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Posted On: 17 April 2019 10:00 am
Updated On: 12 November 2020 02:20 pm

Precautionary detention for non QFC company

Binu Cherian
Binu Cherian
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An enforcement judge at Qatar International Court issued a decision for precautionary detention for the accounts of a company operating in Qatar, outside of Qatar Financial Center (QFC). The company is specialized in asphalt and road networks and its maintenance.

Under the decision, Qatar Central Bank issued a circular to all banks operating in the State to implement the judge's decision and impose the precautionary detention on the bank accounts of the mentioned company with almost 19,463,394, preventing the company from using it.

The facts of the case state that the company received financial loans from one of the companies registered under QFC and failed at paying the installments on time. This led the creditor company to file a lawsuit before Qatar International Court to request to impose the precautionary detention and prevent them from disposing of their funds in order to maintain the general guarantee to satisfy the claimant's creditor company and prevent damage as a result to the company's failure to pay due installments on time, until the final dismissal of the case, which was subsequently adjudicated by the court.

Source: QNA