CMA LAW: The Capital Markets Authority Regularizes the Situations of the 4th Group of the Investment Companies

Kuwait, 13th May 2015 – In line with the CMA's efforts to implement Law No. 7 of 2010 and its Executive Bylaw, and set-up the rules of supervising and regulating the securities activities and protecting the persons who deal in securities, the CMA has looked into the situations of the 4th group of the investment companies which are registered with the Central Bank of Kuwait (CBK). It has issued licenses for the practice of securities activities for 5 companies, and for some activities that are required to be practiced according to CMA's regulations and legislations in this regard, in addition to the provisions of Law No. 7 of 2010 and its Executive Bylaw.
Further, and as part of CMA's approach towards improving the work of the licensed persons, the CMA has issued an initial approval for 9 companies for six renewable months. It starts from the date of the initial approval issuance in order for the companies to meet certain criteria or complete the legal procedures required for amending the Articles of Association of adding some of the required activities which the company is permitted to practice to be part of the purposes of its establishment.
Additionally, the companies which have not fulfilled certain requirements regarding regularizing their situations are given additional grace period which lasts until August 12 to complete the requirements according to the Law.
Thus, the CMA considers regularizing the situations of the investment companies which are registered with the CBK of utmost importance. It aims at completing the regularization within the period specified by the CBK.

Clarification to Editors:

The Capital Markets Authority was established pursuant to Law No. 7/2010, approved by the Kuwaiti Parliament in February 2010, and amended by Law No. 108/2014. Pursuant to the Law, the Authority shall regulate and supervise the securities activities, achieve transparency and fairness, oblige the listed companies to execute the Corporate Governance Principles, and protect the investors from the unfair practices which violate the Authority's Law.

Furthermore, the Law's provisions stipulate the supervision of the merger, acquisition, and disclosure operations. The Authority also aims at providing awareness programmes related to securities activities. 

For more information kindly contact:

Public Relations & Media Office
Tel: 22903062
Fax: 22410169
Email: pr-media@kuwaitcma.org   
             

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