Law on Combating Financial Fraud and Breach of Trust

Purpose and scope

• Criminalises financial fraud and breach of trust and sets their penalties; the Public Prosecution investigates and prosecutes (Article 10).

Key rules, rights and obligations

• Fraud: wrongfully taking another's property by any deceptive means, including lying, deception or creating a false belief (Article 1).
• Breach of trust: wrongfully taking property received through work or in trust, partnership, deposit, loan, lease, pledge or agency, or disposing of it in bad faith or deliberately damaging it (Article 2).
• Where the act is also a crime under another law, the heavier penalty applies (Article 9).

Violations, penalties and common problems

• Fraud: up to seven years in prison and a fine of up to five million riyals, or either (Article 1); breach of trust: up to five years and up to three million riyals, or either (Article 2).
• Instigators, conspirators and helpers are punished, and an attempt carries up to half the maximum (Articles 3 and 4).
• Penalties are at least half the maximum and up to double it for an organised gang or a repeat offence (Article 5); tools and proceeds are confiscated (Article 6), and a summary of the judgment may be published at the convict's expense (Article 7).

Procedures and key deadlines

• The court may exempt an offender who reports the crime before it is discovered and before harm occurs, or after discovery if the report leads to the arrest of the others (Article 8).
• Victims should report promptly, keep evidence such as messages and transfers, and claim their private right before the competent court.

An advisory summary prepared by Al-Bayan Al-Wadih Law Firm. It is not an official text and does not replace the law, its implementing regulations, or advice from a specialised lawyer. The official published text and its amendments prevail.