Mobily’s decision to postpone general assembly ‘unjustified,’ says shareholders’ lawyer

A decision by Mobily’s board of directors to postpone the company’s ordinary general meeting scheduled for Tuesday is unjustified, as such a right belongs to shareholders, Assem Al-Issa, a lawyer representing some of the telco’s shareholders said in a statement to Argaam.

The meeting was scheduled to discuss important and timely issues, including the dismissal of board members from liability for the 2014 financial year.

The board was said to have delayed the meeting as a result of a report it received on Monday from the Capital Market Authority (CMA). The brief provided Mobily with an evaluation of its financial statements.

In a statement issued earlier, the kingdom’s second-biggest mobile operator said it would coordinate with the concerned authorities to set a new time for convening the ordinary general assembly. 

The company added that it would collaborate with external auditors, review concerns presented, and disclose financial findings or updates, if any.

Argaam reported on Monday on the Saudi market regulator’s decision to suspend Mobily’s shares effective today. The suspension will remain until the company discloses relevant financial impact on its statements, in light of the notes submitted by the CMA.