Wednesday, Jul 18, 2012

BEIRUT (Zawya Dow Jones)--The Kuwaiti ministry of commerce and industry will soon revoke the licenses of companies that have failed to submit financial results for more than one year without providing convincing justification, Kuwait-based Al Rai daily reports Wednesday citing an official.

Mansour Al Saeed, assistant undersecretary of the ministry's legal affairs department, told the paper that on Tuesday he submitted a note to the minister proving that there are legal grounds for withdrawing the licenses.

Mr. Saeed's legal opinion ends a long period of discussions about the legitimacy of revoking the licenses in such cases, the daily said.

Mr. Saeed told Al Rai that the ministry has prepared a list of the offending companies that will be barred from its list of licensed companies once the minister approves the decision.

According to the ministry's figures there are 367 shareholding companies that their licenses could be withdrawn by this decision, the daily reports.

The cancellation of the licenses will be followed by the liquidation of the companies according the circumstances of each company, Mr. Saeed told the paper.

Newspaper website: http://www.alraimedia.com/Article.aspx?id=366362&date=18072012

-By Beirut Bureau, Zawya Dow Jones; +961-1-985 757; BeirutZDJ@zawya.com

Copyright (c) 2012 Dow Jones & Co.

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18-07-12 0619GMT