Dubai Victims Scammed Again in Dh3.5 Million BlueChip Fraud

Dubai: BlueChip Scam Victims Duped Again by Fake Officials

Victims of the infamous BlueChip Group investment scam have fallen prey to another elaborate fraud, losing Dh3.5 million to individuals posing as court and law enforcement officials. These individuals claimed to have identified Dh70 million worth of assets linked to BlueChip, promising to liquidate them under court orders to repay investors.

On July 3, a group of investors gathered in a hotel conference room in Deira, Dubai, seeking justice after losing millions in the original BlueChip investment scam. Four men posing as officials from various agencies, including Interpol, presented themselves as authorities overseeing asset recovery efforts. The meeting appeared credible, with badges displayed and patrol cars stationed outside.

The fraudsters claimed to have seized BlueChip assets and assured victims that they would receive their payouts after completing certain legal procedures. A WhatsApp group was created for updates, and victims were instructed to sign a power of attorney authorizing representation in court. Funds were routed through a central account managed by one of the victims, who was tasked with overseeing financial transactions.

Victims were required to pay five percent of their claim as a mandatory processing fee, with receipts purportedly issued by Dubai Courts. Payments were transferred to bank accounts or delivered in cash. Victims later received fake court notices confirming asset seizures and promised payouts.

As the scam unfolded, more victims joined the group, further increasing the amount collected. To claim additional interest, victims were asked to pay an additional 7.5 percent of their initial investments. This prompted many to contribute significant amounts, with the total collected reaching Dh3.5 million.

The fraudsters continued to demand payments for various expenses, including missing documents and procedural requirements. Additional payments were requested, and some victims went to great lengths, including pawning valuables, to meet the demands.

By September, doubts began to surface as deadlines were repeatedly pushed back and new financial demands were made. A poll among the victims showed mixed opinions on whether to proceed, but the group eventually realized they had been scammed. Investigations revealed that the so-called officials were fraudsters, and the documents, receipts, and emails they provided were fake.

The scam unraveled when a victim threatened legal action, leading to the arrest of the lead fraudster and an accomplice. While investigations continue, some victims have accused the central intermediary of complicity, as she managed the funds.

BlueChip originally lured clients with promises of high returns on investments, bolstered by endorsements from public figures. The company collapsed in March 2024, leaving investors with bounced cheques and significant financial losses.

Timeline of Events

• March 2024: BlueChip Group shut down, with its CEO absconding and investors stranded.

• May 2024: Investigations revealed the company's links to another consultancy operating from the same location.

• June 2024: An arrest warrant was issued for BlueChip's CEO.

• July 2024: Victims attended a meeting with fake officials, making their first payments shortly after.

The BlueChip scam, with total losses exceeding $100 million, remains one of the largest financial frauds in recent years. Investigations continue as victims seek justice and accountability for their losses.

 

For any enquiries or information, contact info@thelawreporters.com or call us on +971 52 644 3004. Follow The Law Reporters on WhatsApp Channels