April 2, 2004

THE SHURA (CONSULTATIVE) COUNCIL ITS FORMATION AND LAWS. The primary function of Majlis Al-Shura is to advise the King on issues of importance to the nation. Its members, appointed by the King for a four-year renewable term, represent the spectrum of Saudi society. King Fahd personally inaugurated the first session of the new Council on December 29, 1993. This council consisted of 60 members in addition to the chairman. On July 5, 1997, King Fahd decreed an increase in membership, and the council consisted of a chairman and 90 members. On May 1, 2001, King Fahd decreed an increase in membership, and the council now consists of a chairman and 120 members. THE MAJLIS ASH-SHURA LAW The Custodian of the Two Holy Mosques, King Fahd Ibn Abdul Aziz Al Saud, issued a royal order embodying the Law of the Majlis Ash-Shura. The following is the text of the order: In the name of Allah, the Most Compassionate, the Most Merciful, No. A/91, Dated 27/08/1412H With the help of Allah ALmighty, We, Fahd Ibn Abdulaziz Al Saud, King of Saudi Arabia, in compliance with the words of Allah, "and Consult them in the affair," and His other words, "Their affairs are carried out in consultation among themselves," following the Sunnah of His Messenger (PBUH) when consulting his companions, in consideration of the public interest, and after reviewing the previous Majlis Ash-Shura Law promulgated by Royal order in the year 1347H. order the following: 1. The promulgation of Majlis Ash-Shura Law in the attached text, 2. That this law shall replace the Majlis Ash-Shura Law issued in the year 1347H. and that the affairs of the Council shall be arranged according to royal order, 3. That all laws, orders and resolutions in force at the time of promulgation shall remain valid until they are amended to comply with this law, 4. That this law shall come into force within a period not exceeding six months effective from the date of its publication, 5. That this law shall be published in the Official Gazette. In the name of Allah, the Most Compassionate, the Most Merciful, THE MAJLIS ASH-SHURA LAW Article 1: In compliance with Almighty Allah's words: "It is part of the mercy of Allah that thou dost deal gently with them. Wert thou severe or harsh-hearted, they would have broken away from about thee: so pass over (their faults) and ask for (Allah's) forgiveness for them; and consult them in affairs (of moment). Then, when thou hast taken a decision, put thy trust in Allah. For Allah loves those who put their trust (in Him.)" (III, 159) and His other words, "Those who respond to their Lord, and establish regular prayer, who (conduct) their affairs by mutual consultation; who spend out of what we bestow on them for sustenance." (XL, 38) and following the Sunnah of His Messenger (PBUH) who consulted his Companions and urged the Nation to engage in consultation, the Majlis Ash-Shura shall be established to exercise all tasks entrusted to it according to this law and the Basic Law of Government while adhering to the Book of Allah and the Sunnah of the Messenger (PBUH), maintaining brotherly ties and cooperating in kindness and piety. Article 2: Majlis Ash-Shura shall hold fast to the rope of Allah and pledge itself to the sources of Islamic legislation. All Members of the Majlis shall serve the public interests, and shall preserve the unity of the community, the entity of the State and the interest of the Nation. Article 3: Majlis Ash-Shura shall consist of a chairman and sixty members chosen by the King from amongst scholars and men of knowledge, expertise and specialization. Their rights, duties and all other affairs shall be defined by a Royal order. Article 4: It is stipulated that every member of the Majlis Ash-Shura shall be: (a) A Saudi national by birth and descent, (b) A competent person of recognized good character, (c) Not younger than 30 years of age. Article 5: Any member may submit a request to resign his membership to the Chairman of the Majlis Ash-Shura, who in turn shall refer it to the King. Article 6: If a member of Majlis Ash-Shura has neglects the duties of his work, he shall be investigated and tried according to rules and measures to be issued by Royal order. Article 7: If a member's place in Majlis Ash-Shura becomes vacant for any reason, the King shall choose a replacement and issue a royal order to this effect. Article 8: No member of Majlis Ash-Shura shall exploit his membership for his own interest. Article 9: Membership of the Majlis Ash-Shura shll not be combined with any governmental post, or with the management of any company, unless the King deems it necessary. Article 10: The Chairman, his Deputy and the Secretary General of the Majlis Ash-Shura shall be appointed and relieved by Royal orders. Their salaries, duties and all their other affairs shall be defined by a Royal order. Article 11: Prior to assumption of their duties, the Chairman, the Members and the