Investor Ordered to Refund Dh200,000 in Disputed Al Ain Investment Deal

The Al Ain Civil, Commercial and Administrative Cases Court has ordered a man to repay Dh200,000 along with Dh10,000 in compensation to another individual after failing to honour an investment agreement that promised regular returns.

According to court records, the plaintiff had filed a case seeking the recovery of Dh200,000 paid to the defendant for the purpose of investment, along with compensation for moral and psychological damages, lost profits, and legal interest at 12 per cent from the date of filing the case until full settlement. He also requested that the court order an investigation into the relationship between the parties, direct the defendant to take a decisive oath, and grant immediate enforcement, in addition to legal costs and lawyer’s fees.

The plaintiff stated that he had transferred Dh200,000 to the defendant with the understanding that it would be invested on his behalf and that he would receive regular profit distributions. However, he alleged that the defendant neither paid any returns nor refunded the principal amount despite repeated requests.

During proceedings, a court-appointed expert confirmed that the plaintiff had indeed transferred Dh200,000 to the defendant’s bank account for investment purposes and expected recurring profits.

The defendant, however, argued that the money was part of a high-risk investment arrangement conducted through an intermediary, rather than a guaranteed profit scheme.

The court observed that the alleged losses were not substantiated, noting that the claimed loss had occurred prior to the deposit being made on the trading platform. It therefore ruled that the contractual position should be restored to its original state, ordering the defendant to return the full amount to the plaintiff.

The court further held that the plaintiff had suffered harm due to the defendant’s failure to fulfil his obligations. It assessed compensation for these damages at Dh10,000.

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