CBB wins court backing on Awal Bank decision

A Bahrain court ruling yesterday supported the decision of the Central Bank of Bahrain (CBB) to place Awal Bank into administration.

The CBB said the ruling in its favour came following an appeal launched by the former chairman of Awal Bank against the decision made by the central bank on July 30 last year to place Awal Bank into administration.

The ruling supports the CBB's decision to place Awal Bank into administration due to Awal Bank's defaults on certain of its obligations in June last year, under Article 136 of the Central Bank of Bahrain and Financial Institutions Law (Decree No 64 of 2006).