducive to real change in the Security’s ownership. b. Entering a purchase or sale order for a Security with the knowledge that a similar order in terms of size, price, time of sale or purchase for the same Security, has been or will be issued by the same Person or by Persons who act in agreement with that Person. 2. Whoever concludes one or more deals concerning a Security, that would lead to: a. An increase in the price of the Security of the same Issuer for the purpose of encouraging others to purchase it. b. A reduction in the price of the Security of the same Issuer for the purpose of encouraging others to sell it. c. Creating actual or fictitious trading for the purpose of encouraging others to purchase or sell.
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