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4.11 Profit Distribution [Article 9.1 (l) of the Regulations]

N 35/2018 STA
  1. 4.11.1Distribution of net annual profit for any financial year to the Owner/Partners/Shareholders must be made only after the audit of financial statements for that year, subject to the conditions under Paragraphs 4.11.2 to 4.11.5 of this Chapter;
  2. 4.11.2The distribution of net annual profit among Partners/Shareholders must be in accordance with the agreed profit sharing ratio;
  3. 4.11.3The annual audit of such financial statements must be carried out by an External Auditor appointed in accordance with the Paragraph 7.3.2 of Chapter 7;
  4. 4.11.4The Licensed Person must ensure sufficient liquidity in the business at all times in accordance with Paragraph 4.18 of this Chapter; and
  5. 4.11.5The share of profit must be paid off to the Owner/Partners/Shareholders within fifteen (15) calendar days from the date of decision to distribute such profit. If not, the Central Bank reserves the right to treat such amounts as the current account balance of the Owner/Partners/Shareholders (Refer to Paragraph 4.12 of this Chapter).