Article 278 of Bankruptcy Law

The chairman and members of the company's board of directors, its managers, auditors, and persons conducting its liquidation shall be punished by imprisonment for a term not exceeding five years and a fine not exceeding one hundred thousand Kuwaiti dinars, or either of these penalties, if, after a final decision opening proceedings against the company has been issued, they commit any of the following acts: 1 . Concealing all or part of the company's books, destroying them, or altering them. . Embezzling part of the company's assets or concealing them. . Knowingly acknowledging debts not owed by the company, whether the acknowledgment is in writing, orally, in the balance sheet, or by refraining from submitting papers or explanations in their possession with Law Index 1452 Home Page Bankruptcy Law Law No. 71 of 2020 Promulgating the Bankruptcy Law knowledge of the consequences thereof. 4. Obtaining ratification of a preventive settlement proposal, restructuring plan, or composition terms through fraud. h . Making untrue declarations concerning subscribed or paid-up capital, distributing fictitious profits, or appropriating any of the company's assets in the form of remuneration, whenever it is established that, at the time of appropriating those assets, they knew they were not entitled to all or part thereof.