Business And Markets

'Justice Shares' Valued at $960 per Person

'Justice Shares' Valued at $960 per Person
'Justice Shares' Valued at $960 per Person

The head of National Union of Justice Shares said the 'justice shares' are valued at 30 million rials (around $960) per head.

Dariush Paakbin advised citizens not to transfer their 'justice shares' to other people, saying such transactions have no legal basis and will result in losses for both the seller and the purchaser.

Meanwhile, Paakbin added that the owners of the shares, which were offered by the previous government in 2007 to low-income families, will benefit from them in the near future. 

The official added that distribution of shares, aimed at developing the economy, covers as many as 50 million Iranians.

He also expressed hope that by the end of the current Iranian year (March 20, 2015) the shares will be listed on the Tehran Stock Exchange.

Earlier, the head of privatization organization also said there were no executive or legal enforcement regarding transactions of such shares in the stock market. Abdollah Pouri Hosseini said the ministry of economic affairs and finance had finalized a bill regarding the issue and would send it to the cabinet for a final decision on the future of the previous administration's shares.

Since 2007, when Ahmadinejad's administration sped up privatization, based on the Article 44 of the Constitution, a plan was approved to offer shares to low-income families, starting with the poorest. Under the Justice Shares plan, millions of Iranian families received shares in state-owned firms, the value of which was supposed to be reimbursed 20 years after the dividends were generated by those shares.

The actual source of these dividends became a subject of great debate in Iran as many analysts called them "shares without profit", and the move was analyzed as another populist policy pursued by the Ahmadinejad administration.

In December 2006, the government said that some 4.6 million low-income Iranians had received 'justice shares' worth $2.5 billion as part of the scheme.