Haya Rashed Al Khalifa wins a US$1,700,000 civil suit against Majid Al Refai and Falah Al Falah for Bank Al Khair
Haya Rashed Al Khalifa represented Bank Al Khair in a civil suit for corporate malfeasance against
Falah Nasser Hamad Al-Falah, a former employee of the bank, and its former chief executive Majid Al-Refai. The BCDR ordered Al-Falah and Al-Refai to jointly and severally pay the bank approximately $1.7 million for misappropriation of the bank’s funds and unauthorized activity during Al-Refai’s tenure as chief executive officer of the bank.
Haya Rashed Al Khalifa also assisted in raising a criminal claim against Majid Al Refai for embezzlement and on 26 September 2012, the High Criminal Court of Bahrain found Majid Al-Refai guilty of money laundering, fraud, illegally soliciting donations without prior licensing from Bahraini, and was sentenced to 5 years in prison and fined BD40,000.
On the 26th of July 2012, the Criminal Court of Bahrain convicted Majid Al-Refai of embezzlement; misappropriation of bank funds; and obstructing shareholders from accessing bank records, and sentenced him to 4 years in prison.
Also, in March 2012, the Bahrain Chamber of Dispute Resolution dismissed a claim by Majid Al-Refai for compensation of BD1 million from his as chief executive officer of the bank. In May 2012, Bahrain’s Supreme Civil Court also dismissed a claim brought by a group of shareholders affiliated with the former CEO, requesting the nullification of the General Assembly’s resolution, issued in October 2010, to remove Majid Al-Refai from the bank’s board of directors and to authorize the board to take legal action against Al-Refai. Interpol has a warrant of arrest for Al-Refai.
This Success illustrated the prominence of Haya Al Khalifa in corporate governance litigation. partner Rashid Boghammar lead the litigation representation.