CmaBoardReleases
Title: Announcement regarding issuance of Disciplinary Board Resolution No. (32/2023 Disciplinary Board) (161-137/2022 Authority) and imposition of a fine against: Azyan Capital Company and Chairman of the Audit Committee and Members of the Audit Committee for violating the Provisions of Module Sixteen and the Rules of Corporate Governance and Securities Activities and Registered Persons of the Executive Bylaws of Law No. 7 of 2010 and their Amendments
Announcement regarding issuance of Disciplinary Board Resolution No. (32/2023 Disciplinary Board) (161-137/2022 Authority) and imposition of a fine against: Azyan Capital Company and Chairman of the Audit Committee and Members of the Audit Committee for violating the Provisions of Module Sixteen and the Rules of Corporate Governance and Securities Activities and Registered Persons of the Executive Bylaws of Law No. 7 of 2010 and their Amendments.
For the following reasons:
1. Article (2-2) of Module Sixteen.
2. Items (3 and 6) of Article (2-3) of the mentioned Module.
3. Article (3-5) of the mentioned Module.
4. Items (1, 2, 3, and 4) of Article (3-8) of the mentioned Module.
5. Article (3-16) of the mentioned Module.
6. Item (2) of Article (3-18) of the mentioned Module.
7. Article (3-20) of the mentioned Module.
8. Article (3-30) of the mentioned Module.
9. Item (2) of Article (3-31) of the mentioned Module, and Item (8) of Article (2-3).
10. Article (4-1) of the mentioned Module.
11. Article (6-1) of the mentioned Module.
12. Article (6-6) of Module Fifteen (Corporate Governance).
13. Article (2-1-1) of Module Five (Securities Activities and Registered Persons).
Noting that the violations from 1 to 11 are procedural and not substantive.
The Resolution included the infliction of the following penalty: -
“First: Levying a fine against Azyan Capital Company as follows:
1- An amount of KWD 10,000 (ten thousand Dinars) for the violations from the first to eleventh violations attributed to it due to correlation.
2- An amount of KWD 1000 (one thousand Dinars) for the twelfth attributed violation.
3- An amount of KWD 20,000 (twenty thousand Dinars) for the thirteenth attributed violation.
Second: Levying a fine on each of:
1- Chairman of the Audit Committee of Azyan Capital Company.
2- Member of the Audit Committee of Azyan Capital Company.
3- Member of the Audit Committee of Azyan Capital Company.
4- Rapporteur of the Audit Committee of Azyan Capital Company.
In an amount of KWD 1,000 (one thousand Dinars) for each of them for the attributed violation”.
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 Laws 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.