Act 2 Of 2005 Provisions Create Institutions, Companies And Public Facilities

Original Language Title: القانون 2 لعام 2005 أحكام إنشاء المؤسسات‏ والشركات والمنشآت العامة‏

Read the untranslated law here: http://parliament.gov.sy/arabic/index.php?node=201&nid=5225&RID=-1&Last=10058&First=0&CurrentPage=11&Vld=-1&Mode=&Service=-1&Loc1=&Key1=&SDate=&EDate=&Year=&Country=&Num=&Dep=-1&

Act 2 of 2005 provisions create institutions, companies and public facilities of the President of the Republic based on the Constitution and approved by the Assembly in its meeting dated 19-11-1425, 30-12-2004.

Issued: chapter one: General provisions article 1 the following definitions are intended to apply this law: a public institution is a public legal person enjoys financial and administrative independence and participate in the development of the national economy and economic nature is exercised pursuant to direct or supervise the activity of a number of public companies and public facilities with similar or complementary purposes and coordination among them.

B-General company or public institution: is a public legal person enjoys financial and administrative independence and participate in the development of the national economy and consists of a unit or set of agricultural business economic units or industrial or commercial or financial.

C-the Minister: the Minister is associated with general public awalmnshah awalshrkh PE-as-art-2-a public institution and company are public events and public facility by Decree.

B-both public enterprise and public company and General merchant in their relations with others and exercise all activities.

C-public institutions and public enterprises and public buildings and successful their menu with the provisions of Legislative Decree No 18 of 1974 and updated in accordance with the provisions of Legislative Decree No 18 of 1974 and # 20, 1994 to date a judgment in accordance with the provisions of this Act (other than public institutions and construction companies covered by the provisions of law no (1) 1976.

Article 3-a public institution events instrument sets or General company General awalmnshah in particular: a the name, and status.

B-the purpose for which it caused.

C-its capital and its constituent elements.

D-link party article-4-public institution or public awalmnshah public company must follow in order to achieve their purposes, and within the laws and regulations in force, different means to do so and her-most notably-Miley: a-for the General establishment: 1. implementing decrees the general public awalmnshat corporate events.

2. create a economic units or merged or broken or cancelled 3-create branches and its centres at home and abroad, repealed or fragment 4-public lending companies and public facilities and ensure the affiliate with major loans.

5. loan contract with the State financial and banking institutions and without prejudice to the powers of the State Planning Commission under the laws and regulations in force.

B-I-for General company and facility-related public corporation: 1. create a economic units or merged or broken or cancelled under the plan.

2. loan contract with the State and domestic financial institutions.
    Secondly: for the general public and established company is associated with a public institution: 1. create a economic units or merged or broken or cancelled under the plan.

2. create the branches and its centres at home and abroad or broken or cancelled 3-loan contract with the State and domestic financial institutions article-5-integration of public institutions and public companies and public facilities, cancellation and change a link to a similar instrument and instrument sets the instrument issued in this regard how it and its consequences.

Chapter II: General Enterprise Management section-6-managing public institution: 1. Governing Council 2-article 7-a decree called the Chairman of Board of Directors of the public institution of non-employed in the light of the qualifications enjoyed by specifying the cab.

B-appoints the Director-General of the public institution by Decree specifying the cab and compensations and be a member of the Board of Directors and is accountable to the Council and to the Minister.

C-designated Assistant Director General and directors in the public institution by a decision of the Minister on the proposal of the Director General under the conditions laid down in the laws and regulations in force.

D-1-PTC's Board of Directors consists of nine members including the President as follows: Chairman of the Board





Chairman








The Director-General





A member and Vice President.








Associate General Manager





A Member








One of the managers in the organization designated by the Minister.





A Member








Three other employees in the organization designated by the Minister. At least two of them State workers





Members








Representatives of workers of category I or II (in the absence of first category) competent designated by the Executive Bureau of the General Federation of trade unions





Two members








Representative from the agricultural organization designated by the Executive Bureau of the General Federation of farmers and for institutions that related to the agricultural sector, and only two non-working in the enterprise, one of the workers in the State when a representative from the agricultural organization.





A Member





2. the Board shall meet at least once a month, and if necessary shall meet at the invitation of the Chairperson or at the request of a majority of its members.

