Article 19 of the Saudi Anti-Fraud Law
المادة 19 من نظام مكافحة الغش التجاري · الفصل الرابع: العقوبات
The article punishes anyone who deals with held products with a fine equal to their value, without prejudice to the penalties provided for in Article 18.
Official text (Arabic)
This article has not been amended since the law was issued.
مع عدم الإخلال بالعقوبات المنصوص عليها في المادة (الثامنة عشرة) من هذا النظام يعاقب من يتصرف بمنتجات محجوزة بغرامة تعادل قيمتها.
This is the official Arabic wording, the only legally binding version. We do not translate the law itself; the explanation below is ours. Official source: Bureau of Experts at the Council of Ministers
Article 19 explained in plain English
This article prescribes an additional financial penalty for anyone who deals with held products. The provision is as follows:
- The punishable act: dealing with held products, that is, selling them, moving them, disposing of them or any other form of dealing.
- The penalty: a fine equal to the value of the products he dealt with; the greater the value of the goods, the greater the fine.
- Without prejudice to Article 18: that is, this fine does not replace the penalties provided for in Article 18 and does not take their place.
Article 18 punishes with a fine of no more than SAR 1 million, or imprisonment of no more than three years, or both, in the two cases it provides for, including committing the violations in Articles 3, 7 and 9. The phrase "without prejudice" means that applying this article's penalty does not prevent applying Article 18's penalties if its case is met.
The purpose of tying the fine to the value of the products is that the violator should not profit from dealing with the held goods; whatever he might gain from selling them is matched by a fine equal to their value.
Because assessing the value and determining the combined penalties may give rise to dispute, anyone facing this accusation would do well to consult a lawyer specialized in criminal cases.
Practical example
A quantity of cosmetics worth SAR 80,000 was held at a warehouse in Dammam, and its owner sold it before the procedures ended. He is punished with a fine equal to its value, that is SAR 80,000, without prejudice to the penalties provided for in Article 18.
Translated from our Arabic explanation with machine assistance. For guidance only; it does not replace advice from a lawyer on your situation.
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Frequently asked questions about Article 19 of the Saudi Anti-Fraud Law
What is the penalty for dealing with held goods?
A fine equal to the value of the held products he dealt with, without prejudice to the penalties of Article 18.
Does this fine replace the Article 18 penalties?
No. The article provides that it is without prejudice to the penalties provided for in Article 18.
How is the fine calculated?
It equals the value of the held products that were dealt with.
Articles this article refers to
More articles on Penalties for Commercial Fraud
- Article 16
The article punishes anyone who commits one of the Article 2 violations with a fine of no more than SAR 500,000, or imprisonment of no more than two years, or both.
يعاقب بغرامة لا تزيد على خمسمائة ألف ريال، أو السجن مدة لا تزيد على سنتين، أو بهما معًا، كل من ارتكب إحدى المخالفات المنصوص عليها في المادة (الثانية) من هذا الن
- Article 17
The article punishes anyone who runs price reductions or commercial contests without a Ministry license with a fine of no more than SAR 50,000, or imprisonment of up to six months, or both.
يعاقب بغرامة لا تزيد على خمسين ألف ريال، أو السجن مدة لا تزيد على ستة أشهر، أو بهما معًا كل من ارتكب المخالفة المنصوص عليها في المادة (الرابعة).
- Article 18
The article raises the penalty to SAR 1 million, three years' imprisonment, or both, for deception using false scales, health-harming fraud, or violating Articles 3, 7 and 9.
يعاقب بغرامة لا تزيد على (1.000.000) مليون ريال، أو بالسجن مدة لا تزيد على ثلاث سنوات، أو بهما معًا – في الحالتين الآتيتين: 1- إذا اقترن فعل الخداع - أو الشروع
- Article 20
The Article allows the court to order the offending shop closed for up to one year for the Article 2 violations, in addition to the other penalties in the Law.
مع عدم الإخلال بالعقوبات المنصوص عليها في هذا النظام، يجوز الحكم بإغلاق المحل المخالف مدة لا تتجاوز سنة في المخالفات المنصوص عليها في المادة (الثانية) من هذا ال
- Article 21
The Article provides that once a product is proven adulterated it is destroyed or disposed of appropriately and the tools used in the fraud are confiscated, with the Regulations setting how.
يترتب –في جميع الأحوال– على ثبوت غش المنتج إتلافه أو التصرف فيه بأي طريقة مناسبة، ومصادرة الأدوات التي استعملت في الغش أو الخداع. وتبين اللائحة كيفية التصرف فيه
- Article 24
The Article doubles the maximum penalty for a repeat violation within five years of the final judgment, and adds a ban from commercial activity of up to five years for a further repeat.
إذا عاد المخالف إلى ارتكاب أي من المخالفات المنصوص عليها في هذا النظام خلال خمس سنوات من تاريخ صدور الحكم نهائيًّا، يعاقب بعقوبة لا تزيد على ضعف الحد الأعلى للع
The texts are reproduced from the official website of the Bureau of Experts at the Council of Ministers for reference; where they differ, the officially published Arabic text prevails. This content is not legal advice.