Al-Mehrab Real Estate Company held its Extraordinary General Meeting (EGM) for the financial year 2022 on Tuesday, 21 March 2023, and unanimously resolved to reduce its authorized, issued, and paid-up capital from KWD 26 million to KWD 8.060 million. This reduction, amounting to KWD 17.940 million, aims to offset the remaining accumulated losses, which stood at KWD 21,358,663 as of 30 June 2022, after fully utilizing the statutory reserve.
The Company’s authorized, issued, and paid-up capital has been set at KWD 8.06 million, distributed over KWD 80.6 million shares, at a nominal value of 100 fils per share, and all shares are paid in cash.
The EGM also approved the amendment of Article (6) of the Memorandum of Incorporation and Article (5) of the Articles of Association, as follows: A new article, numbered as (5 bis), was added to the Memorandum of Incorporation, as well as adding a new paragraph to Article (4) of the Articles of Associations, as follows: The company's activities and operations shall be conducted in accordance with the principles of Islamic Shariah. A Shariah Supervisory Board, consisting of no less than three (3) members, will be appointed by the company's general assembly to oversee the company's compliance with Islamic Sharia provisions.
The role of the Shariah Supervisory Board includes the following responsibilities:
Expressing Islamic Shariah opinions on the company's activities and actions. This includes assessing the extent to which the company's business operations align with the principles of Islamic Shariah, evaluating the management's commitment to complying with the opinions expressed by the Shariah Supervisory Board. The board provides guidance on ensuring compliance with Islamic Shariah principles, and observing and offering feedback on the company's actions and practices to ensure they are in accordance with Islamic Shariah. The Sharia Supervisory Board's findings and opinions are included in the company's annual report.  Decisions and opinions are determined by a majority vote among the members of the Shariah Supervisory Board. In the event that a majority consensus cannot be reached and there is a disagreement among the members of the board regarding a specific Sharia ruling, the matter is referred to the Fatwa Committee of the Ministry of Awqaf and Islamic Affairs for resolution.