The State Council’s Administrative Court has annulled the deal that saw Saudi businessman Gamil Ben Abdel Rahman Al-Kanbit purchase 90 per cent of department store chain Omar Effendi, previously a public sector company.
The verdict should help restore to public ownership the iconic chain, which was established in 1856.
Omar Effendi was losing ground until 2006, when it was sold to Saudi company Anwal Group. The chain has only seen losses since and is still heavily in debt.
Al-Kanbit is understood to have laid off a large number of Omar Effendi employees without fulfilling his legal obligations towards them.