Marka of subscriptions for $ 2.7 billion for bankruptcy within 7 years

Mohammed Ali Yassin, CEO of Strategy and Customers at Al Dhabi Capital Limited, examined the scale of the ruling by the Dubai courts declaring the bankruptcy of the Marka company and liquidating its funds, including its subsidiaries.

Yassin explained in an interview with “Al Arabiya” that the board of directors brings as a company Responsibility contribution, although this current board is not the one who founded the company, After failing to reach an agreement, the board resorted to the bankruptcy law.

The court obliged former board members and former directors to jointly pay a sum of AED 448 million to creditors.

Yassin pointed out that Marka was listed on the Dubai Financial Market in late June 2014 and acquired Reem Al Bawadi in May 2015 for 315 million dirhams, explaining that as of 2018 there are no clear books for the company. in accounting terms, perhaps due to an administrative vacuum, and when searching for papers, did not exist and this indicates the suspicion of trying to hide it.

It was expected that the stages of cassation and discrimination would delay the implementation of any direct judicial proceedings with imprisonment, especially as some of the directors of this company are members of other companies, and this has consequences, but the power of the sentence will send a clear message to assume the responsibilities of the board of directors on behalf of the shareholders.

Marka was launched in 2014 and has been the first on the Dubai financial market since 2009, aiming for $ 175 million and raising $ 2.7 billion in approximate figures, but then errors occurred.

Yassin explained that the good start was with the company’s entry into the retail markets and shopping centers and the opening of the Real Madrid Café, and the marketing was very good, hence the purchase of the Reem Al Bawadi restaurants. with a great value of 315 million dirhams, along with franchise or “franchise” success stories.

It was expected that neglect would be behind this failure, but it is difficult to determine the responsibility of any board of directors, in particularly in errors, in their size and nature.

He pointed out that Al-Dar Real Estate had filed a lawsuit against a “brand” for the rental of shops, then opened the case and then opened the bankruptcy issue, explaining that there are companies facing problems that may have more. need to resort to the bankruptcy law with this precedent, which gave a ruling that gives the possibility to open the practices of other companies.

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