Penalty for Securities Activities Firms Not to Fill Senior Executives

What if the position of senior executives becomes vacant for a company that carries out securities activities in Kuwait, and the company does not start or delays from the appointed date for filling this position?

The answer to this question is clarified by a securities attorney in Kuwait at Al-Rashed, Al-Hadlaq and Al-Roudhan Group for Advocates and Legal Consultants.

The position of senior executives with a company that engages in securities activities is one of the positions that must be registered with the Capital Markets Authority, and the company is responsible for registering any individual working for it in positions and positions that are required to be registered with the Authority.

In accordance with the fifth book (Securities Activities and Registered Persons) of the Executive Regulations of Law No. 7 of 2010 and their amendments, the company licensed to practice securities activities must notify the Capital Markets Authority when a person has ceased to occupy the positions or positions that must be registered within five working days from the date of this vacancy. The position or position. If any registered position becomes vacant, the company must fill the vacant positions within six months at most.

And the Disciplinary Board of the Capital Markets Authority, in its session held on Thursday, 21/01/2021, issued a decision to impose a fine of three thousand dinars on a company for failing to fill the position of senior executives from 1/1/2020 until the date of the session, the fine to be renewed is monthly, starting from 30/3/2021 and until the violation is corrected.

If you are looking for a Kuwaiti law firm that specializes in providing legal services to the securities, capital and stock market activities, you can count on us at Taqneen, Law Firm and Legal Consultations.

To book an appointment or request legal advice about the duties of securities companies in the optimal implementation of clients’ orders, we are pleased to receive your inquiries at (