Saudi’s MMG says Protiviti loses DIFC Courts appeal

Auditing firm Protiviti has lost an appeal against a case brought against it by Saudi Arabia's MMG

  
Image used for illustrative purpose. People enter and leave Riyadh's general court October 20, 2008.

Image used for illustrative purpose. People enter and leave Riyadh's general court October 20, 2008.

REUTERS/Fahad Shadeed

Sunday, Aug 28, 2016

Dubai: Auditing firm Protiviti has lost an appeal against a case brought against it by Saudi Arabia-based contractor Mohammad Al Mojil Group (MMG) from being heard in the DIFC Courts, the family behind the contractor said on Sunday.

The case centres around an investigation into MMG by Protiviti and the Committee for the Resolution of Securities Disputes (CRSD) — part of Saudi Arabia’s Capital Market Authority (CMA). The investigation reportedly led to jail sentences in Saudi Arabia for three MMG executives, including its founder Mohammad Al Mojil and his son Adel Al Mojil. The executives, who are said to be appealing the sentences, were charged in relation to the misrepresentation of MMG’s value, according to reports.

MMG has since taken a case against Protiviti to the DIFC Courts, claiming that the international risk and auditing firm “acted negligently and libellously as a matter of Saudi law in their investigation of MMG and its management,” according to a statement issued by the Mohammad Al Mojil family on Sunday.

The family welcomed the DIFC Courts dismissal of Protiviti’s appeal and said in the statement that the case is likely to be heard in 2017.

Protiviti did not respond to a request for comment. Gulf News was unable to reach the DIFC Courts for comment.

The family also called on Saudi authorities to “deal with solving the issue of delayed payments and denied compensation.”
Firms in Saudi Arabia have said that the Saudi government has stopped pay contractors, however, Saudi officials were quoted earlier this year as saying that payments had resumed.

Staff Report

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