Dubai bank files lawsuit against Algosaibis

Dubai-based Mashreqbank has filed a lawsuit naming almost 20 members of a prominent Saudi family in a bid to recover more than $200m it alleges it is owed.

The lawsuit – which was filed in New York on July 15 – will add to the pressure on the Algosaibis, who have long been considered one of Saudi Arabia’s most respected and powerful merchant families, but whose companies are now facing financial difficulties as they seek to restructure billions of dollars of debt.

Ahmad Hamad Algosaibi and Brothers Company, the family’s main vehicle, has also filed a suit against Maan Al Sanea, a Saudi billionaire and owner of Saad Group, which has also been forced to restructure its debt.