Home World Benami business in Saudi: Action against several companies, including Malayalees

Benami business in Saudi: Action against several companies, including Malayalees

by news dir

Even institutions run by Malayalees are among those who have faced such disciplinary action. Foreigners are allowed to do business legally in the country only after obtaining an investor’s license.

Riyadh Saudi Arabia, First Published Sep 17, 2021, 4:56 PM IST

Riyadh: Strong action against benami businesses run by foreigners in the name of Saudi nationals. So far this year, about 600 companies have been caught in the Commerce Ministry’s search for such companies. The ministry said it had taken stern disciplinary action against these institutions.

Even institutions run by Malayalees are among those who have faced such disciplinary action. Foreigners are allowed to do business legally in the country only after obtaining an investor’s license. But many have obtained licenses in the name of Saudi citizens and run businesses under the guise of it. This is what the Saudi authorities are up to.

All companies run by foreigners in the name of sponsors who come to Saudi Arabia on work visas fall under the category of benami. Such benami companies have been given till February next year to avoid legal action and become legal. Within this, those who run the company in the name of sponsors have to get an investment license and transfer it to their own name. Otherwise the institution should be handed over to the sponsor himself and legalized

Last Updated Sep 17, 2021, 5:11 PM IST

.

Related Articles

Leave a Comment

This site uses Akismet to reduce spam. Learn how your comment data is processed.