Kuwait Capital Markets Authority fines Al‑Masala Real Estate KD 30,000 and penalises directors and auditors for IAS 24 and Listing Rules breaches

The Kuwait Capital Markets Authority (CMA) issued Disciplinary Board Resolution No. 15/2025 imposing financial penalties on Al‑Masala Real Estate Company, multiple current and former board and executive members, and external auditors for breaches of the CMA Executive Bylaws covering listing, corporate governance, International Accounting Standards, and securities activities and registered persons. The CMA found that Al‑Masala Real Estate did not comply with International Accounting Standard 24 (Related Party Disclosures) in its financial statements for the year ended 31 December 2023, breaching Article (1-14) of Module Twelfth (Listing Rules). Directors and executive management were sanctioned for failing, based on the CMA’s review of the company’s financial statements for years ended between 31 December 2018 and 31 December 2023, to discharge their corporate governance duties to ensure compliance with the Listing Rules. Financial penalties included KD 30,000 on the company, fines of KD 10,000 each on the chairman and four board members, KD 8,000 on another board member, KD 2,000 each on two former board members, KD 5,000 on the financial manager and KD 3,000 on the former financial manager, KD 20,000 and KD 15,000 on individuals in vice chairman and chief executive officer capacities (including former roles), and auditor penalties of KD 2,000 on KPMG – Safi Al‑Mutawa & Partners and KD 5,000 and KD 8,000 on Al‑Bazi & Partners (RSM) for breaches of Article (3-4-5) of Module Five.