Istanbul Chamber of Commerce announced the new procedures for the appointment of representatives with limited powers
Posted in Corporate, M&A and securities
In line with a recent technical change in the operation of the Central Trade Registry System (MERSIS), the Istanbul Chamber of Commerce (“ITO”) made an announcement clarifying the new procedures for the registration of the corporate documents relating to the authorization of new signatories with limited powers in joint stock companies, limited liability companies and their branches. As a result of these changes, authorization of representatives with limited powers will no longer be completed in one single step but will require two separate steps.
The first step involves the registration and announcement of an "internal directive" (iç yönerge) of the company or the branch showing the limits of the representation powers without mentioning the representatives who will exercise those powers.
The second step is the actual application to register the corporate documents relating to the authorization of new representatives who will exercise the powers set out in step one. This step may only be completed after the internal directive is successfully registered and announced in the Turkey Trade Registry Gazette because the corporate documents authorizing new representatives must refer to the powers set out in the internal directive.
This new process is a result of the change in the operation of the MERSIS and companies and branch offices registered in trade registries of other cities other than Istanbul Trade Registry must also take into account this new practice while authorizing new representatives with limited powers.