Riyadh – Mubasher: The Saudi Capital Market Authority (CMA) imposed fines at a total of SAR 100,000 on three Saudi-listed companies for violating laws.

CMA imposed fines on Al Jouf Cement Company and Salama Cooperative Insurance Co. of SAR 300,000 each for violating paragraph (A) of Article (14) of Corporate Governance Regulations.

Both companies failed to set up an audit committee of not less than three members excluding executive board members, according to a bourse filing on Wednesday.

The cement company did not appoint a replacement member from 14 July, 2015 until 21 April, 2016, while the insurance company has not set the committee since 16 December, 2015 until this date.

Ash-Sharqiyah Development Co. was also fined with SAR 40,000 for violating paragraph (A) of Article (46) of the Capital Market Law and paragraph (A) of Article (41) of the Listing Rules.

The Saudi-listed company failed to inform CMA and the public about the delay in the supply of milk, the statement said.

The company announced on 23 December 2015 that it has signed a two-year supply contract for fresh milk with a total value of SAR 28.5 million starting from 1st of January, while the milk was not exported until the beginning of April.