Saudi Interior Minister Prince Abdulaziz bin Saud Al Saud on Saturday described speculations over Riyadh's involvement in Khashoggi's alleged murder as "lies". 

"What has been circulating about orders to kill him are lies and baseless allegations," Prince bin Saud Al Saud was quoted as saying in a statement.  

He also claimed that the kingdom "is committed to its principles, rules and traditions and is in compliance with international laws and conventions", according to the official Saudi Press Agency (SPA).

Khashoggi, a Virginia-based critic of Saudi Crown Prince Mohammed bin Salman’s policies, entered the Saudi consulate in Istanbul on October 2 for some paperwork regarding his divorce, but he never exited the mission.

News of his disappearance broke out after Khashoggi’s Turkish fiancée, who was waiting outside the diplomatic building, called the police.

The Washington Post, to which Khashoggi contributed as a columnist, reported that the Turkish government had told US officials it had audio and video recordings showing how Khashoggi was "interrogated, tortured and then murdered" by a 15-member Saudi security team inside the consulate before his body was dismembered.

The suspected assassins had made a mysterious one-day trip from Riyadh to Istanbul the day Khashoggi vanished at the consulate. 

Saudi Arabia, Turkey set up joint investigation team

On Friday, Saudi Arabia confirmed that it had formed a joint team with Turkey to "uncover the circumstances of the disappearance" of Khashoggi.

Citing a statement by a Saudi spokesman, SPA reported that the kingdom "has complete confidence in the capacity of the team."

America's 'commercial' concerns 

In another development on Friday, major US weapons companies contacted the administration of President Donald Trump to express concerns about American lawmakers' likely move to block arms exports to Saudi Arabia over Khashoggi's suspected murder.

A senior US official told Reuters that the contractors were worried that Congress would stall billions in weapons sales to the Riyadh regime amid reports that the Saudi critic was killed by a hit squad in Turkey.

The official, who was speaking on condition of anonymity, declined to identify the American arms firms.

Under US law, the Congress can halt major foreign military sales. An informal US review process allows key lawmakers to use a practice known as a “hold” to block weapons deals over worries about civilian lives.

Democratic lawmakers had already “holds” in place on at least four military equipment contracts, largely because of the brutal Saudi war on Yemen.

“This makes it more likely they’ll expand holds to include systems that aren’t necessarily controversial by themselves. It’s a major concern,” the US official said.

However, Trump described Washington's relations with Riyadh as “excellent" and made it clear that whatever the outcome of the inquiry into the disappearance of Khashoggi, the US would not forgo lucrative arms deals with the Saudi regime.

Businesses boycott Riyadh summit

The disappearance of Khashoggi led global business leaders to reassess their ties with Saudi Arabia and companies to boycott the Future Investment Initiative conference due in Riyadh on October 23-25.

The president of the World Bank, Jim Yong Kim, said he would not be attending the upcoming event.

The Financial Times, Bloomberg, CNN and CNBC have also withdrawn as media sponsors of the summit.

British billionaire Richard Branson, the founder of Virgin Group, said that he was halting talks over a $1 billion investment by Saudi Arabia in the company's space ventures as a result over the Khashoggi case.

"What has reportedly happened in Turkey around the disappearance of journalist Jamal Khashoggi, if proved true, would clearly change the ability of any of us in the West to do business with the Saudi government," he said in a statement.“We have asked for more information from the authorities in Saudi Arabia to clarify their position in relation to Mr Khashoggi.”

Additionally, Uber CEO Dara Khosrowshahi said that he might not attend the Riyadh investment conference.

"I'm very troubled by the reports to date about Jamal Khashoggi," he said. "We are following the situation closely, and unless a substantially different set of facts emerges, I won't be attending the FII conference in Riyadh."