Saudi clampdown on insider trading is welcome news (Comment)

The Capital Market Authority (CMA) of Saudi Arabia has bared its teeth and a prominent Saudi investor has been fined 100,000 riyals (Dh97,940) for insider trading, sending shivers down the spines of those who had assumed the authority might shy from going after such personalities.

The accused is no small fry, but a prominent investor in key Saudi companies such as Saudi Hotels Company, Savola, Riyad Bank and Calyons, the subsidiary of Saudi Fransi Bank.

Saudi press reports claim he is the third-largest retail investor in the Saudi market after Prince Al Waleed and Sulaiman al Rajhi, and reportedly worth US$2 billion (Dh7.34bn).