Saudi takes action against 44 firms for unlicensed competitions, discounts
The Saudi Ministry of Commerce has launched a crackdown on 44 businesses for running competitions and discount offers without the required licenses. These firms have been referred to the Public Prosecution for further legal action under the Anti-Commercial Fraud Law.
The Saudi Ministry of Commerce has launched a crackdown on 44 businesses for running competitions and discount offers without the required licenses. These firms have been referred to the Public Prosecution for further legal action under the Anti-Commercial Fraud Law.
The ministry’s recent actions highlight its commitment to enforcing regulations that mandate licenses for organizing such promotions. Businesses and online stores are required to secure approval before running competitions or discount offers. Violations of this rule are considered breaches of the Anti-Commercial Fraud Law.
In a statement, the ministry underscored its role in monitoring compliance and combating deceptive commercial practices aimed at consumers. The law stipulates severe penalties for offenders, including up to three years in prison, fines up to SR1 million, or both. Additionally, violators may face mandatory public defamation at their expense following judicial rulings.
This enforcement effort reflects the ministry’s broader strategy to protect consumer interests and ensure fair commercial practices within the kingdom.
