Abu Dhabi court orders woman to repay Dh61,000 in stock investment fraud

The Abu Dhabi Court for Family, Civil and Administrative Cases has ordered a woman to return Dh61,000 to a young man after deceiving him into believing she had expertise in stock trading. She was also ordered to pay Dh1,000 in compensation for the emotional distress caused.

The case began when the man filed a lawsuit demanding the return of his funds, in addition to Dh5,000 in moral damages, legal interest, and court costs. He told the court he had seen an Instagram advertisement in which the defendant presented herself as an experienced stock investor. Trusting her claims, he transferred Dh61,000 to her through several bank transactions with the expectation of profitable returns.

When he requested his profits, the woman failed to respond. He later asked her to return the principal amount, explaining he no longer wished to invest. The defendant initially asked for a one-month extension to repay the money but continued to delay. The plaintiff then submitted evidence, including bank transfer receipts and WhatsApp messages exchanged between them, showing her acknowledgment of receiving the funds.

In its ruling, the court cited the Civil Transactions Law, which states that no one may take another person’s property without lawful cause, and that such property must be returned. Judges noted that the plaintiff’s documents confirmed the transfer of funds, while the defendant failed to provide any investment records or appear in court to defend herself.

The court also addressed the plaintiff’s claim for Dh5,000 in moral damages. It explained that under civil law, compensation for non-material harm is designed to redress psychological distress and damage to dignity, not to enrich the claimant. While acknowledging that the defendant’s actions caused the plaintiff pain and anxiety, the court reduced the award to Dh1,000.

In conclusion, the court ordered the woman to repay the full Dh61,000, along with Dh1,000 in damages, and held her responsible for all court fees and expenses.