A Saudi citizen has been arrested for allegedly defrauding the banking system with the help of a local bank employee, acquiring SR493 million in financing. This arrest marks another significant move by Saudi Arabia's Oversight and Anti-Corruption Authority, Nazaha, to tackle financial corruption in the kingdom.

Bank Fraud Details

The Role of the Main Suspect

The suspect reportedly submitted false title deeds and contracts, claiming the financing would support government agency investments. This led to the approval of SR493 million from the bank, with assistance from a bank employee.

Employee Collusion in the Bank

The bank employee allegedly colluded with the suspect by fast-tracking the financing request, misleading the bank’s internal departments into approving the transaction based on falsified documents.

Money Laundering and Concealment

Asset Concealment

The suspect used the funds to buy properties, which were registered under the names of relatives to disguise ownership. Nazaha reported that SR1 million of the total sum was transferred outside the kingdom, raising further concerns about the extent of the fraud.

Involvement of Passport Officials

Facilitation of Unauthorized Travel

In a related aspect of the case, three officials from the General Directorate of Passports were arrested for allegedly receiving payments to allow the suspect unauthorized travel in and out of Saudi Arabia.

Saudi Arabia’s Anti-Corruption Efforts

Saudi Arabia has intensified its crackdown on financial corruption, aiming to protect public funds and eliminate waste. Hundreds of public and private sector figures have been questioned, arrested, or convicted in recent years as part of the ongoing efforts.