Holding companies according to the amendment of the Iraqi Companies Law No. 17 of 2019

Abstract

Abstract: The Companies Law No. (17) of 2019 which was issued amending Law No. (21) of 1997, stipulates the definition of holding companies only, while ignoring important aspects of the organization of holding companies, thereby restricting the goal of achieving the purpose of their establishment. Therefore, this study aimed to identify the concept of holding companies and their advantages, identify the most important restrictions and problems related to it in light of the comparison with the Egyptian and Lebanese corresponding laws. Using the comparative analytical method, the study reached a set of conclusions, most notably that the purpose is to contribute to the development of the national economy by encouraging domestic and foreign investment, but it faces some deficiencies by the absence of detail on important aspects related to it, such as determining the limits of responsibility between holding companies and subsidiaries and the amount of their capital and the absence of any indication that this type of companies are not being exploited to achieve the benefits expected from its establishment.