Article 64 of the Saudi Counter-Terrorism Crimes and Financing Law
المادة 64 من نظام مكافحة جرائم الإرهاب وتمويله · الفصل السادس: التدابير
Article 64 requires financial institutions and designated non-financial businesses and professions to apply due diligence measures according to the risk level, tighten them when risk is high, and leaves the details to the Regulations.
Official text (Arabic)
This article has not been amended since the law was issued.
على المؤسسات المالية، والأعمال والمهن غير المالية المحددة؛ اتخاذ تدابير العناية الواجبة، وتحديد نطاقها على أساس مستوى مخاطر تمويل الإرهاب المرتبطة بالعملاء وعلاقات العمل ويتعيّن عليها تطبيق تدابير مشددة للعناية الواجبة عندما تكون مخاطر تمويل الإرهاب مرتفعة. وتحدد اللائحة الحالات التي تتخذ فيها هذه التدابير وأنواعها.
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 64 explained in plain English
This article requires financial institutions and designated non-financial businesses and professions to take due diligence measures toward their customers and business relationships with them.
The main points the article sets out:
- Scope follows risk: the scope of due diligence measures is set on the basis of the level of terrorist financing risks associated with customers and business relationships.
- Tightening when risk is high: enhanced due diligence measures must be applied when terrorist financing risks are high.
- Referral to the Regulations: the Implementing Regulations set the cases in which these measures are taken and their types; the article itself does not detail them.
Note that the article does not list non-profit organizations among those it addresses, unlike Article 63, which requires the three categories to assess risks, the assessment on which the level of due diligence is based.
Article 65 follows it and requires the same entities to keep the due diligence documents in their records for no less than 10 years.
Practical example
Khalid opened an account for a business that deals with many foreign parties. The bank classified the relationship as high-risk, so it applied enhanced due diligence measures to him, which the article requires when risk is high; the types of these measures are set by the Regulations.
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 64 of the Saudi Counter-Terrorism Crimes and Financing Law
What is meant by enhanced due diligence?
These are stricter measures that must be applied when terrorist financing risks are high, and the Regulations set their cases and types.
Is due diligence applied to the same degree to all customers?
No. Its scope is set on the basis of the level of risks associated with customers and business relationships.
Where can I find the details of due diligence procedures?
The article refers to the Implementing Regulations to set the cases in which the measures are taken and their types.
More articles on Duties of Financial Institutions and Reporting
- Article 6
Article 6 lets the Public Prosecution, and the Presidency of State Security at the evidence-gathering stage, request records and information from any person or institution, and requires fast, accurate execution and confidentiality.
1- للنيابة العامة -من تلقاء نفسها أو بناءً على طلب رجل الضبط الـجنائي- أن تطلب من أي شخص أو من المؤسسات المالية، أو الأعمال والمهن غير المالية المحددة، أو المنظ
- Article 63
Article 63 requires financial institutions, designated non-financial businesses and professions, and non-profit organizations to identify, assess, document and continuously update their terrorist financing risks.
على المؤسسات المالية، والأعمال والمهن غير المالية المحددة، والمنظمات غير الهادفة إلى الربح؛ تحديد و فهم مخاطر تمويل الإرهاب لديها وتقييمها وتوثيقها وتحديثها بشك
- Article 65
Article 65 requires financial institutions and designated non-financial businesses and professions to keep all transaction records for at least 10 years and allows the Public Prosecution to require extending that period.
1- على المؤسسات المالية، والأعمال والمهن غير المالية المحددة؛ الاحتفاظ بجميع السجلات والمستندات والوثائق والبيانات بما فيها مستندات تدابير العناية الواجبة، لجمي
- Article 66
Article 66 requires applying enhanced due diligence to dealings with persons from or residing in high-risk countries, and applying the risk-mitigation measures set by the supervisory authorities.
على المؤسسات المالية، والأعمال والمهن غير المالية المحددة؛ تطبيق تدابير العناية الواجبة المشددة على علاقات العمل والمعاملات مع أي شخص يأتي من بلد أو يقيم فيه تم
- Article 67
Article 67 requires financial institutions, designated non-financial businesses and professions, and non-profit organizations to set and effectively implement policies, procedures and controls to combat terrorist financing, with their content left to the Regulations.
على المؤسسات المالية، والأعمال والمهن غير المالية المحددة، والمنظمات غير الهادفة إلى الربح وضع السياسات والإجراءات والضوابط وتنفيذها بفعالية لمكافحة تمويل الإره
- Article 68
Article 68 requires financial institutions to mitigate the risks of correspondent relationships with other financial institutions and to apply the Anti-Money Laundering Law's requirements to wire transfers.
1- على المؤسسات المالية اتخاذ التدابير المناسبة للتخفيف من المخاطر الناتجة عن الدخول في علاقة مراسلة مع مؤسسات مالية أخرى، والمحددة في نظام مكافحة غسل الأموال.
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.