Saudi Arabia’s Securities Dispute Resolution Committee Accepts Class Action Lawsuit against Mohammed Al-Mojil’s Board of Directors

Saudi Arabia’s Securities Dispute Resolution Committee has accepted a request to register a class action lawsuit filed by an investor against Mohammed Al-Mojil’s board of directors seeking damages as a result of the company’s statements.

Limitations on Class Action Lawsuit

The Securities Dispute Resolution Committee has agreed to a request to limit the aforementioned class action to certain losses arising from statements previously published by the company that are said to have created an incorrect and misleading impression of its financial position during this period.

Eligibility to Join the Claim

The Capital Markets Authority confirmed that any person who bought a share of the company is entitled to join this claim after the announcement on February 22, 2012, of annual financial results for the financial period ending December 31, 2011, and it remained until the suspension of trading in shares in Tadavul LLC on July 22, 2012, subject to submission of the Application for Accession within 90 days from the date of this announcement.

Final Decision of the Securities Appeals Committee

The Capital Markets Authority announced the final decision of the Securities Appeals Committee on the class action filed by the investor against those responsible for the violations committed against the company Muhammad Al-Mojil Group, “at the stage of subscription to the shares of the company”, while announcing the decision of the Committee. Final appeal of a class action lawsuit filed by an investor against those responsible for the company’s own wrongdoing “in the post-subscription phase of the company’s stock”.

Source: News 24