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13 conditions for selecting and appointing appointed members and interim managers in cooperative associations and unions

13 conditions for selecting and appointing appointed members and interim managers in cooperative associations and unions
Qiyas summary

Kuwait issued Ministerial Decision No. 314 of 2026, specifying 13 conditions for selecting and appointing appointed members, interim managers, and interim boards of directors in cooperative associations and unions, and establishing a permanent committee to review qualifications.

Translated by Qiyas from الأنباء — Original source

A ministerial decision, No. (314) of 2026, concerning the conditions and controls for the selection, appointment, and performance monitoring of appointed members, interim managers, and interim boards of directors of cooperative associations and unions, was issued in the Official Gazette "Kuwait Today." Its articles stipulate the following:

Article (1): Definitions

In the application of the provisions of this Decision, the following words and expressions shall have the meanings indicated alongside each of them, unless the context otherwise requires:

The Ministry: The Ministry of Social Affairs.

The Minister: The Minister of Social Affairs, Family, and Childhood Affairs.

The Law: Law Decree No. (24) of 1979 concerning Cooperative Associations, as amended by Law No. (118) of 2013.

The Association: A cooperative association registered in accordance with the provisions of the Law.

The Union: A cooperative union registered in accordance with the provisions of the Law.

Appointed Person: Any individual for whom a decision is issued by the Minister appointing them as a member of the board of directors of a cooperative association or union, or as a member of an interim board of directors, or as an interim manager.

Interim Board of Directors: The board whose members are appointed by ministerial decision to manage a cooperative association or union on an interim basis in accordance with the provisions of the Law.

Interim Manager: The individual appointed by ministerial decision to manage a cooperative association or union on an interim basis in accordance with the provisions of the Law.

Competent Authority: The General Administration of Cooperative Affairs within the Ministry.

Conflict of Interest: A conflict of interest situation as defined and governed by the provisions in the prevailing legislation regarding the prevention of conflicts of interest.

Article (2):

A permanent committee named "The Committee for Reviewing Qualifications for Appointment in Cooperative Associations and Unions" shall be established within the Ministry by a decision of the Undersecretary of the Ministry, chaired by and comprising the following members:

1. The Assistant Undersecretary for Financial and Administrative Affairs and Cooperative Affairs – Chairman.

2. The Director General of the General Administration of Cooperative Affairs – Vice Chairman.

3. The Director of the Human Resources Development Department – Member.

4. The Director of the Cooperative Supervision and Inspection Department – Member.

5. The Director of the Cooperative Development, Membership Affairs, and Association Registration Department – Member.

6. The Director of the Legal Affairs Department at the Ministry – Member.

7. A representative of the Minister’s Office – Member.

8. A representative of the Information Technology Department – Member.

9. A representative of the Human Resources Development Department – Member.

10. A representative of the Undersecretary’s Office – Member and Secretary.

The committee’s tasks, rules governing its work, procedures for its meetings, and its term of office shall be determined by a decision. The Chairman of the Committee may invite any experts and specialists deemed appropriate to attend committee meetings and provide their opinions, without having the right to vote.

Article (3):

The Committee shall be responsible for studying and evaluating candidates for appointment in cooperative associations and unions in cases where the Law permits appointment in accordance with the standards and controls set forth in this Decision. It shall undertake the following tasks:

1. Prepare and establish an electronic database of qualified candidates for appointment in associations and unions, and update it periodically.

2. Receive and study the names, curricula vitae, and supporting documents of candidates.

3. Verify the availability of the necessary legal and administrative conditions for each candidate.

4. Rank candidates according to the competition rules specified in Article (7) of this Decision.

5. Submit an updated list of names of qualified candidates for appointment, based on the database prepared by the Committee, every three months.

6. Evaluate the performance of previously appointed individuals and utilize the evaluation results in any subsequent nominations.

Registration in the database shall not confer any right to appointment.

Article (4): Committee members are obligated to maintain the confidentiality of the data, information, evaluation results, and deliberations they access by virtue of their membership on the Committee. Such information shall not be used or disclosed except for the purposes for which this Decision was issued or in circumstances prescribed by law.

