Feb 17, 2007

Dubai Investment Scam Shut Down

Map of Dubai, United Arab Emirates (Dubai) The Dubai Financial Services Authority (DFSA) obtained injunctions to close down fraudulent web sites in which investors had already invested at least $600,000.

DFSA officials claimed that Husam A. Abu-Amara, with employees of his company Globalstar Telecom & Technology, operated Web sites called the Dubai Options Exchange, the United Arab Emirates Commodity Futures Board and Cambridge Capital Trading that claimed to offer financial services in the Dubai International Financial Exchange (DIFX).

The DIFX is located in the Dubai International Financial Center (DIFC), a free trade and free finance zone that debuted in 2004.

The scam mainly targeted investors in Australia and Singapore who were approached by representatives of Cambridge Capital Trading. The victims were directed to Web sites, and funds were then transferred into a Malaysian bank account.


Mortgagefraudqc.com said...

Hi Mike,

As a professional mortgage fraud investigator and trainer, your post on Dubai is of great interest. Anyone needing investigations or training in that area may feel free to contact me. The prevalance of mortgage fraud internationally is beginning to rival that of our own here in the US.

Keep up the good work and education.

Cindi Dixon, Director
Mela Capital Group, LLC
Mortgage Fraud Investigations and Training
PO Box 670035
Coral Springs, FL 33067-0035


Please visit our DISCUSSION BOARD for the latest mortgage fraud news and to anonymously report mortgage fraud. http://MortgageFraudQC.com/blog/blog.html

aisha said...

Hi History Mike,
Thanks a lot for the useful info.
It is a really important to know such news for investors, distinguish advantages and disadvantages. Moreover if you want to invest in Dubai property, cause today it is one of the most challenging places to invest. Lots of people are interested in its property and they really need such tips.

Sami said...

Hi Mike;

This is a direct contact from me Husam Abu Amara the owner of Globalstar Telecom & Technology. I just want to inform you that this was a flase alarm and completely wrong. I have won this case against the DFSA in April 30th of the same year and their allegations are all discharged because they never had a proof on it and we i.e. me and my employees never involved in such criminal act. I have the proofs and the lagal documents but it’s a shame that the ego of such unjust people and prganization prevented them from admitting their mistakes and apologizing for them. You can contact me or any one who is interested on my email ceo@globtel.net. As a reporter who wrote this article to show people tips I expect you to be fair enough to publish this comment. By the way, I don’t advise any one to invest in Dubai, because there is no proper legal infrastructure or even human rights as a proof: look at my case. The investments might be overwhelming but I assure you that investing in Dubai is very risky and unstable that can take all the investments down the drain over night and no one will look back and consider these investments as if ever exist.


Sami said...

This is Husam again, guys can review the DFSA web site media release on May 3rd 2007. http://www.complinet.com/dfsa/display/display.html?rbid=1547&element_id=6235. Hence I request you to take my name out of this web site otherwise i will file a legal law action ordering to shut down your web site.


Husam Abu Amara

historymike said...

Had you asked me politely, Husam, I would have been willing to just delete the post, even though it was based upon a valid governmental press release.

I refuse to be intimidated by some anonymous poster simply because he is mad at the DFSA. Are you also making legal threats against the many dozens of news agencies who ran the story?

However, in the interest of fairness, here is the text of another press release from DFSA that appears to remove suspicion from Mr. Amara and Globalstar:

Dubai, May 3, 2007 — The DFSA has obtained final orders from the DIFC Court against several of the defendants involved in the operation of fictitious websites called the Dubai Options Exchange, the United Arab Emirates Commodity Futures Board and Cambridge Capital Trading. The Chief Justice of the DIFC Court, the Honourable Sir Anthony Evans had previously issued temporary injunctions closing down the fictitious websites, which targeted investors by falsely claiming to offer currency options trading within the DIFC. Close cooperation between the Dubai Police, ESCA and the DFSA’s regulatory counterparts in Malaysia, Australia and the USA resulted in the speedy shut down of the websites and the freezing of over US $600,000 in investor funds.

On 1 May 2007, Sir Anthony Evans issued permanent restraining orders against defendants Ameerdeen Abdul Majid Thanikkodi, Syed Mohamed A/L Kabdul Rahman, AI Global Resources, Everyone’s Internet and Select Solutions LLC. Based on the consent of the DFSA and Husam Abu-Amara and Globalstar Telecom & Technology, Sir Anthony Evans also issued a final order staying the DFSA’s civil claim against Abu-Amara and Globalstar with no order for costs against any party.

All of the final orders will be posted on the DIFC Court website www.difccourts.ae under Judgements and Orders.

Anonymous said...

Hi Mike,

One of my friend living in europe, invest about 100000 euro with an individual who claimed to start a business in dubai with promises of huge returns in the range of 30% per annum. He has email to prove the transctions of the amount and know this person.
This person is showing reluctance in paying back the investment. no contract was signed.
is there any way my friend can persuade this guy to pay the money back? Is there a law forcement office in dubai who could help him?



peter.hockenhull said...

Interesting, Ramadan, I have been col;d called and spoken to about an investment scam offering 15% for a year's investment in business property development (£20-40k). The website http://www.middleastinvest.com/ looks plausible but it seems like a boiler room scam, reasonably sophisticated, sending pdf's about escrow etc from a reputable law firm which implies there is a link between them and mideast.
I am sure that the answer is that your friend is stuffed - i would be amazed if a) the deal was legal and b) if you could ever find the guys to answer charges....

Rakia free zone said...

I think Dubai has become the business, sporting and leisure capital of the UAE. Therefore at more forign investors and tourist come here for leisure, entertainment especially business every years. So for good place.