The Dubai International Financial Centre Authority (“DIFC Authority”) wishes to enact legislation to enhance the current DIFC Companies Law regime, in order to bring it in line with international best practice. In doing so, the DIFC Authority has taken into account specific factors relating to the Centre and the need to provide an appropriate regulatory environment for companies to do business in or from the DIFC. This Consultation Paper seeks public comments on the Proposed Law.
The Proposed Law contains significant enhancements and refinements to the current DIFC Companies Law regime to promote better shareholder and creditor protection, whilst also providing greater certainty and flexibility for companies. The key aspects of the proposals include:
(a) A new classification of companies;
(b) Enhanced directors’ duties;
(c) New mergers and schemes of arrangements provisions;
(d) Enhancements to company accounting and audit requirements;
(e) Enhancements to the Registrar of Companies’ powers;
(f) Disclosure of beneficial ownership of companies;
(g) Whistle-blower protection; and
(h) Miscellaneous enhancement.
The Proposed Law has been posted for a 90 day public consultation period with the deadline for providing comments ending on 19 June 2017.
Download a copy of the consultation paper and legislative proposal below.