Saudi Ministry and Municipality sued

Jeddah : The heirs of a businessman have sued the municipality and the Ministry of Finance for demolishing properties owned by their father.

A source familiar with the cases said the Jeddah Court is continuing to look into the case, considered to be the largest real estate lawsuits in the Kingdom.

“The lawsuit was filed last year. The heirs of a businessman sued the municipality and the Ministry of Finance for encroaching on their rightful properties, which extended across nine neighborhoods. The initial ruling of the case was in favor of the heirs but the verdict was then repealed by the Court of Appeal,” the source said.

“The ministry claimed the heirs presented two invalid property deeds to prove that they own the properties. The ministry reported the property deed was issued 65 years ago but the judge who had issued it added more than 28 million sq. meters to the original property by mistake. There is no indication in the deed that the late businessman owned properties expanding on nine neighborhoods,” the source said.

“The ministry said the heirs do not own the rest of the property as it was a judicial error committed by the judge who issued the deeds. The ministry even submitted over 19 pieces of evidence proving its claim.”

The source also said the properties are valued at SR150 billion. “The case has been passed around six judges so far. The ministry is adamant on its claim that the properties in dispute are public properties owned by the government. Both parties are awaiting a fresh verdict,” they said.