Wafa Insurance says court ruling ends financial reorganization, opens liquidation process

Saudi Indian Company for Cooperative Insurance logo

Saudi Indian Company for Cooperative Insurance (Wafa Insurance) announced the issuance of the Commercial Court’s decision in Riyadh on Dec. 15, ending the company’s financial reorganization procedure and opening the liquidation process.

It added that the decision includes appointing Waleed bin Mohamed Subhi as trustee of the procedure, in accordance with the duties, powers and tasks of the trustee mentioned in the Bankruptcy Law and its executive regulations.

Article 217, paragraphs B and C, of the Bankruptcy Law stipulates the appeal conditions.

The company indicated that anyone with an interest may object before the Court of Appeal to the above-mentioned court’s decision within a period of 14 days starting from the date of issuing the decision. Any developments in this regard will be announced in due course.

In August, Wafa Insurance said that the bankruptcy trustee appointed by the Commercial Court in Riyadh submitted a request to the court to terminate the procedures for the financial reorganization of the company, Argaam reported.

Last June, the insurer announced that it could not pay the third instalment to its creditors at the time specified in the financial reorganization plan.