Dubai insurer Salama assures shareholders that embezzled funds will be returned
Ex-Salama managing director and others have been referred to Dubai Penal Court
Dubai: Shareholders in UAE insurer Salama (Islamic Arab Insurance Co.) have been given assurances that the company is putting in every effort to recover embezzled funds by a former top official.
DFM-listed Salama, which is going through a merger with Takaful Emarat, confirmed that the Public Prosecution in Dubai issued a decision to refer the former vice-chairman/managing director – and others – to the Penal Court on ‘charges including the embezzlement of company funds and damaging the interests of the company they served for almost 20 years’.
Earlier, the Dubai Court of Cassation ruled in favour of the insurer and dismissing the individual’s plea that it was a ‘loan’.
Another Dubai insurer Aman, is also in the process of recovering funds diverted by erstwhile management. The Dubai Court had ruled in the company’s favour to go ahead with the process to bring back the Dh11.3 million.
“The collection of this amount will have a positive impact on the company’s financial statements this year,” Aman had said in a statement.