Law no. 95 of 1992 grants the authority the right to impose administrative penalties and regulatory measures on companies which violate the provisions of that law and its Executive Regulation and the Decree s issued in that respect , and that is according to the following articles:
- Article 30 of Capital Market Law no.95 of 1992 which grants the chairman the right to impose administrative penalties on the companies violating the provisions of the law as follows:
- Notifying the company to remove the violations within a certain period.
- Suspending the activities of the company(in case the company does not remove the violations attributed to it within the time limit defined by the chairman, namely 30 days from the date of notification).
- The Board of Directors shall cancel the license granted to the company in case it does not remove the violations within the suspension period.
- Article 31 of Capital Market Law no.95 of 1992 which grants the Board of Directors the right to take the following measures in case of any emerging danger affects the stability of the capital market , or the company’s shareholders interest, or the interest of the people dealing with such a company:
- Give an admonition to the company.
- Prevent the company from performing part or all of its licensed activities.
- The company’s chairman is called upon to convene a board meeting to look into law violations with which the company is charged , and to take the necessary measures to remove the same. The meeting should be attended by one or more officials representing the Authority.
- Appointing an observer on the board of the company for a period to be specified by the Authority’s Board , and he shall take part in the board discussions and record his opinion on Decree s taken.
- Dissolve the board of the company and appoint commissioner to manage the company temporarily until a new board is appointed in accordance with the governing laws in this respect.
- Oblige the infringing company to increase the amount of insurance paid.
Article 43 of Capital Market Law no.95 of 1992which gives the Authority the right to take whatever measures necessary to achieve its objectives , in particular:
- Control the capital market to ensure that transactions in securities are carried out on sound basis and are not defected by any fraud, swindle, deception, exploitation, manipulation or speculative practices.
Take necessary measures to monitor the implementation of this law and its executive regulations
Administrative Actions are Avaliable Only in Arabic