MPs back rules to prevent unpaid exits by foreign business owners

TDT | Manama

Email: mail@newsofbahrain.com

Parliament yesterday backed an urgent proposal asking the government to add extra checks, within the laws in force, on foreign investors, foreign owners of commercial registrations and registered workers under the flexi visa system, to stop them leaving Bahrain for good without settling what they owe, after the vote was postponed from last week’s session.

The proposal was submitted by MPs Khaled Buanaq, Zainab AbdulAmeer, Mahmoud Fardan, Mohammed Al Maarifi and Hisham Al Awadhi. In the explanatory note, the MPs said some people in these categories were leaving permanently with unpaid bills, a pattern they said was becoming more common.

Warning

They warned that unpaid debts were building up across government bodies and the private sector, with small and medium-sized firms among those most exposed when they cannot recover dues from debtors who depart without a settlement.

They also said the ease of opening commercial registrations or working through the flexi visa system can be used to sidestep contractual and commercial duties if there are no effective checks before final exit.

The note added that outstanding liabilities can include rent, bank finance, fees and fines, leaving rights holders with little chance of recovery once the debtor has left the country.