Secretary General of the Majlis Ash-Shura shall take the following oath before the King: "I swear by Allah Almighty to be loyal to my religion, then to my King and Country. I swear not to reveal any of the secrets of the State, to protect its interests and laws, and to perform my duties with sincerity, integrity, loyalty and fairness." Article 12: The city of Riyadh is seat of the Majlis Ash-Shura. The Majlis may convene in another area within the Kingdom if the King deems it necessary. Article 13: The fixed term for Majlis Ash-Shura shall be four years effective from the date of the Royal order issued for the formation of the Majlis. A new Majlis shall be formed at least two months before the end of the current Majlis' term. If the term expires before the formation of the new Majlis, the previous one shall remain active until a new majlis is formed. When a new Majlis is formed, the number of the newly selected members shall not be less than 50% of the entire Majlis' members. Article 14: The King, or whomever he may deputize, shall deliver an annual Royal speech at Majlis Ash-Shura on domestic and foreign policy of the State. Article 15: Majlis Ash-Shura shall express its opinion on general policies of the State referred by the Prime Minister. Specifically, the Majlis shall have the right to do the following: (a) Discuss the general plan for economic and social development, (b) Study laws and by-laws, international treaties and agreements, concessions, and make whatever suggestion it deems appropriate, (c) Interpret laws, (d) Discuss annual reports forwarded by ministries and other governmental institutions, and make whatever suggestions it deems appropriate. Article 16: No meeting held by Majlis Ash-Shura shall be considered official without a quorum of at least two-thirds of its members, including the Chairman or his Deputy. Resolutions shall not be considered official without majority approval. Article 17: Majlis Ash-Shura's resolutions shall be forwarded to the Prime Minister for consideration by the Council of Ministers. If the views of both councils are in agreement, the resolutions shall come into force following the King's approval. If the views are in disagreement, the King may decide what he deems appropriate. Article 18: Laws, international treaties and agreements, and concessions shall be issued and amended by Royal decrees after being studied by Majlis Ash-Shura. Article 19: Majlis Ash-Shura shall form specialized committees from amongst its members to exercise the powers within its jurisdiction. The Majlis may also form other specialized committees to discuss any items on the agenda. Article 20: Majlis Ash-Shura's committees may seek the help of others who are not members of the Majlis upon the Chairman's approval. Article 21: Majlis Ash-Shura shall have a general commission composed of the Chairman, his Deputy and heads of the specialized committees. Article 22: The Chairman of Majlis Ash-Shura shall submit to the Chairman of the Council of Ministers requests to summon any government official to the meetings of Majlis Ash-Shura when matters relating to his jurisdiction are discussed. The official shall have the right to debate but not the right to vote. Article 23: Any group of ten members of Majlis Ash-Shura have the right to propose a new draft law or an amendment to a law already in force and submit it to the Chairman of the Majlis. The Chairman shall submit the proposal to the King. Article 24: The Chairman of Majlis Ash-Shura shall submit a request to the Prime Minister to provide the Majlis with information and documents in the possession of government institutions, which the Majlis believes are necessary to facilitate its work. Article 25: The Chairman of Majlis Ash-Shura shall submit an annual report to the King on its work in accordance with the Majlis'by-laws. Article 26: Civil Service laws shall apply to employees of the Secretariat of the Majlis unless the its by-laws stipulate. Article 27: Majlis Ash-Shura shall be allocated a special budget to be approved by the King. It shall be spent in accordance with rules to be issued by Royal order. Article 28: Majlis Ash-Shura's financial matters, auditing and closing accounts shall be instituted in accordance with special rules to be issued by Royal order. Article 29: The by-laws of Majlis Ash-Shura shall define the functions of the Chairman of Majlis Ash-Shura, his Deputy, the Secretary General of the Majlis, the Secretariat, the methods of conducting its sessions, the management of its work and its committees' work and the voting procedure. The regulations shall also specify rules of debate, forms of response, and other procedures conducive to restraint and discipline within the Majlis. It shall exercise its powers for the good of the Kingdom and the prosperity of its people. These regulations shall be issued by Royal order. Article 30: This law can be amended only in the same manner in which