Saudi Gazette report

RIYADH — The Saudi Ministry of Commerce has started taking punitive measures against 44 commercial establishments for organizing competitions and discount offers without obtaining a license from the ministry.

These firms were referred to the Public Prosecution to complete the legal procedures with regard to taking punitive measures against them in accordance with the provisions of the Anti-Commercial Fraud Law.

The ministry earlier instructed that those commercial establishments and online stores, which wish to organize competitions or discount offers, must have obtained a license from the ministry. It stated that organizing contests and discount offers without a license is a violation of the provisions of the Anti-Commercial Fraud Law.

The ministry is continuously monitoring whether the commercial establishments and online stores are complying with the requirements for organizing competitions and discounts or not, so as to detect violations and catch any fictitious and misleading commercial practices targeting consumers.

According to the Anti-Commercial Fraud Law, anyone who violates the provisions of the law will be punished with penalties of up to three years in prison, and a maximum fine of SR1 million, or both penalties, and defamation of violators at their own expense in the local media after issuance of enforceable judicial rulings from the competent courts.