Saudi authorities have named two women – a Saudi citizen and an Egyptian national – to shame them after a court convicted them of committing the crime of a commercial cover-up by running a beauty parlour in the holy city of Mecca.

Details of the Cover-Up Case

The Ministry of Commerce found evidence confirming that the expatriate, identified as Mona Abdulshafi, had illegally pursued her own business without obtaining a foreign investment license by using a commercial register issued in the name of the Saudi citizen, Afia Hassan.

Illegal Business Operation

The authorities discovered that the expatriate made significant profits from running the beauty parlour, but only paid SR500 per month to the citizen in return for cover-up.

Judicial Ruling and Penalties

A disciplinary court issued a final ruling against both women. The penalties include public shaming, revoking the commercial register, liquidating the business, paying due taxes, and deporting the expatriate from the kingdom.

Electronic Reporting on Commercial Cover-Up

In a bid to curb illegal business activities, Saudi authorities have introduced an electronic service that allows commercial institutions to report commercial cover-up by their counterparts, ensuring market compliance and legal operation.

Penalties Under the Anti-Commercial Cover-Up Law

Violation of the anti-commercial cover-up law in Saudi Arabia can lead to imprisonment for up to five years, fines of up to SR5 million, and confiscation of illegal profits following a court ruling.

National Programme to Combat Commercial Cover-Up

Launched in 2019, the National Programme to Combat Commercial Cover-Up aims to boost business transparency, promote the use of bank accounts, and automate business services to prevent illegal commercial practices in the Kingdom.

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