Workshop to explain bankruptcy law and financial reorganization procedures

05-05-2019 Media in\ Dubai
The Financial Reorganization Committee organized a workshop to explain the bankruptcy law and financial reorganization procedures with the participation of representatives from the Ministry of Finance, judges and bankruptcy cases in Dubai Courts, Abu Dhabi Judicial Department and Ras Al Khaimah Courts last Thursday at the Conrad Dubai Hotel.

The workshop highlighted the Federal Law No. 9 of 2016 on bankruptcy and its added value to the legal and legislative system in the country. This law supports the confidence in the legislative structure of the state and protects investors, which strengthens the position of the country in the various indicators of global competitiveness and contributes to attracting more. Of investments, especially foreign ones.

He praised the Undersecretary of the Ministry of Finance and Chairman of the Financial Planning Committee, the cooperation of all concerned parties in the State and its keenness to implement the law in an optimal manner and to ensure the achievement of the objectives that were issued for them.

Federal Law No. 9 of 2016 on bankruptcy is distinguished from its regional and global counterparts by organizing various bankruptcy cases and defining the necessary legal tools to restructure the debtor’s business according to clear conditions and rules defined by the law.

He added that achieving comprehensive and sustainable development at the national level requires the existence of an integrated and fair legal system. In this sense, the bankruptcy law contributes to providing a safe investment environment that encourages investors and foreign capital to invest in the country.

The workshop, which was presented by the Secretary of the Financial Reorganization Committee, discussed the importance of the Bankruptcy Law and the frameworks that were considered when preparing and issuing it. He created legal tools that enable the restructuring of the debtor’s business in accordance with a clear legal framework which is an important addition to the UAE legislative system.

The law in its basic structure on the principles of legal and economic development, taking into account the challenges and social and economic variables, it contributes at the same time to support the competitiveness of the state globally and to build a mature economy that guarantees the rights of individuals and institutions and achieve balance of interests and justice For creditors and debtors.

The Bankruptcy Law contributes to raising the level of credit and financial security in the country by enhancing investors’ confidence and moving the state economy on the basis of allowing the financially challenged to reorganize their financial and trade affairs to overcome the stumbling stage and repay the debts and obligations that have accrued to them. The application of transparent, It protects the rights of investors and capitalists, which positively affects the cash flows and investments in the country.

The workshop reviewed a practical example of eliminating the state of excessive indebtedness through the financial restructuring of the debtor and the points to be considered in these cases, including the rights of the various parties and the factor of time, cost and expected returns from the adoption of the legal procedures and ways of managing the debtor’s property and funds, financial reorganization and the role and contribution of creditors in the proceedings Points to be considered to enhance the State’s assessment in the World Bank report.