CmaBoardReleases
Title: Announcement Regarding Issuance of Disciplinary Board Resolution No. (34/2021 Disciplinary Board) (23/2021 Authority) and imposition of a fine of two (2) thousand Dinars against 1- Massaleh Investments Company 2- Rabea Saad Al Muhanna (Crowe Al Muhanna & Co) for violating Clients’ Funds and Clients’ Assets
Announcement Regarding Issuance of Disciplinary Board Resolution No. (34/2021 Disciplinary Board) (23/2021 Authority) and imposition of a fine of two (2) thousand Dinars against 1- Massaleh Investments Company 2- Rabea Saad Al Muhanna (Crowe Al Muhanna & Co) for violating Clients’ Funds and Clients’ Assets.
For the following reasons:
First:- Massaleh Investments Company, for the proven violation of the provision of Item (1) of Article (5-1-9) of Modle Seven (Clients' Funds and Clients' Assets) of the Executive Bylaws of Law No. 7 of 2010 and their amendments, due to the Company’s entry into an agreement to establish an investment portfolio with a number of clients, without including in those agreements evidence of the Company and client's compliance with the provisions of Law No. 7 of 2010 and its Executive Bylaws.
Second:- Ms. Rabea Saad Al Muhanna (Crowe Al Muhanna & Co) in her capacity as the auditor of Massaleh Investments Company, for violating the provisions of Article (2-5) of Module Seven (Clients' Funds and Clients' Assets) of the Executive Bylaws of Law No. 7 of 2010 and their amendments, following what was proved by reviewing the auditor's report concerned with ascertaining the extent of the Company's compliance with the provisions of Module Seven (Clients' Funds and Clients' Assets) prepared for the financial year ended December 31, 2019. The report did not include the two observations regarding the company mentioned by the Authority's inspection team.
The Resolution included the infliction of the following penalty: -
First:- Massaleh Investments Company is fined an amount of one thousand Dinars for the attributed violation.
Second:- Ms. Rabea Saad Al Muhanna (Crowe Al Muhanna & Co), in her capacity as the auditor of Massaleh Investments Company, is fined an amount of one thousand Dinars for 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.