Saudi Arabia’s Largest Embezzlement Scheme Exposed: 11.5 Billion Riyals Stolen in Massive Corruption Racket

A stunning revelation has been made public by Saudi Arabia’s Anti-Corruption Authority (Nazaha), uncovering a massive corruption scheme involving bank officials and businessmen, with an astonishing total value of 11.5 billion riyals.

The Investigation

The investigation was sparked by tip-offs about bribes being paid to bank employees by an organized gang operating in the Kingdom. In cooperation with the Saudi Central Bank, Nazaha carried out a thorough investigation to uncover the extent of the corruption scheme.

Key Findings

• The racket involved expatriate residents, citizens and businessmen who deposited cash sums from unknown sources into commercial entities’ bank accounts before transferring them outside the country.
• Five expatriates were arrested attempting to deposit over 9.78 million riyals in cash, along with seven businessmen, 12 bank employees, a non-commissioned officer, and five Saudis for their involvement in bribery, forgery, exploiting positions for illicit financial gain, commercial fraud, and money laundering.

The Mastermind Behind the Scheme

One of the key figures implicated in the scandal was a businessman who set up numerous fake commercial entities under his name, wife’s name, and son’s name. He then opened bank accounts, which were used by residents to deposit cash sums from unknown sources and transfer them abroad with the collusion of bank employees in exchange for money and gifts.

• The businessman allegedly paid 300,000 riyals to a non-commissioned officer in a police department to stall his case involving suspicious financial dealings.
• Another 4 million riyals were allegedly paid to Saudi mediators to stall the same case with the Public Prosecution.

Extent of Corruption

The investigation also uncovered a bank branch’s manager who set up fake commercial entities and opened bank accounts, further highlighting the extent of corruption within the financial sector. Five businessmen established fake commercial entities and opened bank accounts that were intentionally meant to be used in the fraud.

Recovery Efforts

The authorities are working to recover the stolen funds and bring those responsible to justice, as Saudi Arabia continues its efforts to root out corruption and restore public trust in its institutions.

• Nazaha is committed to uncovering and prosecuting cases of corruption, ensuring that those involved face the full weight of the law.
• The investigation highlights the importance of cooperation between authorities and the public in combating corruption and promoting transparency and accountability.