Regulations

Article 70. Power of the Authority to Suspend License
a. The Authority may (but is not obliged to), at its sole discretion, by written notice to a Humanitarian Organization or Commercial Entity suspend a License for such period as the Authority may determine, including, without limitation, until the Humanitarian Organization or Commercial Entity has remedied the circumstances leading to the suspension or until the occurrence of a specified event.

b. The suspension of the License of the Humanitarian Organization or Commercial Entity shall be included on the License, at the discretion of the Authority.

c. The Humanitarian Organization or Commercial Company must not carry out any activities in or from the Free Zone pursuant to that suspended License during the period of such suspension, save meeting its obligations to creditors.

Article 71. Reasons for Suspension of License
The Authority may act under the article 70 in events including but not limited to the following:
a. If the Humanitarian Organization or Commercial Entity has contravened a provision of these Regulations or its License;

b. If the Humanitarian Organization or Commercial Entity has failed to satisfy an obligation to which the Humanitarian Organization or Commercial Entity is subject by virtue of these Regulations;

c. If the Humanitarian Organization or Commercial Entity no longer meets the relevant applicable minimum criteria under which it was licensed.

Article 72. Power of the Authority to Terminate License
a. The Authority may terminate a License in events including but not limited to the following:

1. If the Humanitarian Organization or Commercial Entity no longer meets the relevant applicable minimum criteria under which it was licensed;
2. If the Humanitarian Organization or Commercial Entity has furnished misleading or inaccurate information to the Authority under or for the purposes of any provision of these Regulations;
3. If the Humanitarian Organization or Commercial Entity has not commenced to carry on in the Free Zone the activities to which its License relates within ninety (90) days of its issuing or within such other period as may be specified by the Authority;
4. If the Humanitarian Organization or Commercial Entity has ceased to carry on in the Free Zone the activities to which its License relates for a period of more than ninety (90) days;
5. If the Humanitarian Organization or Commercial Entity has not paid any renewal or other fee, including any fee for late renewal due and payable in respect of a License or if the Humanitarian Organization or Commercial Entity has not paid any other amounts due to the Authority;
6. If the Humanitarian Organization or Commercial Entity has ceased to provide activities;
7. If the Humanitarian Organization or Commercial Entity fails to renew its expired License;
8. If the Humanitarian Organization or Commercial Entity is carrying on activities of a different category to that set out on the License;
9. If the Humanitarian Organization or Commercial Entity or the controller of the Humanitarian Organization or Commercial Entity has assigned the benefit and control of a business to a third party without the approval of the Authority;
10. On the order of a court;
11. If the Authority considers it necessary to revoke the License for the protection of the public or of the reputation of the Free Zone;
12. If the Authority suspects that the Licensed Humanitarian Organization or Commercial Entity is linked to any suspected or terrorist organizations or individuals;
13. If the Authority suspects that the Licensed Humanitarian Organization or Commercial Entity is involved in money laundering practices;
14. If the Humanitarian Organization or Commercial Entity operates from offices outside the Free Zone, or carries on activities outside the Free Zone without obtaining the prior written approval of the Authority (such approval which may be withheld in the Authority’s sole discretion without any obligation to give reasons) and the prior written approval of any other Relevant Authority or is in violation of any applicable Local or Federal Law.

b. The Authority may, but is not obliged to, send to the Humanitarian Organization or Commercial Entity a notice of termination stating that the License of the Humanitarian Organization or Commercial Entity is to be terminated with immediate effect.

Article 73. Further Actions Following the Termination of License by the Authority
Following the termination of a License, the Authority shall report suspicious cases related to money laundering and/or terrorist financing or financing illicit organizations to UAE Law Enforcement Authorities and/or to the other concerned authorities.

Article 74. Power of the Authority to Strike-Off
a. Following delivery of a termination notice to the Humanitarian Organization or Commercial Entity, the Authority may, but is not obliged to, request that the Humanitarian Organization or Commercial Entity provide reasons why it should not be Struck-off (a Strike-Off Notice).

b. If within twenty (20) Business Days after sending the termination notice a response to the satisfaction of the Authority has not been received, the Authority may (but is not obliged to) send to the Humanitarian Organization or Commercial Entity a second notice (Second Strike-Off Notice) stating that at the end of sixty Business Days (or such longer or shorter period as the Authority in its sole discretion determines) from the date of the Second Strike-Off Notice, the license of the Humanitarian Organization or Commercial Entity will be struck-off unless the Authority has been provided with a justifiable reason as to why the Humanitarian Organization or Commercial Entity should not be struck-off.

c. If the Authority issues a Second Strike-Off Notice, it shall publish a notice (a Public Notice) on the website of the Authority stating: (i) that it intends to strike-off the Humanitarian Organization or Commercial Entity after expiry of the point stated in the Second Termination Notice; (ii) that in case of Commercial Entity, it intends to cause the Commercial Entity to be dissolved or, in case of Humanitarian Organization, it intends to terminate its License, as the case may be; and (iii) inviting any person to show cause why the Humanitarian Organization or Commercial Entity should not be struck-off.

d. Subject to the issue of a Public Notice and after the end of the period mentioned in the Second Strike-Off Notice, the Authority may in its absolute discretion strike-off the Humanitarian Organization or Commercial Entity and remove it from the Register.

e. On the striking-off of the Humanitarian Organization or Commercial Entity, the liability (if any) of every Officer or/and Shareholder of the Humanitarian Organization or Commercial Entity continues and may be enforced as if the Humanitarian Organization or Commercial Entity had not been struck-off. If the Humanitarian Organization or Commercial Entity purports to enter into any obligation following it being struck-off, any person purporting to bind such the Humanitarian Organization or Commercial Entity in respect of such obligation shall be personally liable for that obligation.

f. On the striking-off of an FZLLC, the Shareholders must immediately commence winding-up proceedings in respect of that FZLLC in accordance with Article 132 to 135 of these Regulations.

g. On the striking-off of a branch of Commercial Company, any liabilities purported to be incurred by the branch shall remain the liabilities of the Head Quarters.

h. If the Humanitarian Organization or Commercial Entity has been Struck-off pursuant to this article, the Authority may (but is not obliged to) submit to the court a petition for the winding-up of the Humanitarian Organization or Commercial Entity.

Article 75. Cancellation of a License at the Request of the Humanitarian Organization or Commercial Entity
a. The Humanitarian Organization or Commercial Entity may request the cancellation of its own License.

b. Provided that the liquidation has been conducted to the satisfaction of the Authority, as per the liquidator’s report, the Authority shall cancel the License of the requesting Humanitarian Organization or Commercial Entity and remove it from the Register.