3. claims to attend meetings of the Board of Directors General Manager public company or public institution established when you discuss matters related to the company or its business without the right to vote.

4. Board meetings are illegal only in the presence of a majority of its members, including the President in his absence in the Presidency of the Council Vice Chairman.

5. decisions of the Board of directors by majority vote in case of equality of votes likely next Chairman of the Board with the exception of manst article 11 of this law where the requirement of a two-thirds majority.

Article 8.-continued financial and accounting systems and systems contracts and the installations and material costs and incentive systems and reconciliations and adjustments in systems containing basic principles of institutions, companies and public establishments of an economic nature.

B-decree issued by conciliation and settlement system for specialized banks and Syrian insurance company.

Article 9-issued by the Minister: 1. rules of procedure of the public institution in accordance with the tasks set her 2-storage and distribution systems and warehouses and systems operations and advertising for public enterprise and public companies and public facilities.


3. financial rules for the functioning of public institutions and public companies and public establishments subject to the provisions of this law does not contradict financial laws and regulations in force.

Article 10-Board is the competent authority for the policy public institution to achieve the purpose for which it has competence in enterprise management and operation and is fully responsible for approval of the plans and good implementation and economic management of the enterprise and achieve economic despotism in accordance with State policy and general plans and the provisions of this law and the law of Syrian trade in particular on good implementation of production plans, investment and exports and the optimal use of available resources in order to achieve appropriate legislative invested capital and is : 1. the draft basic principles and regulations stipulated in articles (8 and 9) of this Act and submit them to the competent authorities for issuing them.

2. the setting of standards and performance rates for public enterprise and public companies and public establishments affiliates 3. formulate policies and objectives of the production and export marketing and investment, employment and rental prices and pursue public companies and public facilities in achieving goals established by the State.

4. detailed plans and operational programmes to ensure the development of production and quality control and good sound economic use of available resources and all safe would increase and enough production for public enterprise and public companies and public facilities.

5. approval of the annual plan for public companies and public facilities, the plan includes the following: a-investment plan b-productive plan c-business plan d-labour plan ه¯-rent costs and plan-budget 6-coordination between public companies and public facilities, and affiliate work around emerging differences 7. examination of the annual and quarterly reports and other made by the Director-General of the public institution or company General awalmnshah General Board : About the implementation plans of public enterprise and public companies and public facilities and financial status and take care about that.

8. study each maurie Minister or Chairman of the Board of directors or General Manager or representatives to organise the Board viewed from issues concerning public companies and public institution and public facilities.

9. the Governing Council may invite sees fit to attend its meetings without the right to vote.

Article 11-the General Board meets under the chairmanship of the Minister in the following cases: 1. approval of the annual plan for public enterprise and consolidated annual plan for public enterprise and public companies and public facilities within the State's five-year plan, without prejudice to the powers of the State Planning Commission under the laws and regulations in force.

Prepare annual plans are discussed to PTC awalshrkh General awalmnshah General in light of the annual performance evaluation indicators reports.

2. a-final adoption of the budget and the annual profit and loss account for public enterprise and public companies and public facilities and their performance evaluation and discharge the members of the Board of Directors and management committees and the Board is in this case the general body of shareholders within the meaning of the Syrian Trade Act to join delegates from the central financial control and applied with regard to the responsibility of members of boards of Directors and management committees provisions enshrined in the Syrian trade law both unless it contained a provision in this law.

And discharge all of the Foundation's Board of Directors and the Management Committee of the company public or non-public awalmnshah disclaimers-as-after seeing the admission issued by the central organ of financial control and reports annual performance evaluation indicators within a period not exceeding three years from the date of issuance of the admissibility decision to the financial year concerned.
   B apply the principles and provisions set forth in paragraph (a) of this article on public companies and public facilities that follow the Minister immediately upon adoption of the balance sheet and the profit and loss account and a discharge or not to discharge administrative committees and the Administrative Committee meeting held under the chairmanship of the Minister that the delegate is bound to the central financial control.

3. capital increase proposal public enterprise and public companies and public facilities and decreased and the increase or decrease is not adopted by decision of the Higher Council for planning.

4. create and merge economic units and slice it up and cancelled.

5. proposed contribution to the capital of public companies and institutions issued the decision about the Prime Minister in the light of a study prepared by the Ministry of finance.

