Arif Naqvi Image Credit: Bloomberg

Dubai: A second cheque bounce case against Arif Naqvi, founder of the beleaguered private equity firm is settled out of court today, according to Dr Habib Al Mulla, executive chairman at Baker McKenzie Habib Al Mulla, who represents Naqvi.

The case relates to a cheque worth $217 million (Dh798 million) issued by Naqvi to Sharjah-based Crescent Group founder Hamid Jafar.

“I am pleased to inform you that the parties have reached a full settlement on all disputes with Mr. Jafar. Under UAE Criminal Law charges based on bounced cheques gets extinguished once parties reach a settlement. Accordingly, the parties will apply to the court and the public prosecution to withdraw the cases brought on the bounced cheques,” Dr Al Mulla said in a statement to Gulf News.

A Sharjah court which heard the case today, adjourned pending an agreement between both parties, according lawyers. Lawyers of both parties said negotiations are under way for an amicable settlement.

Meanwhile, Al Mulla denied a Bloomberg report which said Naqvi was sentenced in the case. Lawyers for Jafar said negotiations are under way.