Jorge Said Yarur Fined Nearly $8 Million
SANTIAGO — May 17, 2024 — The Commission for the Financial Market (CMF) has fined businessman Jorge Said Yarur nearly $8 million for a securities violation. details reveal the infraction involved trading shares of Arauco Parque during a restricted period. The CMF, Chile’s financial regulator, resolute he had violated the law by engaging in prohibited financial activity. This decision is expected to reinforce regulatory compliance, and protect investors’ confidence.
Jorge Said Yarur Fined Nearly $8 Million for Securities Violation
Jorge Said yarur, a prominent businessman, has been penalized by the Commission for the Financial Market (CMF) with a fine nearing $8 million (200 UF) for trading shares of Arauco Parque during a prohibited period. The CMF, Chile’s financial regulatory body, imposed the sanction due to a violation of Article 16 -Inco 5° – of Law No. 18,045 of the Securities Market.
Did you know? UF, or Unidad de Fomento, is a Chilean unit of account that is constantly adjusted to reflect inflation.this helps maintain the real value of financial instruments.
The Regulatory Framework
The CMF clarified in a statement that the violated regulation aims to prevent individuals with privileged details from exploiting it for personal gain. This rule specifically bars directors, managers, administrators, and key executives of a securities issuer—along with their spouses, cohabitants, and relatives up to the second degree of consanguinity or affinity—from engaging in transactions involving the issuer’s securities within 30 days before the release of financial statements.
Details of the Violation
The CMF emphasized the specifics of the infraction:
Jorge Said, who is the brother of one of the directors of Parque Arauco SA, alienated a total of 1,300,000 shares on October 7 and 10, 2021, through the Inversiones Ranco Tres SA company, for a total value of $933,503,274, violating article 16 subsection 5 of Law No. 18,045.
Commission for the Financial Market (CMF)
This action directly contravened the established regulations designed to maintain market integrity.
Pro Tip: Understanding insider trading laws is crucial for anyone involved in financial markets. Always consult legal counsel if you’re unsure about the legality of a potential transaction.
Protecting Market Openness
The regulator underscored that the legal prohibition serves to mitigate the risk of individuals leveraging informational advantages,thereby safeguarding market transparency. The CMF’s enforcement actions are intended to ensure fair practices and maintain investor confidence.
