Appeal Court rejects AlBaha Investment’s claim against former board

The Appeal Court in Jeddah has affirmed a previous ruling to reject AlBaha Investment and Development Co.’s claim against two former board members on Jan. 7, 2019, the company said in a bourse filing.

The court has also rejected the claim against the remaining defendants for being raised prematurely.

The company had accused its former board chairman and members of a fraudulent purchase of overpriced assets from a local contracting firm, seeking compensation of SAR 100 million – the difference between fair value and market price.

In March last year, the Jeddah Administrative Court ordered AlBaha’s former chairman and board directors to pay a total of SAR 68.7 million, plus attorney fees.

However, the company later said the court of appeals had overturned the previous ruling against the chairman and board members.

Last April, AlBaha appealed against the ruling.