New Saudi law boosts efforts to combat financial fraud

Authorities in Saudi Arabia last week approved a new law designed to combat financial fraud and breach of trust. The new legislation defines all aspects of financial crimes in detail and sets out the maximum penalties, while attempting to take into account the rapid pace of technological advances around the globe.
The Saudi Central Bank defines fraud as “any act involving deceit to obtain a direct or indirect financial benefit by the perpetrator or by others with his help, causing a loss to the deceived party.”

Under the new law, the possible punishments for individuals convicted of committing financial crimes include up to seven years in prison and a maximum fine of SR5 million ($1.3 million).

Anyone who unlawfully appropriates money delivered to him through his work or by way of a trust, partnership, deposit or loan faces the possibility of a jail sentence of up to 5 years and a maximum fine of SR3 million.