Abu Dhabi Family Court Orders Man to Repay Dh1 Million after Defrauding Woman in Bogus Investment Scheme

The Abu Dhabi Court for Family, Civil and Administrative Claims has upheld a ruling ordering a man to pay a woman Dh1,083,657 -- including Dh50,000 in compensation -- after he defrauded her through a fraudulent investment scheme.

The case began when the woman filed a lawsuit demanding the full amount be repaid. Her claim included Dh618,809 in interest resulting from a bank loan she had taken out and transferred to the defendant’s account, along with Dh100,000 in compensation for the damages she suffered.

She also sought 12 per cent interest for late payment from the date the case was filed, as well as all court fees and legal expenses.

 

False Promises

According to the claim, the man persuaded the woman to invest in what he presented as a legitimate business opportunity. Although she initially said she did not have the funds, he convinced her to take out a bank loan, promising to repay both the principal and interest in full.

The woman subsequently took out a Dh698,000 loan and transferred the amount to him in instalments. Additional payments brought the total transferred to Dh1,083,657.

 

After receiving the money, the man began making excuses, claimed he needed more time, and sent her photos of expensive watches to maintain the illusion of success. He later became unreachable, switched off his phone for a time, and eventually blocked her on social media.

 

Realising she had been conned, the woman initiated legal proceedings.

 

Court Sismisses Defendant’s Excuses

The Court of First Instance ruled in her favour, ordering the defendant to repay the entire amount, along with Dh50,000 in compensation, and to bear all related court and legal fees.

 

Unhappy with the decision, the man appealed, claiming his business had incurred losses due to an accident that forced him to travel. He also asserted that the business was still active and merely needed time to be wound up.

 

However, the Appeals Court found that he had admitted to receiving the funds and acknowledged the existence of a business relationship with the woman. Crucially, the court found no evidence of any real commercial activity, indicating the business was fictitious.

 

In light of this, the court dismissed the appeal and upheld the original ruling, confirming that the defendant must repay the plaintiff the full sum of Dh1,083,657.

 

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