Union Properties’ chairman detained on federal orders
Federal authorities had earlier announced full-scale investigation on the company
Dubai: The UAE’s Federal Public Prosecution has ordered the detention of Khalifa Hassan Ali Saleh Al Hammadi, Chairman of Union Properties, pending investigation.
The Public Funds Prosecution said it has started investigation with Khalifa Hassan Ali Saleh Al Hammadi, Chairman of Union Properties, and sent a letter to the Dubai Financial to Dr. Maryam Butti Al Suwaidi, CEO of the Securities and Commodities Authority, about the detention of Al Hammadi. The case dates back to October, when the UAE Attorney-General revealed that the Public Funds Prosecution is investigating officials from Union Properties following a complaint filed by the Securities and Commodities Authority.
The complaint included financial violations committed by the company’s chairman and other officials. The violation had something to do with the sale of one of the company’s assets at a price lower than the real one in addition to their attempt to conceal the name of the beneficiary from the purchase using forged papers.
They were also accused of abuse of power, fraud, and harming the interests of the company and its shareholders, by entering into investments outside and inside the country without a proper due diligence of the financial losses incurred by the company. The company's officials are also facing charges of violating the accounting standards systems to hide loss suffered by changing the classification of the company’s investments.