KRG to Auction Seized Properties of Shaswar Abdulwahid’s Companies in 92 Billion Dinar Debt Case

ERBIL (Kurdistan24) – The Kurdistan Regional Government’s (KRG) Ministry of Finance and Economy has announced it will proceed with the public auction of 60 seized properties belonging to Nalia Company and Chavy Company to settle an outstanding debt that has reached nearly 92 billion Iraqi dinars. The move marks a decisive step in a years-long legal battle and targets the extensive business empire of a prominent political figure currently facing separate legal challenges.

In a detailed statement issued on Sunday, the Ministry of Finance and Economy outlined the legal basis and timeline for its decision.

The ministry clarified that the total accumulated debts and interest owed by Nalia Company currently amount to a staggering 91,760,066,350 dinars. It will now seek to recover these public funds through the sale of the seized assets, which consist of a diverse portfolio including several plots of land, hotels, cafeterias, and tourist cabins.

The ministry has invited any interested person or party to participate in the public auction, with formal procedures set to begin after the announcement is published in the official newspaper.

The ministry’s action is built on a series of definitive court rulings that have consistently favored the government’s position.

The statement referenced a key decision by the Presidency of the Court of Cassation of the Kurdistan Region and its Civil Appellate Panel (No. 90/Civil Appellate Panel/2021/Correction) on October 20, 2021, which settled the debt case in favor of the Ministry of Finance and Economy.

This was followed by a decision from the Second Sulaimani Enforcement Directorate (No. 2024/684) on September 22, 2024, to place a formal seizure notice on all properties of both Nalia Company and Chavy Company.

Nalia Company’s subsequent appeal of this decision was rejected, with the Sulaimani Region Court of Appeal (No. 732/P/2024) on November 29, 2024, ratifying the enforcement directorate's decision and solidifying the ministry's legal standing to proceed with the asset sale.

The ministry’s statement also shed light on the history of the case, revealing that this is not the first attempt to settle the debt through asset liquidation. Since the KRG’s ninth cabinet took office, the Ministry of Finance and Economy has been working intensively on the case.

Following the pivotal 2021 court victory, a committee had initially designated four plots of land to be sold via public auction. However, that process was halted by the Minister of Finance and Economy after it became apparent that the designated plots were originally allocated for green spaces and public services, making their sale legally untenable.

Furthermore, an incorrect valuation of their prices had been made, and other legal obstacles were present. In response, the ministry halted the process, re-evaluated its strategy with a team of specialists, and subsequently placed seizure notices on all properties deemed legally eligible for sale, leading to the current plan to auction all 60 properties.

The final trigger for the auction, according to the ministry, came at the request of Sulaimani Bank One, a state-owned bank under the ministry’s General Directorate of Commercial Banks, after Nalia Company failed to comply with several notifications to repay its debts.

This major financial enforcement action is unfolding against the backdrop of significant legal and political pressure on Shaswar Abdulwahid, the founder of Nalia Company and the leader of the opposition New Generation Movement (NGM).

As Kurdistan24 reported on August 28, 2025, a court session for Abdulwahid in Sulaimani was postponed for a second time, with the hearing rescheduled for September 2. An arrest order for the NGM leader remains in effect in connection with a case involving allegations of "defamation and intimidation" brought by former Kurdistan parliament member Shadi Nawzad. Abdulwahid was arrested on August 12 and denied the charges during his first court session on August 21.

Separately, the Sulaimani Criminal Court recently announced that Abdulwahid has been sentenced to six months in prison in absentia under Article 431 of the Iraqi Penal Code, which pertains to making threats.

This conviction stems from an arrest order issued on August 3, 2025. The convergence of these legal challenges has attracted significant public attention, given Abdulwahid’s profile as a prominent and often vocal critic of the Kurdistan Region's ruling parties.

Observers, as noted in previous Kurdistan24 reports, have suggested that the handling of his trials carries implications beyond the courtroom. While opponents emphasize the need for due process, Abdulwahid and his supporters have argued that the legal actions are prolonged and pursued for political reasons.

The repeated delays in his court proceedings have been viewed by some as a reflection of the broader political sensitivities surrounding his case, particularly in the Sulaimani province where he and the NGM hold considerable public support.

The ministry’s decision to now liquidate his company's assets, while based on a long-standing legal process, adds a powerful financial dimension to the pressures facing the opposition leader.