Drake & Scull International (DSI) today announced that its new management is committed to completing the investigation of all previous management practices and ensuring that the rights of its shareholders are fully protected.
"We have a duty to protect the rights of shareholders who have trusted us and invested in this company," said Shafiq Ahmed Saleh Abdul Hamid, the new chairman of the company, in a statement today. He continues to uncover other violations committed by the previous administration against the company, but the company must respect the confidentiality of investigations and the privacy of investigations conducted by the competent authorities and should not express opinions affecting the progress of the investigation.
He added: "We are all striving to provide the data we have available to be available to the competent authorities to render a fair judgment to the equity of all shareholders in the company, including government bodies, for example, but not limited to the Social Solidarity Fund, Dar Zayed Comprehensive Care and the Social Welfare and Minors Affairs Foundation." .
On the current financial situation of the company, the Chairman stressed that the new management is committed to accelerate the implementation of the ongoing restructuring plan for the company in cooperation with Shuaa Capital. “We have chosen SHUAA Capital to support the restructuring process and turn DSI back into profitability, safeguarding shareholders' equity, playing a positive role and contributing to the UAE's economic development plans,” he said.
He continued: "We intend to continue the investigation and provide full evidence and clear evidence from us protects the interests of shareholders and restore the reputation of the company and the rights lost."
Drake & Scull International has already registered 15 criminal complaints pending before the competent authorities. All these complaints have been registered against the previous administration, some board members and some of their families. According to sources, a memorandum has been issued to prevent the travel of one of the former executives, who is also a former executive board member, and a member of his family and the freezing of his bank accounts and his wife's accounts and the seizure of their properties registered in their name, which is now and his family all outside the country.
Although he is outside the country, he is under criminal investigation of criminal complaints that have been confined by specialists. As for some media reports that the company's shareholders have been discharged, this is not true.The discharge is usually issued by the general assembly of the company according to the laws in the UAE.And the annual general assembly for 2018 has not discharged some former board members. The company has issued a related disclosure which was posted on the DFM website on 23/4/2018.
Investigations are still ongoing and resulted in new criminal complaints. The investigation revealed other abuses against the company. A former member of the Board of Directors has been sentenced to a final sentence in a state prison.
Investigations conducted by Drake & Scull International through the Commission of Inquiry and the financial and legal experts appointed by the Commission, stated that during the previous management's period between 2009-2017, the company witnessed a series of annual losses concealed from shareholders; From AED 939 million in 2015 to AED 1.396 billion in 2017, the total loss amounted to AED 3.15 billion in 2017, almost 3 times the total paid-up capital of the company. As a result of non-compliance Its financial and administrative standards and rules of disclosure and transparency.