1. If the cumulative losses of a joint stock company reach half of its issued capital, the board of directors shall within thirty [30] days of the date of disclosing the periodical or annual financial statements to the Ministry or the SCA, as applicable, call a meeting of the General Assembly within thirty [30] days of the date of call, to take a decision on the meeting of the General Assembly. If it is not possible for this assembly to issue a decision, all interested parties may file a lawsuit before the competent court requesting to dissolve and liquidate the company according to the provisions of the Law. 2. When inviting the General Assembly to convene according to the provision of Clause [1] of this Article, the board of directors of the company is required to take into consideration the following: a. If the board of directors recommends the continuation of activity of the company's activity, the call shall be accompanied by the approved restructuring plan and report of auditor. The restructuring plan attached to the call shall include the feasibility study, plan of debt settlement and the time schedule for execution. b. If the board of directors recommends the dissolution and liquidation of the company prior to its prescribed term, the call shall be accompanied with the auditor's report, the company liquidation plan and its schedule approved by the board of directors of the company and its financial consultant, and nominating one or more liquidators as approved by the SCA. 3. The board of directors shall supervise the execution of the restructuring plan and notify the SCA of each report every three [3] months with the results of the execution of this plan and its compliance with the schedule. It may, upon the approval of the SCA, appoint a financial consultant to assist it in preparing and executing the plan. The SCA may disqualify the financial consultant and appoint another if the consultant does not carry out the duties entrusted to them.
Interpretation and application must be checked against the official text and current version.