The importance of treasury shares in private joint stock companies (a study in Iraqi law)

 

The importance of treasury shares in private joint stock companies

(a study in Iraqi law)

Ass.Lac. Ahmed Kherbat Abedal-sayed Canadian

Directorate of Education Qadisiyah

Commercial Diwaniyah High School

 

Ass.Lac. Muhammad Saeed Al-Saadawi
Imam Al-Kadhum College oF Islamic Sciences, University / Diwaniyah Departments
E.mail: albdiery@gmail.com

 

 Abstract:

The company re-acquires shares by buying it, not to cancel it, but to reserve it for sale in the future, for various administrative and economic purposes, to be known as (treasury shares).

However, as this process has positive effects, it has negative effects on the level of shareholders and the market, and even for the company itself, and thus on the national economy of the state, if we take account into the major role of companies contributing  to the development and trade in the country and their influence through that on public policy in it.

The absence of regulation of treasury shares inevitably creates cases of exploitation that affect the transactions related to the company, the market and the economy.  Therefore, our commercial legislator had to confront its legal regulation.

Keywords: (Treasury shares, joint stock companies, Iraqi law)