Article 12 of the Governing Council to exercise terms of appropriate experts and specialists and the hiring of experts and consultants and local advisory offices and Arabic and global responsibility as the real need for a specific purpose and for a specific non-renewable or extendable only with the consent of the Prime Minister.

Article 13-General Director of the public institution the following powers: 1. implementation of the resolutions of the Board of Directors.

2. Department of public enterprise and develop working methods and strengthen the organs.

3. the exercise of the right of appointment in accordance with the provisions in this regard in interpreting laws and regulations in force.

4. upgrading and transfer and assignment of employees in the public institution within the laws and regulations in force.

5. promotional bonuses granted within the limits of the appropriations earmarked and penalties for employees within the laws and regulations in force.

6. delegation of aides General Director and managers with some functions.

7. supervising the work of public companies and public facilities and control.

Article 14.-the Director-General shall enjoy public institution within the laws and regulations in force in the Department of public enterprise and is accountable to the Board and to the Minister about proper functioning.

B is called the General Manager of the public institution or public company to keep track of the public institution where worker Treasurer secret Board or allgenhaladarih as the case may be to add functions to the rules of procedure.

Chapter III: financial institution article 15. capitalized General Organization of:


1. the State shares in the capital of public companies and public facilities affiliate 2. funds allocated by the State.

3. the value of fixed assets and investments.

4. other items prescribed by Decree of the events or the decision to increase its capital.

Article 16-General enterprise resources consist of: 1. net profits of public enterprises and public enterprises affiliate 2. reserves and premiums for depreciation of fixed assets for public enterprise and public companies and public facilities.

3-loans and credit facilities 4. countries state of appropriations as a result of the own resources public institution activity or for work and services performed by third parties.

Article 17-General organization uses its resources in accordance with the following: 1. financing plans, expenditures and not take him the nature of the tasks entrusted to it.

2. provision is made in the budget of the public institution and public company established under the provisions of this Bill adopt spent on cultural and social activities for the general public institution and public company established.

And the decision of the competent Minister in agreement with the General Federation of trade unions on the proposal of the Board of Directors of the public institution founded this Exchange.

3. the supply of surplus resources to public debt Fund article 18-a-accounts of the public institution on the basis of commercial and industrial accounting and governing their budgets accordingly.

B-taking into account the provisions of the Penal Code public and Foundation funds are considered economic public companies and public facilities from State funds only as specified for the public benefit.

C-to the right of eminent domain to establish public companies and public facilities and economic units or extended in accordance with the provisions of the law of eminent domain.

D-public institution or public awalmnshah public company adopting standards and performance rates for all its activities and may spend a maximum of 10% of the annual net profits to employees and over net profit specified in performance rates and criteria for competitive players only competitive players determined decision by the Prime Minister.

Chapter IV: General company management and General Treaty article 19-awalmnshah company is managed by a subsidiary of a public corporation: 1. a Management Committee 2-General Manager.

Article 20.-the may decision by the Prime Minister on the proposal of the competent Minister nominating Administrative Committee in the company of non-public institution employees in light of the qualifications.

B-appoints the Director-General of the State company awalmnshah, a subsidiary of a public institution by a decision of the Prime Minister which determines the cab and compensations.

C-public company directors appointed General awalmnshah in accordance with the laws and regulations in force.

D-1-Administrative Commission composed of State company awalmnshah, a subsidiary of a public corporation of seven members including the President as follows:-Chairman of the Management Committee or the Director General Chairman-General Manager or Assistant General Manager and Vice President, one of the managers designated by the Minister in case naming General Manager Chairman of the Management Committee members – two non-employees of the company or facility, at least one of them State workers designated by the Minister as members.

-Representatives of workers of category I or II (in the absence of first category) competent designated by the Executive Bureau of the General Federation of trade unions. Two members.

-A representative of the agricultural organization designated by the Executive Bureau of the General Federation of farmers for public companies and public facilities that are related to the agricultural sector and only non-member employees of the company or the General Treaty when there is a representative of the agricultural organization.
  2. the Administrative Commission shall meet at least once a month, and they have to meet, if necessary, at the invitation of its Chairman or at the request of a majority of its members.
  3. the Administrative Committee meetings are illegal only in the presence of a majority of its members, including the Chairman of the Administrative Committee and in his absence his Deputy Committee Chairman.
  4. decisions of the Administrative Committee by a majority vote in case of equality of votes likely next Chairman.

