Palestine Islamic Bank Completes Capital Increase and Approves Dividend & Bonus Shares during General Assembly Palestine Islamic Bank (PIB) held its Annual General Assembly for 2016 in both the West Bank City, Ramallah where it is headquartered and in its regional HQ in Gaza through video conferencing.
Event was attended by PIB’s board members, executive management and a number of shareholders and investors. It was also attended by Companies Controller representing the Ministry of National Economy, PIB’s Shari'ah Supervisory Authority, the Bank's external auditor Deloitte & Touche, Palestinian Monetary Authority, Palestine Capital Market Authority and Palestine Exchange (PEX).
The Assembly was led by the Chairman of the Bank, Mr. Maher Masri, who commenced the meeting by referring to the qualitative growth and financial indicators of the Bank attributing these to the Bank’s policies aimed at raising human capacities and competences, using sophisticated technological programs in Islamic banking operations as well as programs for risk management and internal audit, compliance and control of money-laundering.
He also highlighted that among the many reasons for the rapid growth comes the In continued policy of geographical spread in a leading status. “our network of branches is designed to reach all communities by opening seven new offices and branches through the year 2016”. He said.
Mr. Masri pointed out that these achievements would not have been possible without the full and unequivocal commitment to applying the provisions of Sharia law in Islamic finance and the guidance of the Shariah Supervisory Board in this regard.
During the meeting, attendees listened to the Board of Director’s report for the year ending on 31/12/2016 discussing it with shareholders and with their questions answered directly by the Chairman and the report was passed with the approval of the shareholders.
The Shari'a Supervisory Board stressed in its report presented by Professor Hussam Al Din Afaneh; Chairman of the Supervisory Board; that contracts and operations and transactions entered into by the Bank during the year 2016 and reviewed by the Board were in accordance with the provisions and principles of the Islamic Shariah. Similarly in regards to the distribution of profits and loss on investment accounts is consistent with the standards adopted by the Board in accordance with the provisions of the Islamic sharia principles.
On his behalf; Mr. Munther Al-Bandak the representative of Deloitte & Touche and auditors for the company's accounts for the year 2016 that the financial statements contained in the annual report are shown fairly, and in all respects, the financial position of the Bank at 31/12/2016 (its financial performance and its cash flows for the year ending on that date) are in accordance with the provisions and principles of the Islamic Shariah, the accounting standards issued by the Accounting and Auditing Organization for Islamic Financial Institutions, according to the local regulations in force by the PMA.
This was followed by the absolving of the Board of Directors for the fiscal year 2016 and endorsing its recommendation regarding cash dividends to shareholders by 8.5% from the nominal value per share stock dividend to shareholders.
3.5 million Shares with the face value of $1 per share were distributed to shareholders. Additionally, a bonus was approved for Board members for their work during the same year.
Furthermore the appointment of a new board member Mr. Majed Ata Hilo as representative for small shareholders to replace The Orphan’s Investment Fund who had resigned earlier. Deloitte & Touche were appointed as external auditors for the financial year 2017 and the Board of Directors was authorized to determine their fees.
During the meeting shareholders also approved to complete the procedure for payment of the increase in paid-in capital from (62,500,000) million USD to $100 million USD divided into 100 million authorized shares at ($1) per share as per legal and administrative requirements. The Board of Directors was also authorized to determine the means to pay for equity increase through capitalization of profits or through subscription after coordination with the competent authorities.
The meeting was concluded with Mr. Maher Masri extending gratitude to the Bank's customers for their confidence in Palestine Islamic Bank, the PMA for their continuing efforts to strengthen the banking sector and enable it, and to the Capital Market Authority and Corporations Controller for their positive and constructive efforts to build the national economy. He also thanked the Executive management and all employees at the Bank for their dedication, commitment, and hard work.