Tibbiyah receives preliminary decision against subsidiary on SAR 19.3 mln customs fees claim

Logo of Arabian International Healthcare Holding Co. (Tibbiyah)

Arabian International Healthcare Holding Co. (Tibbiyah) announced receiving, on July 25, a preliminary decision from the First Primary Customs Committee in Riyadh related to the case filed by the Zakat, Tax and Customs Authority (ZATCA) against the customs broker at ZATCA and one of its 100%-owned subsidiary for failing to pay customs fees on import items for years prior to 2018.

ZATCA claims unpaid customs fees worth SAR 19.3 million, Tibbiyah said in a bourse statement today, July 26.

The Nomu-listed firm said that necessary precautionary provisions were taken in the previous years to cover the claimed amount. Therefore, there will be no impact on the company’s profits if a final decision is issued against it.

In addition, Tibbiyah will have no significant legal, regulatory or operational risk.

Tibbiyah contacted its legal advisor, assigned via a power of attorney to plead and defend before the customs committee, and provided him with all the relevant documents that prove the integrity of the company’s position towards the claims and charges filed against it.

The company is confident of its strong position, supported by the opinion of its legal advisor, as well as the payment of customs fees on time. Through the legal advisor, it will appeal the decision issued in accordance with the applicable regulations within 30 days, starting July 28.

Tibbiyah’s management will take all the necessary legal measures, the statement added.