Article 21-the Management Committee in General company or facility to a public institution is the competent authority for the policy public company or for the purpose of enjoying the powers in the management of a company or public institution and the conduct of its work and is responsible for implementing the plans and full of good economic management for General company or public institution and achieve economic despotism. As State policy and general plans and the provisions of this law, in particular on the proper implementation of the production line and export and optimal use of available resources in order to achieve appropriate legislative invested capital and is: 1. to propose the necessary regulations and projects provided for in article 9 of this law and submit them to the competent Minister directly or via public institution.

2. to propose standards and performance rates and work under these standards and adoption rates of assets.

3. the development of operational plans to achieve the policies and objectives of the production and export marketing and investment, employment and rent and prices set by the public institution.

4. develop programmes implementation plans developed by PTC product development and quality control and good sound economic use of available resources.

5. propose annual plan with full investment and productive and commercial components and labour plan and plan costs and budgeting and rentier.

6. coordination between the economic units.

7. examination of periodic reports on the progress of work and financial position and take the necessary.

8. work on the proper application of cost accounting in accordance with scientific bases.

9. develop policy to ensure sufficient lift productivity for employees and company operating efficiency and public facilities and regular work.

10. to follow up the implementation of projects on schedule.

11. achieve the estimates of resources and expenditure contained in the plan and work on the development of resources and reduce costs.

12. take the necessary for the supply of surplus resources to public institution within the deadlines.


13. training programmes.

14. a study sees Chairman or General Chairman or General Manager or General Manager or General aummthlo to organise Administrative Committee viewed from issues relating to its activity.

15. the Administrative Committee may invite saw fit to attend its meetings without the right to vote.

Article 22-the company is managed by a non-public public institution: 1. Administrative Committee.

2. General Manager.

Article 23-a-Administrative Committee Chairman called for non-public company non-public institution employees in light of the qualifications are enjoyed by a decree specifying the cab.

B-appoints General Manager for non-public company public institution by Decree specifying the cab and compensations and be a member of the Management Committee and is accountable to the Commission and to the Minister.

C-designated managers in non-public company public institution in accordance with the laws and regulations in force.

D-1-Administrative Committee consists of non-public company public institution of nine members including the President as follows: > Administrative Committee Chairman President > General Manager and Vice President Associate Director General members > > one public company managers designated by the Minister as a member of three non-employees > public company designated by the Secretary at least two of them State workers members > representatives of workers of category I or II (in the absence of first category) competent designated by the Executive Bureau of the General Federation For trade unions members > organization designated agricultural representative Executive Office of the General Federation of farmers for public companies that are related to the agricultural sector and only two non-State company, one of the State workers when there is a representative of the agricultural organization members 2. Administrative Committee meets at least once a month and have to meet when-necessary-at the invitation of its Chairman or at the request of a majority of its members.
  3. the Administrative Committee meetings are not considered legal only in the presence of a majority of its members, including the Chairman of the Administrative Committee and in his absence his Deputy Committee Chairman.
  4. decisions of the Administrative Committee by a majority vote in case of equality of votes likely next Chairman.

Article 24.-issued by a decision of the Minister: 1. الن¯ظام procedure for General company or public institution in accordance with the selected tasks.

2. designate one of the directors in General company or Associate Director General's Treaty well done.

Article 25 Administrative Committee for non-public company public institution is the competent authority for the policy of the company to achieve the purpose for which it has enjoyed in terms of company management and operation and are fully responsible for the proper execution of plans and economic management of the company and achieve economic despotism in accordance with State policy and general plans and the provisions of this law and the law of Syrian trade particularly good production and export plans implementation and optimal use of available resources in order to achieve appropriate legislative invested capital and is : 1. to propose the necessary regulations and projects provided for in article 9 of this law and submit them to the competent authorities for issuing them.

2. the setting of standards and performance rates.

3. the policies and objectives of the production, export and investment, employment and rental prices in order to achieve the objectives established by the State.

4. detailed plans and operational programmes to ensure the development of production and quality control and good sound economic use of available resources and everything that would increase production and efficiency.

