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10. Penalties Under this Chapter

10.1 As per Article (361) of the Commercial Companies Law, "without prejudice to any severer penalty provided for in the Penalties Code or in any other law, imprisonment and a fine not less than five thousand Bahraini Dinars and not exceeding ten thousand Bahraini Dinars or either of these two penalties shall be imposed on":
(a) Any person who has stated in the issuer's Memorandum and Articles of Association or in the prospectus or in any other documents of the issuer, false data or data in violation of the provisions of the Commercial Companies Law and this Chapter, and any person who has wilfully signed these documents or distributed them.
(b) Any founder, manager or board member who has invited the public to subscribe for Debt Securities in contravention of the provisions of the Commercial Companies Law and this Chapter, and whoever has offered these Debt Securities for subscription with his knowledge of this violation.
(c) Any board member, manager or auditor who has participated in preparing or approving a balance sheet that does not reflect the true financial position of the issuer or a profit and loss account that does not properly represent the profits or the losses of the issuer for the financial year.
(d) Any manager, board member, liquidator or auditor who has stated false or untrue data in the balance sheet or in the profit and loss account or in the reports he has prepared for the partners or for the general assembly or who has failed to submit these reports or who has wilfully ignored essential facts in these statements which renders the issuer's financial position untrue.
10.2 As per Article (362) of the Commercial Companies Law, "without prejudice to any severer penalty provided for in the Penalties Code or in any other law, a fine not exceeding five thousand Bahraini Dinars shall be imposed on":
(a) Any person who has issued Debt Securities, subscription receipts, interim certificates or has offered them for trading in contravention of the provisions of the Commercial Companies Law and this Chapter.
(b) Any manager, board member, auditor or liquidator who has wilfully ignored essential facts in the balance sheet or in the profit and loss account that affects the issuer's financial position.
(c) Any board member who has prepared a report or a balance sheet or an account contrary to the decision referred to in Article (195) of the Commercial Companies Law and these Guidelines and any auditor who has prepared a report contrary to the data referred to in Article (219) of the Commercial Companies Law and these Guidelines.