Dubai Court orders man to repay Dh118,000 after trader duped in currency scam

Judges ordered the defendant to repay the Dh117,913 in full, plus Dh5,000 in damages

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The deal, billed as a convenient solution for cross-border trade, required the trader to hand over Dh117,913.
The deal, billed as a convenient solution for cross-border trade, required the trader to hand over Dh117,913.
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Dubai: What began as a promise of a five-minute currency exchange has ended in a courtroom, where a Dubai civil court ordered an Arab man to return nearly Dh118,000 to an African trader, alongside Dh5,000 in compensation for financial and emotional harm.

According to court filings, the trader, who relies on Canadian suppliers, was assured by the defendant that he could convert dirhams into U.S. dollars almost instantly, using his local bank accounts. The deal, billed as a convenient solution for cross-border trade, required the trader to hand over Dh117,913.

Trusting the offer, the trader sent the funds through a representative. The defendant then pledged to wire the equivalent amount in U.S. dollars within minutes. 

Instead, he stalled. To reassure the trader, the man allegedly sent a photograph of himself making a cash deposit at an ATM. But the promised transfer never arrived.

As his Canadian supplier pressed for payment, the trader, facing mounting pressure and late penalties, flew to Dubai to demand his money back. 

Despite repeated appeals, including attempts at mediation through local intermediaries, the defendant refused to return the funds. Ultimately, the trader was forced to pay his supplier a second time out of his own pocket to preserve the commercial relationship.

Court documents show that the trader presented invoices, WhatsApp exchanges, and other evidence, while the defendant failed to appear in court or provide any proof of repayment.

In its ruling, the court cited provisions of the UAE Civil Transactions Law, which state that anyone who takes money without a legal basis must return it to its rightful owner, along with any gains or benefits derived.

Judges ordered the defendant to repay the Dh117,913 in full, plus Dh5,000 in damages, rejecting the trader’s claim of Dh100,000 for psychological and material harm.

Huda Ata is an independent writer based in the UAE.

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