it was promulgated. In the name of Allah, the Most Compassionate, the Most Merciful No. A/62 Dated: 1/3/1418H. By the help of Allah Almighty, We, Fahd Ibn Abdulaziz Al Saud, King of Saudi Arabia, after reviewing the Law of the Majlis Ash-Shura promulgated by Royal Order No. A/91 and dated 27/8/1412H. and in consideration of the public interest, have ordered what follows: Article Three of the Law of the Majlis Ash-Shura promulgated by Royal Order No. A/91 and dated 27/8/1412H. shall read, " Majlis Ash-Shura shall consist of a chairman and ninety members" and so on to the end of the article. Fahd Ibn Abdul Aziz The By-Laws of the Majlis Ash-Shura Chapter One Jurisdiction of the Chairman of the Majlis, His Deputy and the Secretary General Article 1: The Chairman of the Majlis shall supervise all functions of the Majilis, shall represent it at other agencies and organizations and shall be its spokesman. Article 2: The Chairman of the Majlis shall head all sessions of the Majlis and the Steering Committee as well as any committee meetings he attends. Article 3: The Chairman of Majlis Ash-Shura shall open and close Majlis sessions, chair meetings, moderate and participate in deliberations, give the floor (to speakers), specify the topic for discussion, draw the attention (of speakers) to the time limit and the subject matter of discussion, end discussion and move the question. He may do whatever he deems necessary to maintain order during sessions. Article 4: The Chairman of Majlis Ash-Shura may call the Majlis, the Steering Committee or any other committee for an emergency meeting to discuss a specific topic. Article 5: The Deputy Chairman of Majlis Ash-Shura shall assist the Chairman in his presence and assume his duties in his absence. Article 6: The Deputy Chairman shall preside over Majlis and Steering Committee sessions when the Chairman is absent, and in case both are absent, whomever is designated by the King shall preside over the Majlis. The Deputy Chairman and the King's designee shall have the same jurisdictions as those specified for the Chairman. Article 7: The Secretary General or whoever represents him shall attend the Majlis and Steering Committee sessions. He shall supervise the taking of the minutes and announce the schedule and the agenda of the sessions. In addition, he shall attend to all duties assigned by the Majlis, by the Steering Committee or by the Chairman of the Majlis. He shall answer to the Chairman of the Majlis for all the financial and administrative affairs of the Majlis. Chapter Two The Steering Committee Of The Majlis Article 8: The Steering Committee shall consist of the Chairman of the Majlis, his Deputy and heads of specialized committees. Article 9: Steering Committee meetings shall not be official unless attended by at least two thirds of the members. It shall pass resolutions by majority vote. In case of a tie, the Chairman shall cast the deciding vote. Article 10: The minutes of every meeting of the Steering Committee shall indicate the time and place of the meeting, the names of those present, the names of those absent, a synopsis of the deliberations and the full text of the recommendations. The minutes shall be signed by the Chairman of the Majlis and the attending members. Article 11: The Steering Committee shall have authority over the following: A. the preparation of a general plan for the Majlis and its committees to enable it to realize its objectives. B. the preparation of an agenda for the Majlis meetings. C. the reaching of final decisions regarding objections to the minutes of a session, the results of polling, the counting of votes or any other objections raised during sessions, and its decision in this regard shall be final. D. the making of rules of procedure for the Majlis and its committees in accordance with the rules and regulations of the Majlis. Chapter Three Sessions Article 12: Majlis Ash-Shura shall hold one ordinary session at least once a fortnight. The date and time of a session shall be decided by the Chairman. The Chairman may advance or postpone sessions when necessary. Article 13: The agenda of a session shall be distributed to all members ahead of time along with reports pertaining to agenda items and whatever else the Steering Committee of the Majlis deems necessary. Article 14: A member of Majlis Ash-Shura must study the items on the agenda on the premises of the Majlis, and he shall never, under any circumstances, take any papers, draft laws or documents related to his work outside the premises of the Majlis. Article 15: A member shall submit in writing a request to address the Majlis during sessions, and requests shall be honored in order of receipt. Article 16: The Chairman shall allow a member to speak taking into consideration the order of the receipt of his request and the public interest. Article 17: A member shall not speak on a single topic for more than ten minutes, unless allowed