Financial penalties against stock market manipulators... excluding the victims

Investment circles in the financial market have called for stricter penalties and sanctions that go beyond financial fines, including bans lasting no less than five years, particularly given the financial flexibility of many violators who view monetary fines as a minor inconvenience.

Sources say there is a significant gap between the imposed fines and the objectives achieved, which encourages violators to continue the same practices.

They pointed out that in cases of repeated violations and manipulations by the same party, a permanent ban on any direct or indirect activity should be imposed. This is especially important because financial penalties and sanctions levied on violators often serve only to satisfy the regulatory authority’s interest in punishing manipulation on one front, while ignoring the rights of shareholders and investors harmed by such practices. Where are the rights of these affected parties against the manipulator or violator?

This approach requires a comprehensive legal vision that takes into account the rights of those harmed, particularly since the market contains many other parties affected by certain practices that are met only with financial penalties.

Currently, the market sees numerous cases and punitive practices. More than a decade and a half has passed since the enactment of the regulatory law, which enables the regulatory authority to conduct a historical review based on past violations to develop a comprehensive vision that sets final limits on any negative practices.