Saudization: 20,000 Riyal fine for each expat working in gold sector

News Network
November 29, 2017

Jeddah, Nov 29: Gold and jewelry shops that employ foreigners will be asked to pay a fine of Saudi Riyal 20,000 (around Rs 3.5 lakh) for each expat worker after Dec 3 when 100% Saudization of the sector comes into force.

The ministry also intends to appoint permanent inspectors in every market and mall to conduct surprise inspections and punish violators of the Saudization law.

Khaled Aba Al-Khail, spokesman of the Ministry of Labor and Social Development, said field inspectors will track down violators and impose fines after the Dec. 3 deadline.

However, members of the precious metal and stone committee at the Council of Saudi Chambers have expressed their reservation over the success of Saudization in the sector.

“We need to fight tasattur or cover-up business to make Saudization successful,” said Abdul Mohsen Al-Namir, a member of the committee, referring to jewelry shops run by expats in the name of Saudis.

There are more than 6,000 gold and jewelry shops in the Kingdom that employ about 25,000 workers including expatriates. Some of them are owned by foreign investors.

“The success of Saudization depends on the success of fighting corruption. Many owners of gold and jewelry shops and showrooms are foreigners,” Al-Namir told Al-Madina Arabic newspaper.

“Many of the shops are in the name of Saudis but they are actually owned by expats. Some foreigners have entered into partnership business with Saudis,” he explained.

Al-Namir also spoke about the possibility of accommodating Saudis involved in tasattur business as investors.

He asked the ministry to study the reasons for the failure of Saudization and give shops enough time to deal with the reasons that have prevented 100 percent Saudization of the sector for the last 16 years.

“At present Saudization rate in the sector does not exceed 50 percent,” he pointed out.

Abdul Ghani Al-Muhanna, another member of the committee, expressed hope that the ministry’s full-scale Saudization will lead to saving the sector from tasattur (cover-up) business.

“The decline in the number of Saudi employees in the sector is really a matter of deep concern,” he said told Al-Madina newspaper.

He said expatriates were purposely trying to keep Saudis away from the sector to maintain their dominance.

Saudi employees in the sector are forced to work long hours affecting their social and family commitments, Al-Muhanna said.

“Many Saudis receive low salaries which has forced them to leave their jobs at gold and jewelry showrooms,” he pointed out.
 

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Althaf
 - 
Wednesday, 29 Nov 2017

Acche din for saudis. 

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News Network
June 26,2020

Bengaluru, Jun 26: Karnataka's Commercial Taxes Department has sealed off an undeclared warehouse with imported goods worth Rs 4 crore in Bengaluru and found 60 GST registrations linked to a Chinese national from Wuhan.

The tax department officials found 25,446 China-made electronic and fast-moving consumer goods worth Rs 4 crore stored in the warehouse which was not declared to the tax authorities.

Commissioner of Commercial Taxes MS Srikar said in a statement that the officers noticed that one person from Wuhan City, China, got the premises in Bengaluru on lease.

They also found that about 60 registrations (both central and state jurisdictions) under the GST Act, in the name of a number of persons for online trading of imported China-made goods, had a single address which was vacant.

Most of the registrations were found irregular in the filing of returns and payment of tax. Majority of the firms either filed nil returns or were non-filers. The registration data showed that one business was registered in 2017-18, 43 in 2018-19, 14 in 2019-20 and two in 2020-21. Most of the 60 firms were private limited companies and 24 persons were interchangeably directors in 58 firms.

At the time of raid, neither the lessee, the Chinese national, nor any of the other 59 registered taxable persons were available at the business premises and no one came forward to participate in the proceedings in spite of providing sufficient time.

It is learnt that the Chinese national is operating the business from Wuhan City since January 2020 with the assistance of some of his agents/employees in Bengaluru.

It has also been learnt that multiple registrations are being taken for a better rating on e-commerce platforms, Srikar said.

The raids were led by Nitesh K Patil, Additional Commissioner, Enforcement, South Zone.
The Commercial Taxes Department is closely watching the genuineness of newly registered persons and conducting post-registration verification visits.

Any registration taken with mala fide intention of evading taxes will be dealt with seriously, the Commissioner said. 

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News Network
April 18,2020

Bengaluru, Apr 18: Hours after announcing that two-wheelers will be allowed to ply and that IT/BT companies can resume operations with 33 per cent strength, Chief Minister B S Yediyurappa on Saturday took a u-turn and rolled them back, citing “public opinion” as the reason. 

Earlier in the day, Yediyurappa announced that, after April 20, there will not be any restriction on the movement of two-wheelers in areas that are not COVID-19 containment zones. Yediyurappa also said that a third of IT/BT employees will be allowed to go to the office after April 20. 

“In the backdrop of public opinion and after discussions with senior officials, it has been decided that the prohibition on two-wheelers will continue throughout the lockdown period,” a statement from the Chief Minister’s Office said. “And in the IT/BT sector, only essential services will be allowed and the work-from-home policy will continue.” 

According to sources, the u-turn came following opposition from Yediyurappa’s Cabinet colleagues. “If I was in the meeting, I’d not have allowed it,” a minister said. Only Home Minister Basavaraj Bommai and Revenue Minister R Ashoka were in the meeting Yediyurappa held earlier in the day. The Opposition also stemmed from the fact that there was no need to make decisions on the lockdown when the Cabinet was scheduled to meet on April 20, sources said. 

The incoordination was apparent on Friday when Deputy Chief Minister CN Ashwath Narayan, the IT/BT minister, said 50 per cent of employees in the sector will be permitted to work while Yediyurappa said this would depend on the number of cases reported in the coming days. 

Other announcements made by Yediyurappa remain unchanged.

“Places, where COVID-19 cases are reported, will be identified as containment zones. In such containment zones, an incident commander will be appointed and given magisterial power. Teams comprising the police and health department officials will oversee the lockdown,” Yediyurappa said. “Lockdown will be much more stringent in these areas and no one will be allowed to step out. Essential supplies will be delivered home.”

According to Bommai, there were 32 containment zones in Bengaluru and ‘hotspots’ have been identified in eight districts.

With an eye on restarting economic activities, the government will allow construction work and industries. “In urban areas, construction work will be allowed to start wherever construction workers have the facility to stay on site,” Yediyurappa said. “The manufacturing sector in rural areas and industrial units located in the special economic zones (SEZ) and townships in urban areas will be allowed to function,” he said.

Stating that inter-state travel will be prohibited, Yediyurappa said the districts of Bengaluru Urban, Bengaluru Rural and Ramnagara will be considered as one only for the movement of industrial workers.

Asked about liquor sale, Yediyurappa said a decision will be taken after May 3. The government has already prohibited liquor sale till April 20 midnight.

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News Network
January 24,2020

Bengaluru, Jan 24: After the visit of fact finding committee members to the spot, the Christian community here decided to submit a report to the state government urging to install a 114-ft. statue of Jesus Christ at Kapala Betta in Kanakapura taluk of Ramanagaram district, Congress MLC Ivan D’souza said here on Thursday.

While talking to media, Mr D’souza said the committee would submit the report to Chief Minister B.S. Yediyurappa and Revenue Minster R. Ashok and urge the government to construct the statue at the earliest.

The RSS and other BJP outfits have strongly opposed the installation, following which the government ordered suspension of the work. A few days ago, Kalladka Prabhakar, RSS ideologue, took out a rally in Kanakapura opposing the installation.

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