New Saudi Law: Cracking Down on Financial Crimes with Severe Penalties
In an attempt to strengthen its stance against financial misdeeds, Saudi Arabian authorities have approved a new legislative measure. This law is aimed at combating financial fraud and breach of trust more effectively. Let’s explore the details of this new legislation.
Understanding Financial Crimes in Saudi Arabia
According to the Saudi Central Bank, financial crimes are any acts involving deception to secure a financial gain, either directly or indirectly, at the expense of another party.
Penalties for Financial Crimes
This new legislation is not one to be taken lightly. Convicts of financial crimes may face:
- Imprisonment for up to seven years.
- A fine worth approximately $1.3 million.
In cases involving the misappropriation of funds, the penalty can amount to:
- Up to five years in prison.
- A SR 3 million fine.
Consequences for Incitement
The law also covers incitement, meaning those who manipulate others into committing fraud or breach of trust or assist in carrying out such crimes will be held accountable.
Penalties for Attempted Crimes
Attempting to commit financial fraud will result in penalties equivalent to half the maximum limit of the specific crime being targeted.
Penalties for Organized Crimes
Groups or gangs involved in organized financial crimes will face no less than half the legally decided maximum penalties. Subsequent offenses will still incur the same penalties.
Consequences for Using Equipment in Crimes
The new law allows for the confiscation of equipment and tools used in perpetrating the crime, as well as requiring the guilty party to cover the cost of publishing their conviction.
Mercy and Forgiveness
Showing mercy, the law also grants the court the discretion to forgive offenders who inform the authorities about the crime before any losses have occurred.
The Importance of the New Law
The implementation of this law comes at a time of increasing technological advancement. With the recognition that staying updated and effective is crucial in their efforts against financial crimes, Saudi Arabian authorities are stepping up their game.