• Trade and investment: 12 economic and security effect caused by the phenomenon of commercial cover up


    In a public lecture in Asharqia Chamber yesterday.
    Behind every serious commercial fraud a worse commercial cover up.

                The Ministry of Trade and Investment stressed the high level of awareness among citizens and government agencies in the fight against the phenomenon of commercial cover up  referring to the increase  of the reports to the ministry about the phenomenon, pointing to the presence of 12 economic and security impact caused by this phenomenon, which he described as "serious".
    This  was in a lecture held  in Asharqia Chamber on Wednesday, February 15, 2017 under the title (the risk and damage of the commercial coverup) presented by the deputy general director of commercial cover up the Ministry of Trade and Investment Fahd  Al Salamah, said that the cover up is that the "non Saudi who works for his own account enables the Saudi or foreign investor, whether it is through the use of his name or license or commercial record or any other way), noting that Saudi Arabia is not entitled to a system that works for his own account,
    He said that there are cases show that foreign investors have exercised cover up once getting the investment license, and fell in violation of the law, and some cases of empowerment are at the initiative of the foreign worker himself without the knowledge of the Saudi sponsor or the foreign investor, for example The teacher tutoring works for his own account in the off duty time, and this is a violation of the laws of the Ministry of Labor, as well as the cases such as a driver working as plumber is contrary to the regulations of the Ministry of Labor, and the phenomenon has nothing to cover up.
    He pointed that the ministry dealing with the reports very seriously and has its ways to make sure of the cover up process. He explained that the reporting center in the ministry received in 2014 about 456 reports, to 1565 reports in 2015 and to 2537 reports in the past year, also the reports  to the ministry directly from various government agencies, which confirms the high level of awareness among the citizens to fight this phenomenon, in addition to the high level of cooperation between the Ministry of trade and investment and other government agencies such as the Ministry of labor, Ministry of Interior, and the Ministry of Justice, pointing that some of the reports offers related documents, and some are malicious and untrue, and our part in the ministry to deal with the  report as a report  and we have our ways to make sure that it is correct, and if found malicious we take the issue to the public prosecution.
    He said that the ministry efforts in pursuing cases of cover up in the last year (1437), the Ministry  (10,493), some under the reports and some of them the result of normal inspections on cases of cover up, and big legal violations.
    The economic effect he mentioned a number of effects, including commercial fraud, there is no fraud business, without a commercial cover up, especially in trade activity and marketing of cars parts, that the greatest effects is the  amount of foreign outside money transfers, which amounted to 2015 about 156 billion riyals, and we find that a big proportion of them as a result of a commercial cover up by the non Saudis accounts we find that the average salary for a foreign worker does not exceed 1.187 Saudi riyals, and the number of non Saudi workers in the range of 8,212,782 workers, this is a huge percentage that confirms this fact.
    Turning to the ministry procedures to fight the phenomenon begins by receiving reports completing the evidence to apply the inspection and then the prosecution, to determine the evidence, and in the case of certainty there are fines imposed  of up to a million riyals or stopping the activity, or libel or prison, and excluding the non Saudi. He explained that the ministry gives financial rewards of up to 30% of the value of the fine imposed on the person covering up and we have given a Saudi citizen 135,000 rials, and other Jordanian resident 200 thousand riyals, the ministry is encouraging the reporters and is keen to give evidence.
    He said that the main causes of covering up is the goodwill of some citizens and their hesitation to report, and concluded by saying that the ministry intersect with other mutual efforts, by the citizens who have to know what is good for them and benefit their country and hurt them and hurt the country and its economy.. stressing that not every citizen and not every resident is covering up.
    At the end of the lecture the guest was honored with a memorial shield.

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