MCI, Defaming those who are Involved in Commercial Concealment, Penalties are Applied Firmly against the Violators

03 Jan 2015
Publishing that in the Newspapers at the Expense of the Violators after Issuing the Final Judgments against them

MCI has monitored the most dangerous practices that threaten the commercial community in the Kingdom, where it has taken strict steps regarding the application of penalties against the violators of Anti-Commercial Concealment. This step comes after MCI has taken action against the violating issues and applying the Anti-Commercial Concealment law and the necessary penalties against the violators, that may reach up to imprisonment for two years and a fine of one million riyals per violator, as well as defaming those involved at their expense, also ending their business activity and abolishing their Commercial Registration, and deporting the non-Saudis from the Kingdom.

MCI warned the companies, institutions and individuals not to cooperate with the violators of the Kingdom`s laws, otherwise they will be subject to legal and statutory penalties. MCI aims at reducing the phenomenon of commercial concealment, and providing a regular trading environment, free of any violation, and to enable the citizens to work in business safely.

According to the first article of the Anti-Commercial Concealment, which stipulates that (the non- Saudi has no right, in all cases, to exercise or invest in any activity that is not licensed for him to exercise or invest in it under the foreign investment law or any other laws, regulations and decrees. A person will be judged concealing, whoever enables the non-Saudi of investing in any activity prohibited to be practiced by him, whether through the use of the Saudi Trader`s name or license or Commercial Registration or any other way)

Regarding the cooperation of the concerned authorities in applying this law, Article III stipulates that each department issues licenses for practicing any activity, should follow-up that with the commercial institutions and shops,  to check and verify their regular works, and to inform the Ministry about any violations regarding the commercial concealment.

MCI, as pursuant to article VIII of the Anti-Commercial Concealment, and in cooperation with the relevant authorities, has conducted an awareness campaign on the harmful effects of the commercial concealment, by showing its violation to the applicable regulations, and the penalties to be imposed against the violators. 
Last Modified 25 Dec 2018