The joint inspection teams from the National Program to Combat Commercial Cover-Up have recently closed several general service (khidmat) offices in Riyadh due to violations related to commercial cover-up (tasattur). These actions were taken after the inspection teams discovered that these offices were enabling illegal workers to operate and manage the businesses without valid licenses.

Violations Detected

The field inspections revealed multiple infractions, including:

• Employment of workers without proper residency, labor, and border security compliance.
• Suspected commercial cover-up activities.
• Use of revoked or expired commercial registrations.
• Operation without municipal licenses.
• Employment of Saudi female employees without legal work contracts or insurance.
• Failure to issue tax invoices and provide electronic payment options.
• Discrepancies between business activity and license data.
• Continued operations after license expiration.

Legal Consequences

According to the Anti-Commercial Cover-Up Law, violators may face up to five years in prison, fines up to SR5 million, and confiscation of illicit funds following final judicial rulings.

Ongoing Monitoring

The National Program to Combat Commercial Cover-Up continues to monitor establishments based on ten established criteria for market rule adherence. These criteria are set by government agencies to ensure compliance and prevent such violations.

Saudi Public Security Issues Warning On Residency And Work Law Violations

Saudi Arabia Arrests Over 17,000 For Residency, Labour, And Border Violations