otherwise by the Chairman. A member shall only address the Chairman of the Majlis, and none but the Chairman shall be allowed to interrupt the member. Article 18: The Majlis may postpone or restudy a certain topic, and the Chairman may temporarily adjourn the session for no more than one hour. Article 19: Each session shall be recorded in minutes which state the venue and date of the session, the time it started, the name of the Chairman, the number of members present, the names of those absent and the reasons for their absences if any, a summary of the discussions, the numbers of those voting in favor and those voting against, the result of the voting, the texts of the resolutions, all that is related to the postponement or suspension of the session and the time of its adjournment, as well as any other matters the Chairman deems necessary. Article 20: The Chairman of the Majlis as well as the Secretary General or his Deputy shall sign the minutes after they are read to the members, and any member can study the minutes if he wishes. Chapter Four Committees Article 21: Majlis Ash-Shura shall, at the outset of each term, form the necessary specialized committees from among the Majlis members to exercise its jurisdiction. Article 22: Each specialized committee shall be formed of a number of members to be determined by the Majlis, provided that the number is not less than five. The Majlis shall also name these members, the committee chairman and his deputy, taking into consideration members' qualifications and committee needs. The Majlis shall also form ad hoc committees to study certain issues, and each of the specialized committees can form sub-committees from among its members to study specific issues. Article 23: The Majlis may reconstitute its specialized committees and form new ones. Article 24: A committee chairman shall manage the work of the committee and speak on its behalf before the Majlis. When the chairman is absent, his deputy shall take over. The most senior committee member chairs the committee when the Chairman and his deputy are absent. Article 25: A committee meets upon the call of the committee chairman, the Majlis or the Chairman of the Majlis. Article 26: Committee meetings shall be held in camera, and they shall not be considered legal unless a minimum of two thirds of the commi ttee members are present. Each committee shall write down its agenda upon its chairman's request, and shall issue its recommendation by the majority of the members present. The chairman's vote shall give preponderance when votes are equal. Article 27: A committee shall study whatever issues are referred to them by the Majlis or the Chairman of the Majlis, and if the issue concerns more than one committee, the Chairman shall decide which committee studies the issue first or may refer it to a joint committee of all the members of the committees concerned under the chairmanship of the Chairman of the Majlis or his Deputy. Article 28: Any Majlis member may express his opinion on any issue that has been referred to one of the specialized committees, even if he is not a member of that committee, provided that he presents his opinion in writing to the Chairman of the Majlis. Article 29: Minutes shall be taken of each committee meeting, stating the date and venue of the meeting, the names of members present and absent, a summary of the discussions and the texts of its recommendations. The chairman and the members present shall sign the minutes. Article 30: When the study of a certain issue is complete, a committee shall write a report that explains the issue, the committee's point of view, its recommendations and their bases. If there is a minority point of view, it shall also be included. Chapter Five Voting And Adoption Of Article 31: Majlis resolutions shall be adopted by majority as provided for in Article 16 of the Law of Majlis Ash-Shura. In case a majority is not achieved, the issue shall be scheduled for voting in the next session. In the event the issue does not win a majority in the second session, the issue shall be referred to the King along with whatever studies have been completed regarding it as well as the results of the voting in both sessions. Article 32: No deliberations or presentation of new opinions shall be allowed during the voting process. In all cases, the Chairman should cast his vote after all the members had voted. Chapter Six General Provisions Article 33: The Chairman of Majlis Ash-Shura shall submit his annual report as provided in Article 25 of the Law of the Majlis within the first three months of the new year. This report shall include all the studies and projects carried out in the previous year in addition to all resolutions passed and the current status of all pending issues. Article 34: The financial and personnel affairs of the Majlis shall be managed in accordance with the by-laws regulating the Majlis' financial and personnel