5,270 Cooperative Stores Under Scrutiny for 'Commercial Concealment'
The Ministry of Social Affairs and Labor has begun reviewing the contracts of the 5,270 cooperative societies to ensure compliance with the law combating commercial concealment and to take legal action against violators.
Translated by Qiyas from الجريدة — Original source
Al-Jarida learned from its sources that the Ministry of Social Affairs, represented by the Sector for Financial and Administrative Affairs and Cooperation Affairs, has initiated a comprehensive review of all investment contracts for activities affiliated with cooperative societies distributed across various regions of the country, totaling approximately 5,270 outlets. The ministry clarified that this step aims to assess the suitability of these contracts and their compliance with the provisions of Decree-Law No. 78 of 2026, issued regarding the fight against commercial concealment.
Sources stated that the review will focus on cases of “inclusion” of third parties, to prevent any individual from conducting economic activities in violation of the aforementioned decree’s provisions, whether directly or indirectly, or by any means whatsoever. They emphasized that if any violation of the aforementioned law is discovered, or if circumvention or manipulation is found to exploit the law through illicit means and without justification—particularly violations involving the delegation of management to non-Kuwaitis—appropriate legal measures will be taken.
The ministry added that it, represented by the General Administration of Cooperation Affairs, will grant non-compliant investors a grace period until the expiration of their investment contracts. Thereafter, it will reclaim the invested outlets and branches and re-offer them in accordance with the laws and regulations governing cooperatives, or other relevant state legislation.
