MCI had implemented more than 160 inspection tours to follow up and check the activities of real estate and public services offices in Riyadh, resulted in detecting 65 trading violations in such offices. Therefore, the owners were summoned by MCI for investigation and taking the legal proceedings.
The most prominent violations of real estate offices were taking sale or leasing commission exceeding (2.5%) of the value of the contract for one year, or being replicated, in addition to combining real estate with other activities at the same office, also employing non Saudi labors, besides non-compliance with the trading name, as well as not updating the commercial registration data.
On the other hand, there were several violations related to public services offices, such as practicing the activity without a license or CR, as well as violating the anti-commercial concealment law, also giving shelter to illegal maids and labors, more over practicing brokerage activity in recruitment, besides using publications and various stamps not belonging to the owner of such facility, in addition the owners were not devoted to practice such profession.
The Ministry confirms its warning to all public services and brokerage offices against any mediatory in recruitment, as stipulated in the implementing regulations for practicing the profession of brokerage. This is part of the Ministry`s concern to preserve the rights of all parties.
MCI will not hesitate to impose the legal penalties against any violation, in accordance with the Regulation of the real estate & public services offices, which include several penalties and fines that may reach up to SR 25 thousand riyals, as well as the closure of the office for one year, together with the abolition of the office license permanently in case of repeating the offense.
This comes within the Ministry`s pursuit and efforts to provide an Organized business environment that takes into account the rights of all consumers, as well as to contribute to organize the trade market in order to preserve and ensure the rights of all parties.