Latest news with #AlaaNasr
Gulf Today
18 hours ago
- Business
- Gulf Today
Dubai merchant who owes Dhs13.6 million declared bankrupt
Dubai Civil Court of Appeal upheld the bankruptcy of a merchant and appointed an expert to liquidate his assets and settle his obligations to creditors. The decision came after all previous attempts to resolve his financial situation had been exhausted and he had ceased to pay his debts. The case dated back to May 2024, when a merchant (the debtor) filed a request to initiate bankruptcy proceedings, citing his deteriorating financial situation and failure to pay his debts for over 30 working days. The debtor had previously filed an insolvency application with Dubai Courts, but the court rejected his request after reviewing the accounting expert's report. The debtor appealed the verdict, but the Court of Appeal upheld the decision issued by the Court of First Instance and rejected the appeal in form and content. The case papers indicated that, in light of the merchant's ongoing financial difficulties, he once again filed for bankruptcy. The Court of First Instance reviewed the application and appointed an expert to assess his financial situation. The court ordered the debtor to submit all documents relating to the companies he was associated with and the percentage of his shares in them. These companies were found to be affiliated with a food company. The court decided to accept the request to initiate bankruptcy proceedings and the trustee began his task and prepared a final list of accepted debts including four creditors with total claims amounting to Dhs13.6 million. While no grievances were filed against the list, some banks requested that the case be dismissed for not meeting the legal requirements stipulated in article 73 of the bankruptcy law. The court, however, continued the proceedings and issued its ruling declaring the merchant's bankrupt, with the trustee still appointed to carry out inventory and liquidation operations and distribute the proceeds to creditors. Dr. Alaa Nasr, the merchant's legal representative, said that the verdict includes exempting the debtor of the task of managing his funds and ordering him to hand over all documents and assets to the trustee within five days. The court also ordered a seizure of all his balances and properties including bank accounts, real estate and vehicles on a precautionary basis, while assigning the competent authorities to disclose any property belonging to him. In addition, the court obligated him to submit the financial statements and profits of the companies in which he owned shares.
Gulf Today
17-05-2025
- Business
- Gulf Today
Dubai court orders liquidation of firm after creditors file a claim of Dhs3.7m against it
The Dubai Commercial Court has ordered the liquidation of a company operating in the building materials trade, appointing a legal administrator to oversee the process and inventory assets, settle liabilities, and distribute any remaining funds or movable assets to creditors. The decision came after a creditor filed a claim of Dhs3.7 million against the company, an amount 12 times its capital of Dhs300,000. The case details reveal that the creditor sued the company, demanding its dissolution and liquidation. The creditor argued that the company's losses exceeded its capital, it had completely ceased operations, lacked assets to fulfill obligations to creditors, had no registered headquarters, faced multiple lawsuits, and had frozen bank accounts. The judge appointed a specialised accounting expert, whose report confirmed the absence of audited financial statements or accounting records. The report stated that the company's losses reached Dhs4 million, indicating its capital had been depleted. Additionally, the company owned no fixed or movable assets and had no active bank accounts. Satisfied with the expert's findings, the court ordered the company's liquidation. Dr Alaa Nasr, the legal representative of the claimant, noted that Decree No. 32 of 2021 on Commercial Companies outlines several conditions for dissolving a company, including: the expiration of the term specified in the contract or articles of association (unless renewed), the achievement of the purpose for which the company was established, or the depletion of all or most of its funds.
Gulf Today
13-05-2025
- Business
- Gulf Today
Dubai court obliges real estate firm to return Dhs1.267m to plot purchasers
Dubai Real Estate Court ordered a real estate development company to refund Dhs1,267,000 to two buyers, whom the company had sold a plot of land to build a residential villa but the company failed to deliver the land. The court also rejected the inclusion of a second company in the case, as it provided evidence of returning the amount it had received from the buyers. According to the case documents, the plaintiffs signed a land sale contract to build a residential villa, purchasing a plot from the appellee company for a total of Dhs1,334,000 and on the same date, the second appellee company signed a civil works management services contract with the plaintiffs, committing to construct a villa on the plot. Payments were agreed to be made in three installments and the first company received Dhs1,467,000 from the plaintiffs, including Dhs1,334,000 for the land and Dhs133,000 as the first installment for construction costs. The first company allegedly failed to deliver the land to the plaintiffs and both companies signed a termination agreement for the sale contract and the services management contract, with the first company pledging to refund the amount received from the plaintiffs, but it did not fulfill this obligation. The court noted that the first company did not provide evidence of clearing its debt or returning the amount received, having transferred only Dhs66,000, and thus, it still owes Dhs1,267,000. The court also rejected the inclusion of the second company in the case, as it provided proof of returning the amount it had received from the plaintiffs. Dr Alaa Nasr, the legal representative of the plaintiffs, stated that Article 246 of the Civil Transactions Law obligates contracting parties to fulfill the terms of the contract, and the contractor must execute the contract as agreed.
Gulf Today
30-04-2025
- Gulf Today
5 break into a Dubai firm's warehouse, cut open safe and steal Dhs1.1m
Dubai Civil Court has ordered five Asian nationals to pay Dhs1.1 million to a Dubai-based company, along with a 5% legal interest from the date of the judgment. This ruling follows the suspects' criminal conviction for stealing from the company's warehouse. According to court documents, the company filed a civil lawsuit seeking Dhs7 million in compensation after the Public Prosecution charged the five suspects with nighttime robbery under threat of weapons. The suspects allegedly broke into the company's warehouse late at night using an electric saw, stole a safe containing Dhs1 million and various mobile phones, and fled. Dubai Misdemeanour Court previously sentenced the five suspects to 6 months in jail, imposed a collective fine of Dhs1.1 million (the stolen money), and ordered their deportation after serving their sentences. The ruling became final, prompting the company to file the civil suit for material and moral damages resulting from the theft. Dr Alaa Nasr, the company's legal representative, stated that under the law, no one may take another's property without lawful cause. If taken, it must be returned.
Gulf Today
27-04-2025
- Business
- Gulf Today
Dubai court stops all legal procedures against woman facing financial crisis
Dubai Civil Court halted all penal proceedings initiated by creditors against an Arab woman who was indebted, due to financial distress and bounced cheques. The court appointed an expert to initiate insolvency proceedings and liquidate her assets. According to case documents, the Arab woman filed a request with Dubai Civil Court to declare her insolvency and liquidate her assets. The court deemed the request legally valid and accepted it in form, while maintaining all precautionary measures against her, including a travel ban. Insolvency proceedings were then initiated. The court instructed an expert to publish the decision to begin insolvency proceedings and invite creditors to submit their claims within 20 working days from the publication date. Additionally, anyone with a claim to the woman's assets was given a maximum of two months from the publication date to file a request for recovery. The court also asked the expert to assess the possibility of reaching an amicable settlement with creditors without harming their interests and to propose a timeframe for finalising such an agreement. Dr Alaa Nasr, the legal representative of the woman, stated that the humanitarian approach of the UAE and its wise leadership is evident in the provisions of Federal Decree-Law No. 19 of 2019 concerning insolvency. This law enhances the UAE's competitiveness in the ease of doing business, facilitates support for individuals facing financial difficulties, and protects those unable to repay debts from bankruptcy.
