Judicial Oversight and the Role of the Comptroller General in Insolvency Disclosure
A Normative Analysis of the Jordanian Companies Act
Downloads
This study aims to clarify the legal framework and procedural steps required for the Comptroller General of Companies in Jordan to request the disclosure of insolvency applications, as well as the oversight conditions and judicial controls applied to these powers. Employing a normative legal research method, the study analyzes relevant legislative texts, focusing on Article 193 of the Jordanian Companies Act, to elucidate the comptroller’s authority to enforce compliance and monitor companies’ adherence to statutory obligations from the point of registration onward. The study’s findings indicate that the comptroller derives explicit authority under Article 193 to submit insolvency notifications, highlighting an imperative for additional punitive measures against companies that obstruct the comptroller’s oversight. This enhancement is essential for fortifying both preventative and punitive regulatory functions, thus promoting early identification of corporate insolvency risks and strengthening governance. The study implies that reinforcing the comptroller’s oversight powers with stricter enforcement mechanisms would significantly improve regulatory efficacy, encouraging a more transparent and accountable corporate sector in Jordan.
Downloads
Abu-Karaki, M., Faqir, R. S., & Marashdah, M. A. K. (2011). Democracy & Judicial Controlling in Jordan: A Constitutional Study. Journal of Politics and Law, 4 (2), 180-195. https://doi.org/10.5539/jpl.v4n2p180
Alabady, H. S., & Ghazaleh, S. A. (2024). The Power of the Insolvency Agent of a Public Commercial Joint-Stock Company to Protect the Rights of Corporate Creditors. Journal of Human Security, 20(1), 28-32. https://jhumansecurity.com/menuscript/index.php/jhe/article/view/181
Aladwan, A., & Tahtamouni, M. (2016). Corporate Governance Legislations in Jordan Comparative Study. European Journal of Social Sciences, 52(3), 342-357.
Alamayreh, A. M., & Alhuneti, Y. (2024). The Control over Limited Liability Company Operations: A Comparative Study. Pakistan Journal of Criminology, 16(3). https://www.pjcriminology.com/wp-content/uploads/2024/05/43-The-Control-over-Limited-Liability-Company.pdf
Albalawee, N., & Fahoum, A. A. (2024). A novel legal analysis of Jordanian corporate governance legislation in the age of artificial intelligence. Cogent Business & Management, 11(1), 2297465. https://doi.org/10.1080/23311975.2023.2297465
Alhrerat, K., & Altarawneh, M. (2024). Introducing of insolvency crimes and the demise of bankruptcy crimes inJordanian Legislation: an Analytical Study. Al-Balqa Journal for Research and Studies, 27(1), 92-114. https://doi.org/10.35875/1105.027.001.007
Alharasis, E. E., Haddad, H., Shehadeh, M., & Tarawneh, A. S. (2022). Abnormal monitoring costs charged for auditing fair value model: evidence from Jordanian finance industry. Sustainability, 14(6), 3476. https://doi.org/10.3390/su14063476
Al-Sarraf, A. (2018). The Wave of Insolvency Reform Across the MENA Region: Analysing Saudi Arabia's New Bankruptcy Law. The MENA Business Law Review.
Alshakhanbeh, K. A. (2022). Company Controller's Role as One Way to Rescue Companies under Jordanian's Insolvency Act 2018" Comparative Study". Journal of Politics and Law, 15 (1), 25-33. https://doi.org/10.5539/jpl.v15n1p25
Alshawabkeh, F. A., & Shiyab, T. M. (2021). Judicial oversight as a form of governance in the face of administration arbitrariness in administrative decisions. Journal of Governance and Regulation/Volume, 10(4). 261-271. https://doi.org/10.22495/jgrv10i4siart6
Alsharu, A. I., & Darawsheh, S. A. (2023). Insolvency Law toward Commercial Transactions in Jordan. Journal of Law, Policy and Globalization, 141(1). 99-104. https://doi.org/10.7176/JLPG/141-10
Alwahshat, Z., & Friehat, M. (2022). The Legal Implications of the Judgment Declaring Insolvency in Accordance with the Jordanian Insolvency Law No. 21 of 2018. Journal of Legal, Ethical and Regulatory Issues, 25, 4. https://heinonline.org/HOL/LandingPage?handle=hein.journals/jnlolletl25&div=245&id=&page=
Al-Zwyalif, I. M. (2015). The role of internal control in enhancing corporate governance: Evidence from Jordan. International Journal of Business and Management, 10(7), 57-66. http://dx.doi.org/10.5539/ijbm.v10n7p57
Balas, H., & Alsmadi, M. S. (2024). Powers of Comptrollers to Request Bankruptcy Declaration for Commercial Companies and Judicial Oversight. Journal of Ecohumanism, 3(7), 2378-2386. https://doi.org/10.62754/joe.v3i7.4386
Bu, Q. (2016). Corporate Governance, Accounting Procedures and Prevention of Insolvency. In China's New Enterprise Bankruptcy Law (pp. 43-69). Routledge.