5. approval of the annual plan and this plan includes the following: a-investment plan.

B-production plan.

C-business plan.

D-labour plan.

E-plan costs and rent.

And budgeting.

6. examination of the annual and quarterly reports and other made him General Manager of the company to the Commission: on the implementation of the plans of the company and its financial position and take the necessary.

7. a study sees the Minister or head of the Management Committee or the General Manager or the Administrative Committee representatives organize display of issues regarding activity of the company.

8. the Management Committee may invite saw fit to attend its meetings without the right to vote.

Article 26-Administrative Committee may use to exercise competence of appropriate experts and specialists and the hiring of experts and consultants and local advisory offices and Arabic and global responsibility as the real need for a specific purpose and for a specific non-renewable or extendable only with the consent of the Prime Minister.

Article 27-General Director of the public company or a public facility (as the case may be) the following powers: 1. implementation of the resolutions of the Board of directors or Management Committee.

2. the management company or public institution and develop working methods and strengthen the organs.

3. the exercise of the right of appointment in accordance with the provisions contained in the laws and regulations in force.

4. upgrading and transfer and assignment of employees of the company or a public institution within the laws and regulations in force.

5. promotional bonuses granted within the limits of the appropriations earmarked and penalties for employees within the laws and regulations in force.

6. Associate Director General authorization and where some directors.

7. supervising the work of economic units of the public company or a public facility and control.

8. submit quarterly and annual reports on the implementation of the plans of the General company or public institution and financial status to the Board of directors or Management Committee.

Article-28. the Director-General of the State company or public institution within the laws and regulations in force with powers to run and is accountable to the Director General on the implementation of the plan and proper functioning.

Chapter 5: public company financial or General Treaty article-29-a-capitalized public company or a public institution to a public institution of: 1. the value of fixed assets and investments.

2. funds allocated by the public institution.

3. other elements defined by the instrument of events or the decision to increase capital.


B-capital public company that do not follow the General institution of: 1. the value of fixed assets and investments.

2. funds allocated by the State.

3. other elements defined by the instrument of events or the decision to increase capital.

Article 30-a public or company resources consists of General Treaty of public institution: 1. resources arising from various aspects of activity.

2. loans and credit facilities.

3-assigning him the public institution of appropriations.

B-the company's resources consist of the following public institution: 1. resources arising from various aspects of activity.

2. loans and credit facilities.

3. countries state of appropriations.

Article 31-a-public company or a public institution to a public institution to use its resources: 1. financing plans, expenditures and contesting nature.

2. the supply of surplus resources to public institution.

B-public company to follow for a public institution to use its resources: 1. financing plans, expenditures and the nature of their purposes.

2. the supply of surplus resources to fund public debt.

Article 32-the accounts of public company or public institution on the basis of commercial and industrial accounting and organize their budgets accordingly.

Chapter vi: final provisions article 33. institutions, companies and public establishments ongoing ownership property investment to achieve economic despotism and consistent objectives and after approval by the Prime Minister.

Article 34-the institutions, enterprises, public facilities and the actual work requirements by having exceeded the 2% as incentive awards of salary and wage mass track prescribed in Decree 1715 for 1977 only ال¯ ratio of 4% of the mass of salaries and wages.

Article 35-public institutions and corporations may public administration class installations in some business and property services, a decision approved by the Council of Ministers on the proposal of the competent Minister reasoned.

Article 36-the institutions, companies and public establishments propose corporate events common to some business and services that speaking of legal instruments and produces the premier instructions for implementing the provisions of this article on the basis of a proposal from the Ministry of finance and the Minister.

Article 37.-the public institution for social security investment of surplus funds in the areas of legislative guarantees according to investment feasibility study for projects and guarantee investment security.

Rule-38. workers in public institutions and public companies and public establishments to provisions of the State employment statute.

Article 39-a-paid both the President and members of the boards of management of public institutions and administrative committees of public companies and public facilities compensation lump sum amount for each meeting attended.

B determined by decision of the Prime Minister and meeting compensation principles and the rules for awarding compensation commensurate with the size and nature of the work at each of the public institutions, public companies and public facilities at the suggestion of the Ministry of finance.

