Title: Announcement regarding issuance of Disciplinary Board Resolution No. (09/2023) Disciplinary Board - (154/2022) Authority and imposition of a fine against each of: 1- First Investment Company, 2- Abdullateef Abdul-Aziz Al-Sharekh - Chairman of the Audit Committee of First Investment Company, 3- Nourah Bader Al-Ghanim - Member of the Audit Committee of First Investment Company, 4- Mohammad Abdul-Razzaq Al-Kandari - Member of the Audit Committee of First Investment Company, 5- Khaled Haddad Al-Ayyoubi - Member of the Audit Committee of First Investment Company, 6- Ahmad Adel Al-Dousari - Member of the Audit Committee of First Investment Company for violating the rules of Disclosure and Transparency and the rules of Corporate Governance

Announcement regarding issuance of Disciplinary Board Resolution No. (09/2023) Disciplinary Board - (154/2022) Authority and imposition of a fine against each of:

1- First Investment Company.
2- Abdullateef Abdul-Aziz Al-Sharekh - Chairman of the Audit Committee of First Investment Company
3- Nourah Bader Al-Ghanim - Member of the Audit Committee of First Investment Company.
4- Mohammad Abdul-Razzaq Al-Kandari - Member of the Audit Committee of First Investment Company.
5- Khaled Haddad Al-Ayyoubi - Member of the Audit Committee of First Investment Company.
6- Ahmad Adel Al-Dousari - Member of the Audit Committee of First Investment Company.

For violating the rules of Disclosure and Transparency and the rules of Corporate Governance.

For the following reasons:

First: First Investment Company violated the following:
1) Provision of Item (9) of Article (4-1-1) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
The Company failed to disclose the resignment of the Board Member representative from the Company’s Board of Directors.

2) a. Provision of Item (26) of Article (4-1-1) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
b.   Provision of Item (6) of Appendix (9) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
The following was proven to the CMA:
1. The Company disclosed the call for its Board of Directors’ meeting without mentioning the Item of changing its external auditor.
2. The Company disclosed the call for its Board of Directors’ meeting without mentioning the Item of appointing the new external auditor.

3) Provision of Article (4-2-1) of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
The following was proven to the CMA:
a. The Company’s delay in disclosing the formation of the Board of Directors.
b. The Company’s delay in disclosing some material information of some judicial judgments.

Second: Each of the following:
1- Mr. Abdullateef Abdul-Aziz Al-Sharekh - Chairman of the Audit Committee of First Investment Company
2- Ms. Nourah Bader Al-Ghanim - Member of the Audit Committee of First Investment Company.
3- Mr. Mohammad Abdul-Razzaq Al-Kandari - Member of the Audit Committee of First Investment Company.
4- Mr. Khaled Haddad Al-Ayyoubi - Member of the Audit Committee of First Investment Company.
5- Mr. Ahmad Adel Al-Dousari - Member of the Audit Committee of First Investment Company.
They violated the provision of Item (7) of Article (5-6) of Module Fifteen (Corporate Governance) of the Executive Bylaws of Law No. 7 of 2010 and their amendments:
This is due to unavailability of an evidence proving that the audit committee has met with the Company’s external auditor and internal auditor even though the Company was previously warned of the importance to comply with the aforementioned Item and the Company undertook not to repeat that violation in the future.

The Resolution included the infliction of the following penalty: -

"First: Levying a fine against First Investment Company in an amount of KWD 5000 (five thousand Dinars) for the attributed violations due to correlation.

Second: Levying a fine against each of the following:
1- Abdullateef Abdul-Aziz Al-Sharekh - Chairman of the Audit Committee of First Investment Company
2- Mohammad Abdul-Razzaq Al-Kandari - Member of the Audit Committee of First Investment Company.
3- Khaled Haddad AL-Ayyoubi - Member of the Audit Committee of First Investment Company.
4- Ahmad Adel Al-Dousari - Member of the Audit Committee of First Investment Company.
In an amount of KWD 1000 (one thousand Dinars) on each one of them for the attributed violation.

Third: Levying a warning on Nourah Bader Al-Ghanim in her capacity as Member of the Audit Committee of First Investment Company for the attributed violation and warning her not to repeat her violation in the future.”

In this regard, the CMA emphasizes the implementation of CMA Law and its Executive Bylaws on all persons dealing in securities activities, and urges them to comply with these Laws in order to promote investors' confidence, create a sound investment environment, and implement the Law according to the principles of fairness, transparency, and integrity in line with the best international practice.