Work Visa Saudi Arabia

No.  He just can't get another visa until the work visa expires.    But outside of that, no issues.

However, what he did is very unprofessional.  He made the company spend a lot of money and effort to get him a visa.  Besides that, they lost one visa out of their quota.  He should have really been clear in his head before progressing with the process.

A agent was saying embassy will send you a notice for the money spent by the company. Or a Ban / blacklist from country.

But since he didn't get iqama or entry in company/country, how can this be possible. I think he was trying to force him to go.

It doesn't work this way.  A visa, you can choose not to go and it will expire.  That is all.

If you do go then the visa is converted to an Iqama and you become a proper employee which is when these sort of things happen.

He is right