Christiani, T. A. (2016). Normative and empirical research methods: Their usefulness and relevance in the study of law as an object. Procedia-Social and Behavioral Sciences, 219, 201-207. https://doi.org/10.1016/j.sbspro.2016.05.006
Deb, S., & Dube, I. (2021). Insolvency and Bankruptcy Code 2016: revisiting with market reality. International Journal of Law and Management, 63(1), 125-146. https://doi.org/10.1108/IJLMA-05-2020-0133
Gurrea-Martínez, A. (2021). Insolvency law in emerging markets. https://ink.library.smu.edu.sg/cgi/viewcontent.cgi?article=5602&context=sol_research
Franken, S. M. (2014). Cross-border insolvency law: A comparative institutional analysis. Oxford Journal of Legal Studies, 34(1), 97-131. https://www.jstor.org/stable/24562810
Haddad, A. E., Sbeiti, W. M., & Qasim, A. (2017). Accounting legislation, corporate governance codes and disclosure in Jordan: a review. International Journal of Law and Management, 59(1), 147-176. https://doi.org/10.1108/IJLMA-07-2016-0064
Hendawi, R. D. M. (2013). Assessment of corporate governance practices in Jordan: an empirical investigation (Doctoral dissertation, University of Bradford).
Moustaira, E., Moustaira, & Reschke. (2019). International Insolvency Law. Springer International Publishing.
Mo'taz Amin, A. S. E. (2013). Compliance with the principles of corporate governance: different perspectives from Jordan. Accounting and Management Information Systems, 12(4), 553-577. https://ideas.repec.org/a/ami/journl/v12y2013i4p553-577.html
Mucciarelli, F. M. (2013). Not just efficiency: insolvency law in the EU and its political dimension. European Business Organization Law Review (EBOR), 14(2), 175-200. https://doi.org/10.1017/S1566752912001127
Omar, P. (Ed.). (2016). International insolvency law: Themes and perspectives. Routledge.
Orabi, G. A. (2023). The regulation for the settlement of insolvency: analysis of the Federal Insolvency Law No. 19 of 2019. International Journal of Economics and Business Research, 26(2), 201-223. https://ideas.repec.org/a/ids/ijecbr/v26y2023i2p201-223.html
Qutieshat, E., Hamad, A. S. A. B., & Al Adwan, M. (2024). The Adequacy of the Jordanian Regulations in Regulating the Operation of Small and Medium-Sized Enterprises. International Journal of Religion, 5(3), 89-101. https://doi.org/10.61707/vy7gz059
Shanikat, M., & Abbadi, S. S. (2011). Assessment of corporate governance in Jordan: An empirical study. Australasian Accounting, Business and Finance Journal, 5(3), 93-106. https://ro.uow.edu.au/aabfj/vol5/iss3/7/
Shapira, R. (2020). Corporate Law, Retooled: How Books and Records Revamped Judicial Oversight. CARDozo L. REv., 42, 1949.
Singh, V. K. (2021). Modern Corporate Insolvency Regime in India: A Review. NLS Business Law Review, 22. http://dx.doi.org/10.2139/ssrn.3766210
Taekema, S. (2018). Theoretical and normative frameworks for legal research: Putting theory into practice. Law and Method. https://doi.org/10.5553/REM/.000031
Westbrook, L., Booth, C. D., Paulus, C. G., & Rajak, H. (2010). A global view of business insolvency systems. Washington, DC: World Bank and Brill.
Copyright (c) 2024 Ahmad Boutosh
This work is licensed under a Creative Commons Attribution-ShareAlike 4.0 International License.
