Kuwait's Investment Dar wins CBK lawsuit

Kuwait's Islamic firm Investment Dar said on Tuesday it had won a lawsuit against the Commercial Bank of Kuwait (CBK) to suspend the sale of a stake in Boubyan Bank.

"The court ruled... to suspend trading in Boubyan Bank shares which belong to Investment Dar and its related firms which amounted to 221,425,059 shares and are temporarily registered under the name of Commercial Bank of Kuwait," Dar said in a statement on the Kuwaiti bourse website.

The court halted the deal until it rules in another lawsuit filed by Dar against CBK, for which the hearing is set on September 9, 2009.

National Bank of Kuwait (NBK) said on Sunday it had agreed with Commercial Bank of Kuwait (CBK) to buy its stake in Islamic lender Boubyan Bank for about KD120m ($420m)
CBK was not immediately available for comment.

Dar said on Sunday it filed three lawsuits with the Kuwaiti judiciary against CBK to stop CBK from selling Boubyan shares and demanding that CBK return the shares to Investment Dar.

Last month Investment Dar filed a complaint against CBK in a dispute over the stake in Boubyan. The complaint came after CBK said Investment Dar and related firms had lost their right to buy back a 19.2 percent stake in Boubyan under a 2008 agreement. (Reuters)

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