Saudi: Bankruptcy Committee handles 16 court decisions to resolve defaults
Okaz/Saudi Gazette has learned from sources that the commercial courts in Riyadh, Dammam, Madinah, Jeddah, and Abha have issued decisions regarding the rescheduling of bad debts, addressing any financial or administrative difficulties, and protecting creditors' assets.
The Bankruptcy Committee is examining decisions issued for medical, operation, and maintenance companies, construction and development companies, contracting and aviation companies, minerals materials companies, a medical complex, and engineering companies, as well as contracting, industrial, and industrial mineral materials companies, and a car rental company.
According to the sources, the Bankruptcy Committee announced the names of a number of creditors who could not be notified due to the lack of contact information and a lack of response. These creditors include three government entities.
In sessions held virtually, the Bankruptcy Committee announced to creditors that commercial courts in Riyadh, Dammam, Madinah, Jeddah, and Abha had issued rulings initiating administrative liquidation procedures, and financial restructuring procedures, as appropriate, for each company.
The Bankruptcy Committee called on creditors to submit their claims within a period not exceeding 60 days. Creditors should submit their claims against the debtor using the claims service on the committee's website, ensuring that the creditor's claim form is completed, signed, and attached to the claim documents.
The Bankruptcy Committee has initiated procedures to enable bankrupt or distressed debtors, or those expected to suffer financial distress, to benefit from procedures to regulate their financial situation and resume their activities, while respecting the rights of creditors. Several court rulings have been issued initiating administrative liquidation procedures, financial restructuring, debt rescheduling, and other rulings appointing trustees to conduct the liquidation of distressed companies.
Lawyer Saad Misfer Al-Maliki said that the Bankruptcy Law is formulated as part of the legislative measures to safeguard rights and improve the investment environment in general. He said that the law aims to regulate procedures, including preventive settlement, financial restructuring, liquidation, preventive settlement for small debtors, financial restructuring for small debtors, liquidation for small debtors, and administrative liquidation.
The Bankruptcy Law defines a bankrupt person as a debtor whose debts have consumed all of his assets. A defaulter is defined as a debtor who has failed to pay a debt on its due date.
Al-Maliki said that the law stipulates the formation of a committee called the Bankruptcy Committee, which enjoys financial and administrative independence. It is responsible for establishing, maintaining, and managing the bankruptcy registry, licensing bankruptcy trustees and experts in accordance with the regulations, preparing a list of bankruptcy trustees and experts, and issuing regulatory rules, inspections, and verifications related to any bankruptcy procedures.
Al-Maliki explained that the law has identified four main procedures aimed at achieving its overall objectives. The first is the preventive settlement procedure, which aims to facilitate the debtor's reaching an agreement with his creditors to settle debts, while the debtor retains control over his business. The second procedure is the financial restructuring procedure, which aims to facilitate the debtor's reaching an agreement with his creditors to restructure his business financially under the supervision of a financial restructuring trustee.
The third is the liquidation procedure, which aims to limit creditors' claims, sell the bankruptcy assets, and distribute the proceeds to creditors under the management of a liquidation trustee. The fourth procedure aims to sell bankruptcy assets whose sale is not expected to generate sufficient proceeds to meet the costs of the liquidation procedure.
© Copyright 2022 The Saudi Gazette. All Rights Reserved. Provided by SyndiGate Media Inc. (Syndigate.info).
Try Our AI Features
Explore what Daily8 AI can do for you:
Comments
No comments yet...
Related Articles
Zawya
an hour ago
- Zawya
Egypt: Minister of Planning, Economic Development and International Cooperation Meets with the Japanese Ambassador and the Chief Representative of the Japan International Cooperation Agency (JICA) to Discuss Strengthening Mutual Economic Relations and Preparations for the Tokyo International Conference on African Development (TICAD)
Dr. Rania Al-Mashat discusses joint efforts to promote private sector investment through innovative financing mechanisms provided by Japanese financial institutions. Al-Mashat: The Tokyo International Conference on African Development paves the way for constructive partnerships with African countries to support sustainable development efforts. Exploring new opportunities for economic and investment cooperation between Egypt, Japan, and African countries in priority areas, particularly renewable energy. H.E. Dr. Rania Al-Mashat, Minister of Planning, Economic Development and International Cooperation, met with Ambassador Fumio Iwai, the Japanese Ambassador to Cairo, and Mr. Ebisawa Yu, Chief Representative of the Japan International Cooperation Agency (JICA) in Egypt, within the framework of following up on efforts to strengthen joint economic relations between the two countries in light of their historical and close ties in various fields, as well as discussing preparations for the Tokyo International Conference on African Development (TICAD), whose 9th edition will be held from August 20 to 22. At the beginning of the meeting, the Minister of Planning, Economic Development and International Cooperation welcomed the Japanese Ambassador to Egypt and the Chief Representative of JICA, praising the economic and development relations between the two countries which have spanned more than 70 years, reflecting the ongoing coordination and mutual keenness to develop joint relations, embodied in the exchange of visits between the leaderships of the two countries over the past years, as well as the turning point in announcing the elevating of bilateral relations to a strategic partnership during the visit of former Japanese Prime Minister Fumio Kishida to Egypt in April 2023. Both sides highlighted the various aspects of Egyptian-Japanese relations that have contributed to advancing sustainable development, particularly in sectors prioritized by the government, foremost among which are education, health, human capital investment, scientific research, and the transition to a green economy, in addition to empowering the private sector through partnerships with Japanese financial institutions. The two sides expressed their anticipation for the opening of the Grand Egyptian Museum in early November. They also reaffirmed their commitment to continue their successful cooperation in launching and completing the 4th phase of the Greater Cairo Metro. The meeting also discussed preparations for the 9th Tokyo International Conference on African Development (TICAD) and Egypt's participation in the conference. H.E. Dr. Al-Mashat emphasized the importance of