mc_gov_sa · executive_regulation · processed · 23 chunks
VISION d 230 الاملكه العربيه السعوديه KINGDOM OF SAUDI ARABIA وزاره التجاره Ministry of Commerce Implementing Regulations of The Law on Combating Commercial Adulteration +966 11 294 4444 | Riyadh 11162 Kingdom of Saudi Arabia | المملكه العربيه السعوديه YouTube | SaudiMCI www.mci.gov.sa ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● ● [Non-Text] وزاره التجاره Ministry of Commerce VISION d_jh 230 المركزي العربيه السعوديه KINGDOM OF SAUDI ARABIA Ministerial Decree No. 155, dated 06/01/1431 H. Implementing Regulations of the Law on Combating Commercial Adulteration The Minister of Trade and Industry As authorized Pursuant to The terms of reference of the Ministry of Commerce and Industry, issued by the Council of Ministers Decree No. 66, dated 06/04/1437 H. Law on Combating Commercial Adulteration, issued by Royal Decree No. M/19, dated 23/04/1429 H. The joint memorandum from the Undersecretary for Consumer Affairs and the Assistant Undersecretary for Legal Affairs, No. 5814/11, dated 29/12/1430 H. Has decided as follows: Article (1): The Implementing Regulations for the Law on Combating Commercial Adulteration shall 1 be issued in the attached form. Article (2): This Decree shall be published in the Official Gazette. Minister of Trade and Industry Abdullah bin Ahmed Zainal Ali Reda +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 2 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION ριλή 30 Demolak Eireille Sheqde KINGDOM OF SAUDI ARABIA General Provisions Article 1: The following words and phrases, wherever they appear in these Regulations, shall have the following meanings: Minister: Minister of Commerce and Industry Ministry: Ministry of Commerce and Industry Competent Authorities: Ministry of Municipal and Rural Affairs and the General Authority for Food and Drugs. Article 2: Products are deemed to be adulterated in the following cases: A) If a product is altered, modified, or tampered with in any way, in itself, its nature, type, form, elements, characteristics, requirements or specification, or in its data pertaining to its origin (country of manufacture) or its weight, size, number, power, caliber or validity date. B) If a product does not comply with the standard specifications or any of its items, or a product is produced, packaged, stored, transferred or displayed in violation of the adopted specifications and requirements. C) If a product is spoiled according to the following: 1. A product is improper for exploitation, use or consumption by humans or animals. 2. A product is expired according to the expiration date thereon. 3. A product shows signs of rottenness or decay. 4. A product's natural properties or components has changed in terms of shape, color, taste or odor. 5. A product contains worms, larvae, insects, human or animal waste or residues, etc. 6. A product inspection results shows its invalidity. Article 3: A) Deception or adulteration in the product may be in its description, display or marketing using false, deceptive or misleading information in any way contrary to its reality. B) Any preparation for deception is a form of deception. C) Any fraudulent preparation is an intention to adulteration. Article 4: Possession of an adulterated product is deemed for commercial purposes of such possession is at the place of display, sale, storage, manufacture or means of transportation. Seizure of Violations Article 5: A. Judicial Control Officers of the Ministry and the competent authorities shall, jointly or individually, seizure and verify any violations made to the provisions of the Law, in accordance with the jurisdiction of those authorities, whether as a result of any communications, reports, complaints or inspection tour. +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 3 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION 30 30 المركزيه السعوديه KINGDOM OF SAUDI ARABIA B. Judicial Control Department officers shall complete the procedures for proving the violations made to the provisions of the Law and its Implementing Regulations, as spotted by the officers of the public control officers. C. Judicial Control Officers in any of the entities referred to in paragraph (A) of this Article shall seizure and prove the violations made to the provisions of the Law and its Regulations in the regions, governorates and the centers where such authorities have no branches/offices. Spotted violations shall be referred to the competent authority according to jurisdiction. When a violation made to the provisions of this Law is discovered, which is not subject to the competence of his authority, he shall prove and refer that violation to the competent authority to complete the legal procedures. D. The Ministry and the competent authorities shall issue business cards to their judicial officers to present them at the time of seizure. Article 6: The responsibility and supervision of the Ministry on the Judicial Control Officers are as follows: 1. Issue ministerial decrees to appoint and dismiss the judicial control officers. 2. Verify the compliance of the judicial control officers to implement the provisions of the Law and its Implementing Regulations and to direct the necessary observations to those authorities in this regard. 3. Issue the necessary decrees to implement the provisions of this Law and its Regulations and the competent authorities shall undertake the implementation of that matter. 4. Receive monthly reports from the competent authorities on the works of the Judicial Control Officers. Article 7: In performing their duties, the judicial control officers may do the following: 1. Research, investigate and receive the reports and complaints on the violations to the provisions of the Law, then seizure and prove those violations. 2. Entry and inspection of the establishments where the products subject to the provisions of the Law and its Implementing Regulations exist, as well as the establishment-related storage and warehouses, means of transportation, etc. They may request to open any closed places of these at the time of violation or during the actual working hours of the facility. In case they are prevented, they are entitled to close the suspected place until they are able to enter and verify the existence of a violation. 3. Control and seize products suspected of violation to the provisions of the Law and its Implementing Regulations, taking samples from them for examination and analysis, in addition to the seizure of documents relating to the product, establishment and employees, when necessary, prepare a record thereof and allow disposal of the product proved to be unadulterated. 4. Seizure and destruction of the product proved to be adulterated in accordance with the cases specified in Article (2) of this Regulation, disposing of it in accordance with Article (15) thereof. 5. Take the statement of the violators immediately, if necessary, or summon them to confront them with the violation and then take their statements later. The violator may submit his defenses and documents on the violation, proving the same in the relevant minutes. 6. Use the competent security authority when necessary. +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 4 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION د.اي 30 الملكه العربيه السعوديه KINGDOM OF SAUDI ARABIA Article 8: A) Judicial control officer shall prepare minutes upon control, seizure inspecting, sampling, confiscating, destructing or lifting seizure off products, or in case of closing or opening any premises, or preventing carrying out business, or upon taking violators' statements. The said minutes shall include the following: 1. Date of minutes and place of seizure. 2. Commercial data of the establishment and the licenses issued for it to carry out its activity. 3. Name of the judicial officer, name of the establishment owner or his representative or the name of any of the workers therein, as well as the name of the person caught cheating or adulterating and their signatures thereon. 4. Products' names, quantities and commercial data, as well as the violation type, location of seizure and the tools used in the fraud or deception. B) Minutes shall be issued in three copies; the original shall be attached to the case file, one copy to the competent authority and one copy to the owner of the establishment or the violator. Article 9: The Judicial Officer shall withdraw samples suspected of violating the provisions of the Law and its Implementing Regulations, for examination and analysis, in accordance with the following: 1. Issue minutes recording the sampling process. 2. Sampling randomly in quantities to be determined in accordance with the seized quantity and the type of packages, subject to the approved specifications of the product or the inspection requirements, in terms of the taken samples, provided carrying and preserving such samples properly. 3. Place a label on the drawn sample containing the following data: A. Name of the sample and the name of the owner. B. Date of sampling. C. Sample serial number. 4. The data in the sample card shall be recorded, in serial numbers, in a register for each year. 5. The suspected sample owner shall not be entitled to any compensation or consideration for the samples drawn for examination or analysis. As for the high-value products, they shall be returned to the merchant after examination, if possible, and proved valid. Products' examination and analysis and the necessary extensions Article 10: Products suspected of adulteration shall be examined and the results shall be revealed as follows: A) Examination, analysis and presentation of food products' results within a period not exceeding 15 days from the date of delivering the sample to the laboratory. B) The entity that withdrawn the sample shall inform the merchant of the results of food products' inspection within a period not exceeding (7) days from the date of receiving the sampling results in accordance with the notification procedures referred to in Article (11) of these Regulations; unless the result of examination and analysis requires further analysis or examination of the product in specialized laboratories outside the Kingdom of Saudi Arabia +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 5 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION 2013 30 الملك العربيه السعوديه KINGDOM OF SAUDI ARABIA C) Examination, analysis and presentation of the results for other non-food products within a period not exceeding 45 days from the date of delivering the sample to the laboratory. In case the laboratory is unable to analyze the sample of non-food products during that period, it may be extended to similar products, only once, unless the product specifications entail a longer period, upon which the merchant shall be notified with the same, provided that the laboratory shall inform the entity that sent the sample. D) The entity that withdraws the sample shall inform the merchant of the results of inspecting the non-food products within a period not exceeding (7) days from the date of receiving the sampling results according to the notification procedures referred to in Article (11) of these Regulations. Procedures for withdrawing the adulterated product Article 11: Adulterated product shall be withdrawn according to the following procedures: 1. The (producer – importer – distributor - seller) is obliged to withdraw the adulterated product at his expense immediately once knowing or being announced or notified with the violation to his address recorded in the commercial register or in the Chamber of Commerce and Industry, his postal mail box or e-mail or by fax, or upon issuing seizure minutes or informing any of his employees. 2. The violator shall publish an announcement, at his own expense, on withdrawing the adulterated product within a period not exceeding one week from the discovery or notification of the violation; in two daily newspapers, one in the location of the violator's headquarters and the other in the area where the violation has occurred. 3. The Ministry and the competent authorities shall publish an announcement on the withdrawal of the adulterated product in the media and on their websites. The Council of Chambers of Commerce and Industry and the Consumer Protection Association shall be notified to publish the same on their websites. 4. The violator shall notify the competent control body of the quantities withdrawn, keeping them case by case, and the seizure officers at those entities shall prepare the relevant necessary minutes. 5. The violator is obliged to withdraw the adulterated product from the market within a period not exceeding fifteen (15) days from the date of discovering such adulteration or being notified with the same, whichever is earlier. 6. The drawn adulterated product shall be disposed of in accordance with the procedures stipulated in Article (15) of these Regulations. Claim for compensation and conditions to return of value Article 12: A) Any injured person may seek compensation before the relevant judicial authority. B) The application for returning the value of the adulterated product shall be submitted to the competent seizure authority within a period not exceeding (30) days from the date of purchase, unless the agreement or the obligations of the seller or the discovery of the defect provide for a longer term. C) The purchaser may request returning the value of the adulterated product according to the following conditions: +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 6 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION 60 30 المركزيه السعوديه KINGDOM OF SAUDI ARABIA 1. That the product is not adulterated for a reason attributed to the purchaser, whether in terms of transportation, storage or misuse. 2. Submit the original purchase invoice, sale deed or the violator's declaration that he has sold that product. 3. The value of the adulterated product shall be returned to the purchaser within a period not exceeding fifteen (15) days from the return request. Precautionary Seizure of the Suspected Product Article 13: A) In case of necessity or urgency, the Minister may issue an order for precautionary seizure of any product and withdraw it from the market if adulteration is suspected, if such product is harmful to health and safety. B) Apply the procedures referred to in the above paragraph in case of initial reports and information on suspecting an adulterated product. C) The order of precautionary seizure shall be submitted to the Board of Grievances within a period not exceeding seventy two (72) hours, supported by the necessary documents. Referral of violations, investigation and prosecution Article 14: A) The competent seizure authority or its concerned branch shall refer the violation, upon completing the regular procedures, to the Bureau of Investigation and Public Prosecution or its competent branch, provided that the Ministry's Consumer Affairs Department shall be provided with a copy of the referral letter attaching a copy of the seizure minutes. B) The Bureau of Investigation and Public Prosecution shall investigate the violations of this Law and bring the criminal case before the judicial body. C) The Ministry's Consumer Affairs Department shall be provided with a copy of the judgment. Disposal of the adulterated product Article 15: In all cases, once the product's adulteration is proven, with no need to wait for deciding regarding the violation, the Ministry or the competent authorities shall confiscate and destroy that product, in addition to confiscating the tools used in the adulteration and deception process. They may be disposed of according to the following: A) Destruction of spoiled or adulterated products and the tools used in that process, which cannot be utilized, at the expense of the violator. B) Products that cannot be sold shall be submitted and the consumer may benefit from them, after they are corrected, in charity institution for distribution, if so is advised by the Undersecretary of the Ministry for Consumer Affairs or his authorized representative. C) Selling the products and tools used in the adulteration process in public auction, after they are corrected, where the proceeds of sale shall be deposited in the state treasury after deducting the expenses incurred. Article 16: +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 7 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION d-ldj 30 الملكه العربيه السعوديه KINGDOM OF SAUDI ARABIA In the application of the provisions of Article (19) of the Law, the prices of the seized products being disposed of shall be calculated at selling price. Notification of Violations Article 17: (A) In applying the provisions of Article 11 of the Law concerning granting incentive awards not exceeding (25%) of the amount of the collected fine for the non-employees who help in uncovering cases of commercial adulteration, which yield in seizing and convicting violators, after issuing the final judgment for violation, the Ministry or the competent parties undertake to do the following: 1. Prepare a register of the reporters that include the necessary information for each reporter, including his selected address, providing him with record of the same. 2. The Ministry or the competent authorities shall notify the reporter with the result of his communication in accordance with the final judgment. B) The reporter may claim for the award to the judicial authority. Commercial Discounts Article 18: The commercial establishments may not make wholly or partial discounts for the prices of the products announced or offered for sale, unless after obtaining a license from the Ministry or its competent branch, in accordance with the following conditions and controls: 1. The establishment shall express to the General Directorate for Combating Commercial Adulteration or the competent Ministry branch its desire to conduct the sale before the date set for its commencement, with a period no less than thirty days, provided that the application shall include the following: A) Reasons for the early sale. B) Sale duration; commencement and expiration dates. C) List of the products subject to sale, indicating the actual price specified for each product at the time of application submission, as well as the price after the sale and sale rate. D) Attaching a proof that the products have been sold at the actual price specified in the list of goods at different intervals, or a certified undertaking from the owner of the establishment that the recorded prices are the prices adopted at different intervals prior to applying for conducting the sale. 2. The General Directorate for Combating Commercial Adulteration or the relevant Ministry branch shall review the application and issue the required license within a period not exceeding fifteen days from the date of its submission, provided that license conditions are satisfied. In case the application is rejected, the establishment shall be notified with that rejection within ten (10) days from the date of registration, indicating the reasons thereof. 