Abdul Aziz Najib Al-Suwailem, the recently dismissed CEO of Tihama Co., has filed a labour lawsuit against the company, alleging that his termination was unjust.

It is important to note that when the company dismissed Al-Suwailem, it hinted at potential legal proceedings against him for any violations committed during his tenure. However, the details of these alleged violations were not disclosed.

According to a previous filing on Tadawul, the company’s board of directors voted to recommend filing a liability lawsuit against Al-Suwailem, stating, “Board of Directors Resolution No. (7) dated Saturday 05/28/1446, corresponding to 11/30/2024, includes submitting a recommendation to the company's General Assembly to vote on filing a liability lawsuit against Mr. Abdul Aziz Najib Al-Suwailem, a former board member who held direct and indirect executive powers within the company and its subsidiaries, and requests the Assembly to authorise the company's board of directors to take the necessary legal and regulatory measures in this regard. The company confirms that it will not hesitate to take any action to preserve the rights of its shareholders and protect their interests, completely rejecting any practices that violate regulations. The company will announce any subsequent developments in this regard.”

In initiating legal proceedings at the Riyadh Labour Court, Al-Suwailem stated that his termination, which was approved by the company’s board on November 5, 2024, was wrongful and lacked valid grounds. The company responded in an official letter, saying, “According to the lawsuit, the claim amount of 12,357,125 Saudi Riyals (twelve million, three hundred and fifty-seven thousand, one hundred and twenty-five Riyals) is for job dues as outlined in the lawsuit. As for the expected financial impact, it cannot be determined at this stage, and any developments regarding this case will be announced in due course.”

The company further added, “The legal implications and risks of this case cannot be determined at this stage, but any developments regarding this case will be announced in due course.” It has also appointed legal counsel to represent the company.

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Al-Suwailem was appointed as MD and CEO in November 2023. However, in May 2024, the company announced his resignation as Managing Director for personal reasons while he continued as CEO. In November 2024, following his immediate dismissal, the company appointed Udoy Chatterjee as his successor.