In a major regulatory move aimed at protecting investors and strengthening market transparency, Saudi Capital Market Authority announced the referral of 17 suspects to public prosecution, including current and former board members, an acting CEO, financial executives at Cenomi Retail, and members of the company’s former external audit team.
Suspected Market Manipulation and Financial Misconduct
The authority said the referrals followed an extensive criminal inspection and financial review conducted on the company and its accounts.
According to the CMA, investigators identified suspicions involving violations of the Capital Market Law, Market Conduct Regulations, and certain provisions of Saudi corporate law.
The alleged violations include:
- Creating misleading impressions regarding the company’s stock value.
- Misuse of company funds and executive authority against the company’s interests.
- Achieving personal gains and favoritism toward related entities linked to some suspects.
Case Referred to Securities Disputes Committees
The CMA confirmed that public prosecution has officially filed the criminal case before the Committees for Resolution of Securities Disputes, initiating formal legal proceedings.
The authority emphasized that it will continue pursuing any fraudulent, deceptive, or manipulative practices in the Saudi financial market through its regulatory and investigative powers.
Investor Protection and Market Integrity
Officials stated that the identities of violators will be publicly disclosed once final rulings are issued confirming the violations.
Affected investors may also seek compensation through legal claims after the completion of official judicial procedures.
Strong Message to Financial Markets
Market observers view the move as a strong signal of Saudi Arabia’s continued commitment to tighter oversight of listed companies and corporate governance practices.
The case also highlights the Kingdom’s broader efforts to strengthen investor confidence, market integrity, and transparency as part of Saudi Vision 2030’s financial sector transformation goals.
