New arbitration body for Bourse disputes approved

A new Bourse arbitration body has been approved, Chairman of the Cairo and Alexandria Stock Exchange (CASE), Sameh El-Torgoman said after the Higher Constitutional Court had ruled that the present system was unconstitutional.

In a meeting yesterday with members of Egyptian Businessmen Association, El-Torgoman said that a fund was being set up to cover risk and cases of fraud on the Bourse. "Investors would be asked to make regular subscriptions as part of contracts between companies and clients," El-Torgoman said.

The new system will come into force in August to protect investors' interests, he said, adding that companies risk fines for failure to submit their accounts for inspection.

"For the first time in its history, the Egyptian Bourse has been listed with the International Stock Market federation (ISMF) it is therefore expected to become a full member within the next two years, thus putting it on an equal footing with stock exchange in New York and London," El-Torgoman said.

"Also for the first time, Egypt has been invited to an ISMF meeting in Amsterdam. We are working on a special satellite television channel to broadcast information from the Egyptian Bourse and its activities," he added.

El-Torgoman expressed hope that after upgrading, the Egyptian Bourse will attain high prestige worldwide.