Abu Dhabi Global fines a company and its director 118.5 thousand dirhams

The Registration Authority of the Abu Dhabi Global Market (ADGM) announced financial fines on Avanti Limited and its director, Khaldoun Bouchnak, for violating commercial legislation, including giving false or misleading information, and concealing documents.

The authority explained in a statement yesterday that the total value of the fines amounts to 32.3 thousand dollars (118.5 thousand dirhams), distributed as a 16 thousand dollars (58.7 thousand dirhams) fine on the “Avanti” company, and 16.3 thousand dollars (59.8 thousand dirhams) a fine on the company. Bouchnak, Avanti was also required to pay an additional 10 thousand dollars (36.7 thousand dirhams) to cover the costs of the investigation, which Implemented by the registration authority. The authority began its investigation after discovering that Avanti had submitted a document to a bank in the UAE, containing a forged stamp and authentication code, and claiming that it had been issued by the registration authority.

Following the investigation, the registration authority concluded that Avanti provided false and misleading information, and that Bouchnak concealed documents. It also concluded that Bouchnak did not take adequate precautions to protect against falsifying company records.

The Registration Authority issued a statement saying: “These actions constitute serious violations of the commercial legislation in force in (Abu Dhabi Global), and the Registration Authority will apply the necessary procedures to any licensed entity or individual when giving false and misleading information or in the event of concealing documents, and the behavior of (Avanti) “Bouchnak had a negative impact on the course of the investigations.”

Avanti and Bouchnak agreed to settle the lawsuit filed against them. After reaching the settlement, the registration authority applied a 20% settlement reduction in the fines that would have been imposed even if no settlement had been reached.