SACC 1993/1440

This case involved property execution where property was collateral for the debt.

Background

The representative of a creditor filed a request before the court, seeking permission to execute of the debtor's properties. This request was based on the fact that those properties served as collateral for the debt owed to the client (the creditor bank), which amounted to 174,428,828 Saudi Riyals, as stated in a facilities agreement signed by the debtor company. It was revealed that the bankruptcy trustee had previously submitted a request in which they had sought to establish the debtor's ownership of those properties, as they were registered in the name of one of the partners in the debtor company.