CMA LAW: Resolution No. (83) of 2024 Regarding the Restriction of the Securities Activities License of First Investment Company

Having Perused:
- Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities, its Executive Bylaws, and amendments thereto, and
-  Law No. 71 of 2020 Regarding the Issuance of Bankruptcy Law, its Executive Bylaws, and amendments thereto, and
- The securities activities license certificate for First Investment Company No. (AP/2015/0008) issued on 08/03/2024, and
- CMA Board of Commissioners Resolution passed in its meeting No. (20) of 2024 held on 26/06/2024. 

The Following Was Resolved:
Article (1)
The following securities activities of First Investment Company are hereby restricted:
- Investment Portfolio Manager.
- Custodian.
- Collective Investment Scheme Manager.
- Subscription Agent.

The Company is limited to managing and safeguarding the current funds and assets of clients. The Company is prohibited from accepting the management and safeguarding of new clients’ fund and assets for a period of six months or until a final resolution or judgment is issued by the Court of Appeal, whichever comes first.

Article (2)
First Investment Company shall set procedures to ensure the ability of the current clients to recover their funds and assets from the licensed person upon their request.

Article (3)
The Company shall provide the CMA with a monthly report on the measures taken by the licensed person to comply with the requirements of the Bankruptcy Law and its Executive Bylaws as of the issuance date of this Resolution.

Article (4)
The Company shall disclose this Resolution at Boursa Kuwait immediately upon its issuance in implementation of the provisions of Module Ten (Disclosure and Transparency) of the Executive Bylaws of Law No. 7 of 2010 and amendments thereto. 

Article (5)
The Company shall prepare a plan to address the reasons for restriction of the activity and submit it to the CMA as set forth in Article (1-14-1) of Module Five (Securities Activities and Registered Persons) of the Executive Bylaws of Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and amendments thereto. 

Article (6)
The Company shall meet all legal obligations set by Law No. 7 of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities, its Executive Bylaws, and amendments thereto.

Article (7)
The concerned bodies shall execute this Resolution, each within its jurisdiction. This Resolution shall come into force as of 26/06/2024, and it shall be published in the Official Gazette.

Othman Al-Issa
Acting Managing Director
Issued on: 27/06/2024.

Copy of the Official Document

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