Al Gosaibi family spat may test waters | The National

Al Gosaibi family spat may test waters | The National:



"Some observers see a long-running dispute involving two of Saudi Arabia’s leading business families, about 100 foreign banks and billions of dollars of debts as a test-case of the kingdom’s willingness to open up to foreign finance.



Since 2009, the Al Gosaibi trading family and the Saad Group have been locked in a corporate “frozen war” that has left global and Saudi banks out of pocket to the tune of more than $15bn. It has also led to accusations that the Saudi financial and legal system is loaded against foreigners in favour of domestic banks.



“The issue is simple,” says one executive involved in the dispute who does not wish to be identified. “Will Saudi financial institutions adhere to the spirit of their commercial and Sharia laws by taking part in meaningful talks to resolve this long-running situation, which risks the reputation of the entire Saudi financial system?”"



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