Court orders liquidation of realty firm

The Commercial Court in Dubai has issued a ruling to liquidate a real estate company after it was proved that its manager had been negligent in performing his duties and had breached his obligations.

-  Mohammed Yaseen

The court also decided to appoint a liquidation expert to oversee the inventory of assets, determine rights and obligations, and sell the company's properties at a public auction.

He will also notify creditors, settle debts, and will distribute the remaining funds to partners according to their shares. Additionally, he will have to publicly announce the liquidation ruling.

The details of the case date back to an earlier time when an Asian investor filed a lawsuit demanding the liquidation of the company and obligating his partner (the manager) to pay compensation of Dhs1,184,000 for the material and moral damage he incurred due to intentional mismanagement.