affairs. The Chairman of the Majlis shall issue the rules necessary for regulating financial and administrative functions of the Majlis, including the organizational hierarchy, and the tasks of the various offices of the Majlis, in accordance with the Law of the Majlis and its by-laws. By-Laws On The Rights And Duties Of Majlis Ash-Shura Members Article 1: Membership in the Shura shall take effect from the beginning of the Majlis' term as specified in the order for its formation according to Article 13 of the Law of the Majlis. A substitute member's term of office shall commence on the date specified in the Royal order nominating him and shall expire at the end of the Majlis' term. In case the term of the Majlis ends before the new Majlis is formed, his membership shall remain valid until the new Majlis is formed, unless the membership is terminated. Article 2: The member of Majlis Ash-Shura shall receive a monthly remuneration of SR 20,000 during his term of office, and shall be treated like a 15th grade employee as far as allowances, increments, compensations privileges and heaves are concerned. All this shall not affect the pension that a member may deserve. Article 3: A full-time Majlis member shall retain the position and grade he held before joining the Majlis. His term of office in the Majlis shall be taken into consideration with respect to merit increases, promotions and retirement. A member shall pay, during membership, his pension premiums according to his basic salary. A member shall not receive both the Majlis' remuneration and the salary from his position at the same time. In case a member's salary exceeds his remuneration in the Majlis, the Majlis shall pay the member the difference. If the member's position provides him with greater benefits than those provided by the Majlis, the member shall continue receiving them. Article 4: As an exception to Article Two of these By-Laws, The Forty Five days period that coincides with the 1st day of Leo to The end of the 14th day of Virgo will be the members annual Leave. If during this Leave any urgent matter arises and it requires the jurisdiction of Majlis Ash-Shura, then The Council of Ministers will act on it according to its By- Laws and shall refer the matter and decision to Majlis Ash-Shura to seek the opinion of its members after the end of their Leave. Article 5: A member should be impartial and objective in all his functions at the Majlis. He shall not raise a private or personal issue or an issue contrary to public interest before the Majlis. Article 6: A member shall regularly attend Majlis sessions and committee meetings. He shall also notify the Chairman of the Majlis or a committee chairman in writing in case he is not able to attend a Majlis session or a committee meeting. Moreover, he shall not leave a session or a meeting before adjournment without permission from the Chairman. Financial & Personnel Affairs Article 1: The Majlis' fiscal year is the same as the State's. Article 2: The Majlis Ash-Shura Chairman shall prepare a draft of the Majlis's annual budget and forward it to the King for approval. Article 3: The Majlis's budget shall be deposited with the Saudi Arab Monetary Agency, and withdrawal therefrom shall be against the signature of the Chairman or his Deputy. Article 4: In case the Majlis's budget does not cover all the Majlis's expenditures, or an unforeseen expense arises, the Chairman shall forward a memorandum for the required additional funds to the King for approval. Article 5: (Remuneration for) titles and grades of positions at the Majlis shall be determined in the budget and may be modified during the fiscal year by a decision of the Chairman. Article 6: 14th and 15th grade positions shall be filled with Royal consent, while other positions shall be filled according to the Law and By-Laws of the Civil Service with exemption from competition. Article 7: The Steering Committee of the Majlis shall set rules for remuneration of non-members who render the Majlis services, be they government employees or others, as far as remuneration is concerned. These rules shall be issued by a decision from the Majlis Chairman. Article 8: Majlis Ash-Shura shall not be audited by any other body, and within the administrative structure of the Majlis, there shall be an accounting department. The Steering Committee of the Majlis shall undertake the auditing. The Chairman may assign a financial or administrative expert to write a report on any of the Majlis' financial or administrative affairs. Article 9: At the end of the fiscal year, the General Secretariat of the Majlis shall prepare the final statement of accounts, and the Chairman of Majlis shall forward it to the King for approval. Article 10: Without contravention of the provisions of these By-Laws, the Majlis shall follow the rules pertaining to the accounts of ministries and government agencies to regulate the Majlis's financial affairs.