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Crucial court victory for consumer body
Published in The Saudi Gazette on 07 - 12 - 2012


* RCCI ordered to pay outstanding dues
* Al-Tuwaim vows to sue all defaulting chambers
Saudi Gazette report

RIYADH – A court here has ordered the Riyadh Chamber of Commerce and Industry (RCCI) to pay 10 percent of the fee levied by the chamber for attestation of commercial documents to the Consumer Protection Association (CPA).
The chamber can appeal the verdict issued on Wednesday within one month.
The Administrative Court at the Board of Grievances in Riyadh has also asked the RCCI to pay arrears amounting to between SR8 million and SR10 million to the CPA, according to Nasser Al-Tuwaim, president of the association.
Al-Tuwaim said the consumer support group will move courts against all other chambers that have failed to implement a Cabinet decision in this regard, Al-Riyadh newspaper reported Thursday.
“The chambers owe the CPA a whopping amount of between SR40 million and SR50 million,” Al-Tuwaim said.
In a decision taken five years ago, the Council of Ministers had fixed 10 percent of the attestation fee charged by the chambers as the main source of revenue for the CPA.
Sami Al-Abdul Karim and Khaled Al-Moqairin, RCCI vice presidents, refused to comment on the court ruling, saying they do not have full knowledge about the case as the chamber's legal committee was handling it.
The CPA approached the court nearly a year ago after the RCCI refused to pay its share of the fee.
The court issued the verdict after holding six sittings in which the chamber's main argument was that the nature of CPA's activities does not qualify it to benefit from the fee. It also pointed out that the association's activities were against the interests of businessmen and traders.
Al-Tuwaim said the RCCI could not substantiate its arguments in the court.
“The court found that the chamber's objections were illogical and were not based on any substantial evidence or supportive documents,” he said.
Al-Tuwaim reiterated that the CPA will not back off from efforts to gain its rights.
“The verdict came as a boost to the morale of the association in continuing its legal battle against other chambers that failed to fulfill their commitments,” he said.
Al-Tuwaim said the association would approach the court with a similar petition against the Jeddah Chamber of Commerce and Industry (JCCI) next week.
While hinting that the Jeddah chamber owed at least SR20 million to the CPA, Al-Tuwaim urged all other chambers to pay their arrears without delay.
“The chambers' refusal to pay the fee has resulted in obstructing the association's day to day activities and meeting financial obligations.
The Riyadh and Jeddah chambers had led a coalition of chambers in refusing to make the payments in violation of the Cabinet decision,” Al-Tuwaim said, while emphasizing that the association's objective was to protect not just the interests of consumers but of traders as well.
“The CPA was instrumental in resolving more than 5,000 disputes between consumers and traders in an amicable way,” he added.


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