the conference and its role in strengthening African-Japanese relations, paving the way for enhanced South-South and trilateral cooperation, and creating constructive partnerships that contribute to advancing development in Africa. H.E. Dr. Al-Mashat further underscored the importance of exploring new opportunities for economic and investment cooperation between Egypt, Japan, and African countries, noting that both sides should identify priority areas in this regard, particularly renewable energy, where Egypt has distinguished expertise that can be transferred to African countries with the support of Japan. In this context, Al-Mashat reaffirmed the Egyptian government's commitment to building on the ongoing progress in Egyptian-Japanese relations to further strengthen the strategic partnership and stimulate development financing and green investments in the energy, food, and water sectors within the 'NWFE' program, and expressed aspirations for a new phase that enhances climate action and expands private sector participation in development. H.E. also affirmed the government's aspiration to increase investments and participation by the Japanese private sector, JICA, and the Japan Bank for International Cooperation (JBIC), in support of the Ministry's efforts to increase development financing for the private sector from international partners, thereby supporting the goals of empowering the private sector to lead development efforts, noting the importance of enhancing the engagement of Japanese financial institutions in public-private partnerships in the areas of industrial localization, developing human capital, sustainable infrastructure, and advanced technologies such as artificial intelligence. It is worth noting that Japan is one of the most important Asian development partners, with a current cooperation portfolio comprising about 18 development projects supporting the government's plan to achieve sustainable economic development goals. The cooperation portfolio between Egypt and Japan aligns with Egypt Vision 2030, the Government Action Program (2024–2027), and Japan's financing policy priorities. The total technical support and grants provided by Japan amount to approximately $2.4 billion, in addition to development financing of approximately $7.2 billion, in the fields of renewable energy, electricity, transport, civil aviation, antiquities, irrigation, education and health, and budget support. The Minister of Planning, Economic Development and International Cooperation visited Japan last December to strengthen Egyptian-Japanese relations. During the visit, the Development Policy Financing Agreement was signed to support private sector development and economic diversification, aiming to improve the business environment, stimulate private sector investment, and promote economic diversification with a focus on green growth. Letters of exchange were also signed for the Grant Agreement of The Project for the Improvement of Equipment at the National Cultural Centre (the Cairo Opera House). Distributed by APO Group on behalf of Ministry of Planning, Economic Development, and International Cooperation - Egypt.
Arabian Business
7 hours ago
- Arabian Business
Dubai Municipality interacts with Al Barsha residents for development of two parks
In an effort to get residents' ideas for new parks and green recreational spaces that address their daily needs, reflect community aspirations, and contribute to enhancing quality of life, Dubai Municipality engaged with residents of Al Barsha in an open, on-the-ground dialogue session. The organisation's leadership team was headed by Marwan Ahmed bin Ghalita, Director General of Dubai Municipality. During the meeting, the Municipality's Public Facilities Agency presented plans to develop two parks and a central recreational space covering more than 31,000 square feet. Residents shared their preferences to shape how the parks will be designed, including safe play areas for children and running tracks for athletes, to family seating spaces, cycling lanes, and accessible facilities for all. Bin Ghalita stressed the importance of field engagement, commenting: 'Our citizens are our priority, and their voice is the foundation of any successful project. We do not just design parks on paper; we design them with the people and for the people, ensuring every individual feels the space is part of daily life and offers advanced well-being for the whole community.' The discussion also addressed construction activity in the area, with updates on efforts to enhance and develop building systems, regulate housing rentals, and improve accommodation standards for bachelors, ensuring integrated urban development in Al Barsha. The leaders highlighted initiatives designed to enhance customer experience, including the 'Happiness Vehicle', which visits citizens' homes to complete digital transactions, and the 'Virtual Appointment System' which enables direct communication with Dubai Municipality leadership from anywhere.
Zawya
a day ago
- Zawya
Dubai Municipality engages Al Barsha residents in designing parks that meet community needs
Dubai, United Arab Emirates: Dubai Municipality's leadership, headed by His Excellency Eng. Marwan Ahmed bin Ghalita, Director General of Dubai Municipality, met with residents of Al Barsha in an open, on-the-ground dialogue session. The meeting aimed to hear residents' proposals for new parks and green recreational spaces that address daily needs, reflect community aspirations, and contribute to enhancing quality of life. From idea to reality – powered by residents' voices During the meeting, the Municipality's Public Facilities Agency presented plans to develop two parks and a central recreational space covering more than 31,000 square feet. Residents shared their preferences to directly shape the design process, from safe play areas for children and running tracks for athletes, to family seating spaces, cycling lanes, and accessible facilities for all. Community voice as the compass H.E. Eng. Marwan Ahmed bin Ghalita stressed the importance of field engagement, stating: 'Our citizens are our priority, and their voice is the foundation of any successful project. We do not just design parks on paper; we design them with the people and for the people, ensuring every individual feels the space is part of daily life and offers advanced well-being for the whole community.' Beyond parks – improving building systems The discussion also addressed construction activity in the area, with updates on efforts to enhance and develop building systems, regulate housing rentals, and improve accommodation standards for bachelors, ensuring integrated urban development in Al Barsha. Services that reach residents' doorsteps Municipal leaders highlighted initiatives designed to enhance customer experience, including the 'Happiness Vehicle', which visits citizens' homes to complete digital transactions, and the 'Virtual Appointment System' enabling direct communication with Dubai Municipality leadership from anywhere. The meeting concluded with Dubai Municipality reaffirming its commitment to ongoing community engagement and collaboration on projects that make Dubai more beautiful, liveable, and enriching every day. For Media Inquiries, Please Contact:
