People guilty of
issuing bad checks will also see their names published in local
newspapers. Anyone who repeats an offense within three years could be
fined up to SR100,000 and sent to jail for a maximum of five years,
Al-Madinah newspaper reported.The new law, approved by the Council
of Ministers on March 1 this year, aims to stop people issuing bad
checks and expedite lawsuits pertaining to such cases, said a source at
the ministry.“Unlike the situation earlier, the ministry’s offices
that deal with this issue will no longer receive direct complaints from
people who have been cheated,” said the source, adding that the police
will now tackle all complaints pertaining to the issuing of bad checks.Abdul Aziz bin Kulaib, assistant undersecretary for legal
affairs at the ministry, said recently that the new procedures were being
introduced following instructions issued by Second Deputy Premier and
Minister of Interior Prince Naif who called for the implementation of a
new law governing the issue. “Under the law, anybody who has been
accused of issuing a bad check will be subjected to punitive action. A
complaint can be lodged against the drawer if a check was dishonored on
presentation because of insufficient funds,” he said.“The law
outlines six situations in which victims can take legal action against
the issuer. These include a check bouncing due to insufficient funds,
withdrawal of a part of the deposit by the issuer after issuing the
check, asking the bank not to honor the check, or putting a wrong
signature on the check to ensure it is not processed,” he added.Bin
Kulaib warned against the reckless practice of issuing post-dated checks
without insufficient funds. “This is a criminal offense under the
amended 118 article of the bill of exchange law,” he added.