Article (5): The database shall include, in particular, the following:

* Personal data.

* Academic qualifications.

* Professional experience.

* Previous positions and memberships.

* Any previous appointments in an association or cooperative union.

* Any other data determined by the Committee.

Article (6): Subject to the conditions and provisions stipulated in the Law, its implementing regulations, and bylaws, the following conditions must be met by candidates for appointment:

1. They must hold Kuwaiti nationality.

2. They must be at least thirty full calendar years old on the date of appointment.

3. They must not be responsible for caring for a person with a disability.

4. They must have a good reputation and conduct, and must not have been convicted by a final judgment of a felony or misdemeanor involving moral turpitude or breach of trust, unless their reputation has been restored. Security clearance inquiries regarding them shall be conducted by the Ministry.

5. Their place of residence must not be located in the area where the appointed association operates.

6. They must hold a university degree and possess appropriate experience relevant to the nature of the task to be assigned, particularly in legal, financial, accounting, administrative, economic, or other related fields.

7. They must not have been previously dismissed from the board of directors of an association or cooperative union, nor have they been a member of a board of directors that was dissolved due to serious financial or administrative violations.

8. No disciplinary penalty (salary deduction or higher) must have been imposed against them in the last three years.

9. They must have achieved an “excellent” grade in the last two years.

10. They must not hold concurrent roles or board memberships in other boards of directors.

11. They must not hold supervisory positions within the cooperation sector at the Ministry.

12. If a manager is being appointed, they must not be an employee of the Cooperative Supervision and Inspection Department at the Ministry.

13. They must have completed the training program approved by the Ministry and passed the prescribed examination, achieving a total score of not less than 80%. In cases of necessity, appointment may be made on the condition that the appointee fulfills this requirement within a period not exceeding three months from the date of assuming office; otherwise, they shall be replaced in accordance with the conditions and procedures outlined in this Decision.

When making selections, the nature of the task and the circumstances necessitating the appointment, as well as the suitability of the candidate’s qualifications and experience, shall be taken into account. When appointing an interim board of directors, the composition shall, as far as possible, ensure complementarity and diversity of expertise.

Article (7): The Committee shall arrange qualified candidates for appointment, after all conditions stipulated in this Decision are met, according to the following order:

- The candidate with the highest academic qualification.

- The candidate with the most years of experience.

- The oldest candidate.

Article (8): All appointees shall be subject to the provisions of the prevailing legislation on combating corruption, disclosing financial status, and preventing conflicts of interest, as well as the regulations issued to implement such legislation, and they shall comply with all duties, procedures, and deadlines stipulated therein. In particular, the appointee shall commit to the following: 1. Submitting the financial status declaration and all other mandatory disclosure declarations within the prescribed deadlines and in accordance with the procedures established by law. 2. Disclosing existing conflicts of interest at the time of appointment or those that arise during the term of appointment. 3. Taking the measures required by law to resolve any conflict of interest and providing evidence thereof. 4. Refraining from participating in the discussion, deliberation, or decision-making on any matter in which he has a direct or indirect interest, and recording this in the meeting minutes or the relevant document. 5. Not exploiting his position, authority, or information obtained through his duties to secure a benefit for himself or for others. Nothing in the foregoing shall affect any obligation, liability, or penalty prescribed under the aforementioned legislation.

Article (9): The appointee shall, throughout the duration of his appointment, commit to the following: 1. Safeguarding the funds, assets, rights, and documents of the association or federation. 2. Managing the association or federation in accordance with the applicable laws and regulations, ensuring the continuity of operations, addressing the reasons for appointment, and avoiding the creation of obligations.

long-term measures or to take exceptional or substantive actions that fall outside the ordinary course of management, except when necessary and after obtaining the approvals and procedures prescribed by law. 3. Perform his duties with independence, impartiality, and due care, in a manner that serves the interests of the Association or the Federation. 4. Maintain the confidentiality of information and documents that their nature requires to be kept confidential. 5. Refrain from undertaking any act or omission that could harm the interests of the Association or the Federation or disrupt their operations. 6. Hand over all funds, documents, data, or assets in his custody upon the conclusion of his assignment, in accordance with the prescribed procedures. Article (10): The interim manager or the interim board of directors shall, within thirty days from the date of assuming office, prepare an action plan that includes, as applicable: 1. The financial and administrative status of the Association or the Federation at the time of assuming office. 2. Urgent measures required to be taken. 3. Proposed measures to address deficiencies. 4. Priorities and the implementation schedule. 5. Necessary measures to address the reasons necessitating the appointment. A copy of the plan shall be sent to the competent authority for monitoring its implementation. Article (11): The interim manager or the interim board of directors shall submit to the competent authority a report every three months on the progress of work, which shall include, in particular, the most important decisions and measures taken, the financial and administrative status of the Association or the Federation, the percentage of completion of the action plan, violations and observations that have been addressed and those remaining, existing obstacles and proposed measures to address them. The Ministry may request any report, statement, or document whenever necessary. The submission of periodic reports shall not preclude the obligation to immediately notify the competent authority of any serious incident that could threaten the funds or interests of the Association or the Federation or disrupt their operations. Article (12): The competent authority shall monitor and evaluate the performance of those subject to the provisions of this Decision, and may issue necessary observations regarding their performance and require them to address deficiencies within a period it specifies, which it shall then refer to the Assistant Undersecretary for Financial and Administrative Affairs and Cooperation Affairs for presentation to the Minister. The evaluation shall be based on the nature of the assignment, particularly in light of the extent to which the appointment decision and action plan have been implemented, the resolution of violations and observations, the safeguarding of funds and interests, and compliance with applicable laws, regulations, and decisions. The expiration of the appointment shall not preclude holding the appointee accountable for any act, decision, or omission issued in violation of the law, regulations, or governing decisions, or in excess of his authority, without prejudice to any other liability prescribed by law. Article (13): Upon the conclusion of his assignment, the interim manager or the interim board of directors shall submit a final report to the competent authority, which shall include, in particular: 1. The financial and administrative status of the Association or the Federation. 2. The work completed. 3. Violations and observations that have been addressed. 4. Incomplete work and the reasons therefor. 5. Existing contracts and financial and administrative commitments. 6. Pending cases and disputes. 7. Matters requiring follow-up and related recommendations.

Article 14: The appointment of any person subject to the provisions of this Decision may be terminated before its expiration in any of the following cases: 1. Loss of any of the conditions required for appointment. 2. Failure to fulfill the duties prescribed by law or this Decision. 3. Violation of any legal obligations regarding integrity, disclosure of financial status, or prevention of conflicts of interest, where such violation affects the appointee’s suitability to continue performing their duties. 4. Exceeding the scope of authority or the purpose of the appointment. 5. Unjustified refusal to execute what is required by law, regulations, or the appointment decision. 6. Establishment of a fundamental deficiency in performance that would harm the interests of the Association or Union. 7. If public interest so requires. This is without prejudice to civil, criminal, administrative, or other liabilities prescribed by law.

Article 15: The competent authority shall oversee the implementation of the provisions of this Decision and prepare the necessary forms for the work plan, periodic and final reports, handover and takeover minutes, and other necessary administrative forms. This shall not affect the forms, declarations, procedures, and deadlines prescribed by the competent authorities under anti-corruption legislation, financial disclosure, and conflict-of-interest prevention laws.

Article 16: Individuals appointed prior to the effective date of this Decision shall continue to perform their duties until the expiration of their appointment term or until a decision terminating their appointment is issued. From the effective date of this Decision, the provisions regarding monitoring, evaluation, accountability, reporting, and handover and takeover shall apply to them, in accordance with the nature of their appointment and the remaining term, without prejudice to the obligations originally imposed on them under prevailing legislation.

Article 17: Ministerial Decision No. (97/T) of 2022 concerning the conditions and regulations for appointing temporary managers and appointed members of the boards of directors of unions and cooperative associations, and its amendments, are hereby repealed. Any provision conflicting with the provisions of this Decision is also repealed.

Article 18: This Decision shall be published in the Official Gazette and shall take effect from the date of its publication. The competent authorities shall implement it, each within its respective jurisdiction.

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