C total may not exceed the remuneration of any member of the Board of directors or Management Committee the rules meeting attendance Board meetings or ¿administrative committees important colourful ・ 24000 SP this amount may be modified by a decision of the Prime Minister upon a proposal of the Ministry of finance.

D does not enter compensation hearings granted under this article within the compensation limits set forth in the laws and regulations in force.

E members of the Board of directors or Management Committee of State employees and non-employees of public institution or public company or facility meeting attendance directors or management committees compensation determined by decision of the Prime Minister includes rules and foundations grants this award at the suggestion of the Ministry of finance to at least 2000 SP and not more than LS 3000 per month and may not be combined more than my membership Board of directors or management committees and. Members of the Board of directors or Management Committee of non-State employees meet attendance Board or Committee of management compensation determined by decision of the Prime Minister includes rules and foundations grants this award at the suggestion of the Ministry of finance and Chairman of the Board shall receive or administrative responsibility of compensation Committee determined by decision of the Prime Minister includes rules and foundations grants this award at the suggestion of the Ministry of finance.

Article 40-gives both the President and members of the boards of directors or management committees, as the case may be in each of the public institution or company public or non-public institution employees bonuses in light of the efforts and the size and nature of the decision of the competent Minister of the budget appropriations concerned so as not to increase the rewards for LS 3000 per month per person and on his responsibility and not within the ceilings set out in laws and regulations in force.

Article 41-General Manager of the public institution or public company or a public facility is where expenditure is him to give carte blanche to the adoption within the limits and conditions established by.

B represents the Director General General General company or institution or public installations and others and churning out of adoption.

Article 42-financial year for public enterprise and public company and established the State's fiscal year.

And Finance Minister may reschedule to start and the end of the fiscal year for public enterprise and public companies and public facilities that required nature of its effectiveness.

Article 43-General Foundation and General company or general State guarantee facility.

Article 44-exempt contracts and operations of public enterprise and public company and General Treaty ratification of the Council of State.

Article-the public and the businesses are exempt. 45 public institutions and public facilities to provide safeguards and guarantees for departments and public institutions, municipalities and all bodies and public companies and public facilities of public sector for tenders or contracts involved by awaltahdat.

Article 46.


Exempt public institutions and public companies and public facilities to provide judicial guarantees in all cases where the law imposes this obligation.

Article 47.-subject to paragraph (b) of article 11 of this law firm's Management Committee will hold public or non-public facilities public institution headed by the Minister in the following cases: 1. approval of the annual plan for the general public or company established within the framework of the State's five-year plan without disruption to the powers granted to the national State planning under the laws and regulations in force.

Prepare and discuss the annual plan for General company or public institution in the light of the reports of the annual performance evaluation indicators.

2. the proposal to increase the company's capital or public facility and decreased and the increase or decrease is not adopted by decision of the Higher Council for planning.

3. create and merge economic units and slice it up and cancelled.

4. proposed contribution to the capital of public companies and institutions issued the decision about the Prime Minister in the light of a study prepared by the Ministry of finance.

Article 48-a-public institutions act limited number 32, 1957 and amendments to public institutions of an administrative nature.

B-replace (PE) in the law referred to in paragraph (a) of this article with the words (KIA) as well as all the rules والان¯ظمه.

Article-49. by a decision of the President of the Council of Ministers on the proposal of the competent Minister to increase or reduce the number of directors or management committees-as-according to the requirements and nature of the activity and the work of public institutions and public companies and public establishments covered and updated in accordance with the provisions of this law.

Article 50-the Supreme Council may benefit the investment institutions, companies and public establishments and new projects that occur in accordance with the provisions of this law of advantages and exemptions provided for by the investment law number 10, 1991, as amended.

Article 51.-during the two years and no later than three years from the date of application of the provisions of this law, combining functionality, General Manager and Chairman of the Board of directors or Management Committee as the case in non-public companies and public institutions of the public institution and modification of awallgan management boards of management decision by the Prime Minister on the proposal of the competent Minister.

Article 52.-repeals Decree number 20, 1994 and all instructions, communications and decisions in violation of the provisions of this act as of the effective date.

Article 52.-this law shall be published in the Official Gazette and shall be deemed effective six months after the date of issuance.

Damascus: 29-11-1425 e and 9-1-2005 m President Bashar Al-Assad