Fraud cases in Saudi Arabia: penalties under the Anti-Financial Fraud and Breach of Trust Law, how to report, private-right claims and your rights.
Short answer: Saudi Arabia's Anti-Financial Fraud and Breach of Trust Law punishes taking another person's money through lies, deception or false impressions with up to seven years in prison and a fine of up to SAR 5 million, or either. The process runs from an official report to Public Prosecution investigation and trial, and the victim may claim their private right.
Fraud reaches people through their money: a message pretending to be a bank, a fake investment, or someone who receives funds in trust and then denies it. Saudi Arabia has a dedicated law for these crimes, the Anti-Financial Fraud and Breach of Trust Law, issued by Royal Decree No. M/79 dated 10/9/1442H.
This guide explains what counts as fraud, the penalties in the law, practical steps for victims, and the rights of anyone accused. If you already have a case, see our fraud and criminal defence services.
What counts as fraud under Saudi law?
Article 1 covers anyone who unlawfully takes another person's money by committing one or more acts involving any fraudulent means, including lying, deception or creating a false impression. Three elements matter: money belonging to someone else, taking it without right, and a deceptive method that led the victim to hand it over.
Not every money dispute is fraud. Failing to repay a debt under a valid contract may be a civil or commercial dispute rather than a crime, and telling the two apart requires a close look at the facts and documents.
How is breach of trust different?
Article 2 creates a separate offence: unlawfully taking money received through employment, trust, partnership, deposit, loan for use, lease, pledge or agency, or disposing of it in bad faith or deliberately damaging it (excluding public funds). In fraud, the money is obtained by deception from the outset; in breach of trust, it was received lawfully and then misappropriated.
What are common fraud patterns?
Methods vary, but some recur: impersonating a bank or government body to obtain a verification code or card details; fake investments promising quick, high returns; fake online sales paid in advance and never delivered; fake jobs or visa services that charge fees; and misuse of an agency or partnership, which may be breach of trust rather than fraud. The common thread is urgency and a request for a transfer or confidential data, so verify through official channels before sending anything.
What are the penalties?
OffenceMaximum prisonMaximum fineFinancial fraud (Art. 1)7 yearsSAR 5 millionBreach of trust (Art. 2)5 yearsSAR 3 million
The court may impose prison, a fine or both, within these ceilings.
What raises or lowers the penalty?
Accomplices (Art. 3): up to the full maximum if the crime occurs, up to half if it does not.
Attempt (Art. 4): up to half the maximum for the completed crime.
Organised gang or repeat offence (Art. 5): at least half and up to double the maximum.
Confiscation (Art. 6): tools and proceeds are confiscated by court order, protecting good-faith third parties.
Publication (Art. 7): the judgment may order publication of a summary at the offender's expense once final.
Exemption (Art. 8): the court may exempt an offender who reports before discovery and harm, or afterwards if it leads to the arrest of the others.
Illustrative example: for financial fraud with a seven-year ceiling committed through an organised gang, Article 5 sets the range between three and a half and fourteen years. This explains the rule only; it is not a prediction for any case.
What if the fraud happened online?
Online fraud may also fall under the Anti-Cybercrime Law, whose Article 4 punishes obtaining property or a bond through fraud, a false name or impersonation with up to three years and SAR 2 million. Where both laws apply, Article 9 of the fraud law says the harsher penalty applies. Fraud covered by the Capital Market Law is excluded and stays under that law.
See also our guide to the Anti-Cybercrime Law (coming soon).
What should you do if you have been defrauded?
Contact your bank immediately if money left your account.
Keep everything: messages, chats, transfer receipts, account and phone numbers, links.
File an official report. Under Article 27 of the Law of Criminal Procedure, criminal investigation officers must accept and examine reports for all crimes.
Claim your private right. A complaint from the person harmed counts as a private-right claim unless expressly waived (Article 29), and the victim may bring the criminal action in private-right cases (Article 16).
Get legal advice on whether the facts amount to fraud, breach of trust or a civil dispute, and on the route to recover funds.
The Public Prosecution investigates and prosecutes these crimes (Article 10).
What are the rights of the accused?
An accusation is not a conviction. Under the Law of Criminal Procedure, no criminal penalty may be imposed until guilt is proven at trial (Article 3); every accused person may have a lawyer during investigation and trial (Article 4); and a detained person must be told why and may contact someone (Article 36). If summoned, attend on time, ask to be informed of the charge, and involve a lawyer from the investigation stage. Many cases start from a commercial or contractual relationship, and documenting that is a core part of the defence.
Frequently asked questions
Is everyone who does not repay me a fraudster?
No. Fraud requires taking money through deception. Non-payment of a valid debt may be a civil or commercial matter.
If I withdraw my complaint, does the case end?
The victim's pardon ends the private action, but under Article 23 of the Law of Criminal Procedure it does not prevent the public action from continuing.
What is the penalty for breach of trust?
Up to five years in prison and a fine of up to SAR 3 million, or either.
Can I get my money back?
The law provides for confiscation of proceeds and you may claim your private right, but recovery depends on how quickly you report, tracing of funds and the facts. No outcome can be assured in advance.
Who investigates fraud?
The Public Prosecution, under Article 10 of the law.
Need your case reviewed?
Whether you are a victim or have been accused, reviewing the facts and documents early helps you choose the right route. Kawkaba Law is based in Jeddah and serves clients across Saudi Arabia in person and remotely.
Request a case assessment
This article is general information about the law and is not legal advice for any specific case. Outcomes depend on the facts, the evidence and the assessment of the prosecution and the court.
