Article 10
Effective from 2019-12-10 - Dec 09 2019
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| 1. | Founding shareholders must establish the Consumer Microfinance Company as a joint stock company within six months of the granting of the preliminary approval and provide SAMA with copies of the Consumer Finance Company’s commercial registration and by-laws. The preliminary approval will expire after six months unless a non-objection letter has been obtained from SAMA to extend its duration for a maximum of six months. |
| 2. | SAMA will issue a decision to grant the license to the company following the company’s fulfillment of the requirements set forth in paragraph (1) of this Article. SAMA may take any necessary actions, such as making a licensing visit to the company headquarters, meeting its executives, and reviewing its regulations, procedures, and records to verify that the specified requirements have been met. |
| 3. | SAMA may restrict the License to a certain geographic area or specific types of borrowers or otherwise. The Consumer Microfinance Company is prohibited from engaging in any unlicensed activity or activities that violate the License conditions. |