Riyadh, Saudi Arabia – The Saudi National Program to Combat Commercial Concealment has exposed various instances falling under the umbrella of commercial concealment or cover-up (tasattur) and clarified the distinctions between such practices and other violations.
The program identified cases of tasattur, including scenarios where a Saudi citizen transfers ownership of a commercial establishment to a non-Saudi individual in exchange for a monthly fee. Moreover, engaging a non-Saudi as a partner in a commercial activity without a foreign investment license, allowing a non-Saudi to operate a commercial venture in the guise of a Saudi citizen, and authorizing non-Saudis, like domestic workers, to partake in commercial activities were outlined as instances of commercial concealment, Saudi Gazette reported.
A key point of differentiation stressed by the program is between commercial cover-up and the concealment of labor violations. Commercial cover-up involves a foreign worker managing an establishment registered under a Saudi citizen’s name, yielding profits. On the other hand, concealing labor violations entails a Saudi citizen sponsoring a non-Saudi individual in exchange for a monthly payment, without overseeing their work.
The program underlined that commercial concealment is deemed a criminal offense since the right to engage in commercial activities is exclusively granted to Saudi citizens by the state. It defined commercial concealment as a Saudi citizen enabling a non-Saudi to conduct commercial activities prohibited by law without obtaining the necessary foreign investment license. Authorities are actively working to address and curb such violations to maintain the integrity of the commercial sector in the Kingdom.
