CRSD orders Mobily’s former executives to pay SAR 1.22 bln compensations

Logo of Mobily

The Committee for the Resolution of Securities Disputes (CRSD) issued a resolution in the class action filed against five former executives of Etihad Etisalat Co. (Mobily).
 

The committee ordered the defendants to pay SAR 1.225 billion to the 1,045 plaintiffs.
 

In December 2020, The Capital Market Authority (CMA) said the Appeal Committee for Resolution of Securities Disputes (ACRSD) accepted the class action filed by an investor against a number of Mobily’s former top executives and board members, against whom a final resolution was issued, according to data available with Argaam.
 

Mobily’s executives were charged of violations that led to a false and misleading impression about the value of its stock. They stated incorrect data in the company’s financials for Q2, Q3, and Q4 2013 as well as Q1, Q2 and Q3 2014, which inflated the telecom’ revenue over these quarters.