PowerGlobe LLC v Qatar Financial Centre Authority

In the name of His Highness Sheikh Tamim bin Hamad Al Thani, Emir of the State of Qatar Neutral Citation: [2021] QIC (RT) 5

IN THE REGULATORY TRIBUNAL

OF THE QATAR FINANCIAL CENTRE 4 November 2021 Case No. RTFIC0003/2021 BETWEEN:

POWERGLOBE LLC v

QATAR FINANCIAL CENTRE

AUTHORITY Appellant Respondent ----------------------------------------------------------------------------------------------------------------

DECISION OF THE REGULATORY TRIBUNAL ---------------------------------------------------------------------------------------------------------------- Before: Sir William Blair, Chairman Justice Edwin Glasgow QC Justice Sean Hagan

DECISION 1. This is the Tribunal’s decision in respect of an appeal by PowerGlobe LLC (“the appellant”), a company licensed in the Qatar Financial Centre on 30 March 2017, against a decision of the Qatar Financial Centre Authority (“QFCA”) dated 15 March 2021 by which the appellant’s license was withdrawn following a qualified auditors report.

2. On 13 May 2021, the appellant appealed, or purported to appeal, against the decision. The communication did not comply with the requirements for a Notice of Appeal set out in the Tribunal’s Regulations and Procedural Rules (“the Rules”). On 14 May 2021, a further communication was filed. There is a dispute, which the Tribunal need not resolve, as to whether the appeal was within the 60-day time limit for appeals.

3. On 20 June 2021, the QFCA filed its response to the effect that the appeal was out of time, and that in any event there was no case to answer. The Tribunal need not resolve these issues.

4. On 20 June 2021, in accordance with the Rules, the appellant was given 28 days in which to file and serve its Reply.

5. On 18 July 2021, the appellant applied for an extension until 27 July 2021.

6. On 27 July 2021, the appellant applied for an extension until 15 September 2021 on the basis that its accounting reports were expected by then.

7. It is right to say that the QFCA, represented by Clyde & Co, stated that the appellant had been promising to obtain and provide further documentation since March 2021, and that the documents the appellant claimed would not be available until 15 September are the same, or are substantially the same, as the documents it had been promising to provide for about 5 months. It submitted that a final resolution of this matter should not be continually delayed by the appellant once again promising to provide information. 2 8. Nevertheless, the Tribunal granted the extension sought by the appellant.

9. On 4 August 2021, however, the Qatar International Court made an order winding up the appellant company on the basis that it is unable to pay its debts.

10. On 14 September 2021, the Tribunal received an email from the appellant saying that it was shortly to have a meeting with its accountants and with the QFCA, and that meanwhile it was under discussions to prevent the liquidation process.

11. On 20 September 2021, Clyde & Co objected to any further delay and asked for directions to conclude the appeal.

12. On 22 September 2021, the Tribunal gave directions that the appellant had a further 7 days in which to file a reply or produce a reasoned explanation as to when a reply will be served.

13. Nothing was received from the appellant pursuant to those directions.

14. On 17 October 2021, the appellant applied for the winding up order to be suspended but this was refused by the Qatar International Court.

15. On 27 October 2021, an order was issued by the Tribunal giving the appellant “until 4pm on 31 October 2021 to make and file with the registry any representations it wishes to make against the making of an order under Article 22.1 of the Tribunal’s Regulations and Procedural Rules by which the appeal will be dismissed.” Article 22.1 provides that: “Where a party has, without reasonable excuse, failed to comply with a direction of the Regulatory Tribunal or a provision of these Regulations and Procedural Rules, the Regulatory Tribunal may: … 22.1.2 where that party is the appellant, dismiss the appeal wholly or in part;” 16. On 29 October 2021, the Tribunal received an email from the appellant by which it “request[ed] to extend the deadline of the appellant until Tuesday, 14 December 2021, due to serious health reasons”. 3 17. The Tribunal notes that the appeal is by a company, not an individual. There is no explanation in the email as to whose ill health is preventing the appellant from complying with the Tribunal’s directions, or as to how it is preventing the appellant from complying, and no medical evidence is proffered in support. It is up to the appellant to progress its own appeal, and as set out above, there has been a pattern of delay on its part.

18. The Tribunal considers that no reasonable excuse has been given for the appellant’s failure to comply with its directions. The Article 22.1 power is discretionary, and the Tribunal considers that the discretion is properly exercised by dismissing the appeal. Decision The appellant’s appeal is dismissed. By the Regulatory Tribunal, (signed) Sir William Blair, Chairman A signed copy of this Decision is held with the Registry. Representation: The appellant was self-represented in the appeal. The respondent was represented by Clyde & Co LLP, Doha, Qatar. 4