Sunday, Feb 19, 2012
DUBAI (Zawya Dow Jones)--Siraj Capital Dubai, a Saudi-owned investment firm, has filed a winding-up petition in the Dubai International Financial Center's courts five months after its license to provide financial services was withdrawn by regulators.
The petition, details of which were posted on the DIFC courts' website Sunday, is a first step in an insolvency process where creditors can try to recover unpaid dues from the company as it closes up shop, according to two people familiar with the procedure.
A first hearing in the case is scheduled for Wednesday, the DIFC courts' website says.
Siraj had its license pulled last September by the Dubai Financial Services Authority, or DFSA, which regulates financial activity in the DIFC.
The DFSA said Siraj failed to maintain adequate capital, did not notify the regulator of actions that would result in changes to its solvency and did not "ensure that its affairs were managed effectively and responsibly by its senior management," among other infractions, according to a statement.
As a result, the DFSA found Siraj was "not fit and proper" to maintain its license.
Siraj couldn't be reached for comment on the winding-up petition.
-By Asa Fitch, Dow Jones Newswires, +971 4 446-1685, asa.fitch@dowjones.com
Copyright (c) 2012 Dow Jones & Co.
(END) Dow Jones Newswires
19-02-12 0809GMT
