E-Paper
Sign In
Saudi Arabia awards compensation to over 20,000 victims of stock market violations
The ruling required the violators to pay SAR 292.8 million in illegal gains obtained through the misconduct
- PUBLISHED: Mon 29 Jun 2026, 10:13 PM UPDATED: Mon 29 Jun 2026, 10:24 PM
Saudi Arabia's capital market authority just awarded compensation to more than 20,000 investors who suffered losses due to trading violations involving shares of Al Kathiri Holding Company and Anaam International Holding Company.
The payouts follow a final ruling issued in December 2023 against several individuals found guilty of securities market violations. The ruling required the violators to pay SAR 292.8 million in illegal gains obtained through the misconduct.
Recommended For You
Compensation has now been deposited directly into the bank accounts of eligible investors through a dedicated compensation fund established by the Kingdom's market authority.
Stay up to date with the latest news. Follow KT on WhatsApp Channels.
According to the regulator, the compensation amounts were determined based on the scale of the violations, the profits illegally obtained, and the financial losses suffered by investors who traded the two companies' shares during the affected period. Some investors received compensation exceeding SAR 6 million.
Under Article 59 of the Capital Market Law, the authority can set procedures to compensate people affected by violations and create funds using recovered illegal gains. Acting on this, a compensation fund was set up to pay eligible beneficiaries based on an approved plan, ensuring the process is clear, regulated and efficient.
The regulator added that this is the fourth compensation fund it has launched in less than a year, following the first fund announced in July 2025. It said the initiative is part of broader efforts to strengthen investor protection, improve confidence in Saudi Arabia's financial markets and ensure that victims of market misconduct receive timely compensation.
The CMA noted that the compensation framework was developed after reviewing international best practices and is intended to enhance fairness, transparency and efficiency in the Kingdom's capital markets.
