Jordan Securities Commission Re-Forms the Complaints Committee November 12.2012

Jordan Securities Commission (JSC) recently re-formed the Complaints Committee to protect investors in Jordan securities market & to govern the relation between securities dealers & parties subject to the Commissions’ supervision, to cope with the relevant law & legislations.

The Complaints Committee shall apply a Unified Method for dealing with lodged complaints to the Commission, of which can be summarized as follows:

• Complaints shall be lodged to (JSCs’) Customer Service Bureau.
• The complained of party shall be addressed to respond to the lodged complaint within two weeks of its issuance & it shall be notified that the complainer shall be provided with its response.
• The complainer shall be provided with the response of the complained of party within seven working days of receiving it.
• If the complained of party does not respond to the Complaints Committee within the specified period of time or refuses or refrains from providing it with the required documents or information, the Complaints Committee shall state its opinion of the lodged complaint & ascribe it to (JSCs’) Board of Commissioners to take measures & impose penalties stipulated by the law against the complained of party.
• Otherwise, the Complaints Committee shall view the lodged complaint & pursue violators to cope with the Securities Law, instructions & decisions issued pursuant thereto & ascribe this to the Board of Commissioners.

The (JSC) is unauthorized to rule in legal disputes among parties & in those viewed in courts, nor the right to rule in compensations. Instead, it views the lodged complaints without any prejudice against the complainer wishing to go to court. If the violation is proved, the Commission may penalize & fine the violating party of the Law, its relevant instructions & decisions. The Commission shall not be a party in any dispute arising between the complainer & the complained of party.
Lodged complaints shall be unacceptable in the following cases:

• Any lodged complaint that is not within the jurisdiction of (JSC) as the Securities Law No. (76) for the year 2002 stipulates.
• The issue of the lodged complaint is being viewed in court upon submitting it.
• The complaint is not lodged on the specified form or unsigned by the complainer or his legal representative or undocumented.
• One or more than a year passed on the date of process complained of.
• The complainer does not specify the complained of processes.

In general, lodged complaints to the Commission are related to the following issues:

1. Dealing with clients portfolios without a signed authorization.
2. Brokerage Companies are not executing their clients’ orders whether to sell or to buy.
3. Not taking clients interests into account (misdirect funds entrusted by clients).
4. Not responding when inquired about shares.
5. Or refraining from providing their clients with their credit balance or accounts statements when required.
6. Manipulating commissions & not complying with what is agreed upon.
7. Disclosures of Public Shareholding Companies.
8. Complaints related to “Treasury Stocks”.
9. Promoting & disseminating rumors.
10.  Affecting the price of any security.
11.  Withdrawing shares of clients from the Securities Depository Center (SDC) without a prior to authorization.

To enhance cooperation with investors in Jordan securities market, (JSC) is in favor of the open door policy via its Customer Service Bureau to view all lodged complaints as deemed proper.