3. The license shall include the following: A) Name and address of the stores/premises licensed for conducting the sale. B) Sale duration; commencement and expirations dates. C) List of the products subject to sale. D) Announced sale rate. +966 11 294 4444 | Riyadh 11162 @ SaudiMCI Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa 8 [Non-Text] وزاره التجاره Ministry of Commerce VISIONدي 30 الملكه العربيه السعوديه KINGDOM OF SAUDI ARABIA 4. One license may be sufficient to the owner of more than one store in the same city, provided homogeneity exists in the activity of those stores. The licenses shall mention the names and addresses of the stores to be clearly covered in the license. 5. The licensee shall place the license or a copy thereof in a visible place in each store. 6. The licensee shall keep in each licensed place the approved price list and the documents and invoices of the products covered by the list or a copy thereof, during sale period. 7. The general sale rate shall not be less than 10% of the price adopted during the month preceding sale commencement. In the event of increasing the sale to 30% of the product selling price before the sale, the store owner shall submit the invoices proving that he sold with that price at different periods. 8. The store shall place cards on the products included in the sale, clearly indicating the price before and after sale. During sale period, only the products included in the list of products covered by the license shall be displayed. 9. Announcement of comprehensive discounts is possible if all products in the store are subject to sale, upon which partial discounts of no less than 50% of the products offered in the store shall be announced. If the rate is lower than that, no sale shall be announced by any means and it is sufficient to indicate the same on the same goods, showing the price before and after sale. 10. The establishment may conduct price sale for the single store three times a year, provided that the sale shall not exceed ninety days per year in entirety. 11. Excluding the provisions of the preceding Article, general sale may be conducted for a period not exceeding six months per year in case of final liquidation of the store due to quitting business, changing the type of activity, introducing comprehensive renovations in the store or moving to another place. 12. Sales may by no means announced before the set commencement date with more than fifteen days, provided mentioning the license number and the actual reduction rate. In case the announcement is on the store window, it shall be put no more than one week before commencement date. (Commercial Competitions) Article 19: Commercial enterprises may not conduct or advertise any commercial competitions without obtaining a license from the Ministry or its competent branch in accordance with the following: 1. The establishment shall apply to the General Directorate for Combating Commercial Adulteration or the relevant branch of Ministry, according to the headquarters of the establishment, to request announcing for and conducting a competition at least 30 days before its set commencement date. 2. The competition license application shall include the following data: A Subject and purpose of the competition. B. Competition spatial scope. C. Competition commencement and end dates, provided that it shall not exceed (60) days. D. Date of the announcing competition results and the date specified for the distribution of the prizes, no later than (30) days from the date of the end of the competition. E. Competition program and method of participation in a clear way. F. Prizes offered in the competition, along with what proves their ownership. G. The number of competition vouchers and a sample of them. +966 11 294 4444 | Riyadh 11162 f ☐ SaudiMCI 9 Kingdom of Saudi Arabia | المملكه العربيه السعوديه www.mci.gov.sa [Non-Text] وزاره التجاره Ministry of Commerce VISION d_jj 30 الملك العربيه السعوديه KINGDOM OF SAUDI ARABIA 3. The General Directorate for Combating Commercial Adulteration or the concerned Ministry branch shall review the application within a period not exceeding seven (7) days from the date of its submission. If the conditions are satisfied, the license shall be issued, otherwise the application shall be rejected and the establishment shall be notified, indicating the reasons of rejection, during ten (10) days of the submission of the application. 4. The license shall include the name of the competition licensee, beginning and end dates and spatial scope. 5. The business establishment may obtain a license to hold the competition twice a year, provided that each time shall not exceed (60) days at a time. 6. Competition shall not require purchasing as a condition for participation nor placing the competition voucher within the product. 7. The price of the goods shall not be increased during the competition. 8. In case of a single winner for more than one prizes, the first shall be sufficient. 9. The licensee, his children, wife, parents or employees may not participate in the competition. 10. The Contest shall be consistent with the principles of Shari'a and the customs adopted in the Kingdom. 11. A committee shall be formed to sort out the results of the competition, under the chairmanship of a representative of the Ministry or the Chamber of Commerce and Industry. 12. The committee shall prepare a record of the results of the competition, winners' names and addresses and the prizes they obtained. Such results shall be announced at least once in the announcement medium given in the terms of competition. 13. The company shall deliver the prizes to the winners within a period not exceeding seven (7) days from the date of sorting the results. 14. The Ministry's license number shall be stated in any announcement of relating to the competition. +966 11 294 4444 | Riyadh 11162 @ SaudiMCI 10 Kingdom of Saudi Arabia | المملكه العربيه لسعوديه www.mci.gov.sa