Regulatory Alerts2020-09-02
Mechanism for Verifying Partner and Shareholder Identities in Company Establishment and Bylaw Amendments
The Ministry of Commerce, in coordination with SAMA, issued Ministerial Decision No. 632 to implement a standardized mechanism for verifying partner and shareholder identities during company establishment and bylaw amendments. This directive mandates strict identity verification procedures for all limited liability and joint stock companies, ensuring accurate registration when corporate structures are created or modified. The attached decision outlines the specific compliance requirements and operational guidelines that entities must follow to maintain regulatory adherence.
Translated Document
Reference to SAMA's receipt of the letter from His Excellency the Minister of Commerce No. (00196) dated 05/01/1442H, which mentions the issuance of his Excellency's decision number (632) dated 16/11/1441 H , which includes the development of a mechanism for verifying the identities of partners or shareholders when establishing companies or amending their bylaws. Attached is a copy of the Ministerial Decision mentioned above.
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