The Riyadh General Court halted lawsuits filed by citizens against an investor accused of looting SR400 million he collected from more than 6,000 citizens and Gulf nationals.

Sources close to the investigation told a local publication that according to a letter issued by the court last week, the judicial body asked the plaintiffs to first file an action against the investor with the police.

The sources said more than 500 persons are demanding to prosecute the accused, but they were all directed to the Riyadh police, even though they have in their possession documents stating the money the victims paid to the investor.

Riyadh police referred the alleged conman to the Bureau of Investigation and Public Prosecution to inquire into the case and know the fate of the money paid by the investors.

All the distraught investors in Saudi Arabia and the Gulf countries are waiting the completion of investigations before taking further regulatory procedures. The accused already surrendered himself to Riyadh police last week after the increasing complaints filed against him at the competent bodies, including the governorate of Riyadh. According to authorities, the alleged swindler signed contracts to work in several projects in Riyadh, Jeddah, Makkah and Madinah, mainly the project of Riyadh Metro.

After learning learning about the complaints filed against him, competent authorities in Riyadh, including the Ministry of Commerce and Industry, halted all services rendered to the investor.

All the complaints stated that investors had been victims of fraud. In these contracts, the alleged fraudster promised his clients to grant them profits of more than SR4,000 a month, during a period of three years.

The Ministry of Commerce and Industry in Riyadh embarked on its own investigations on the case, which started few months ago.