Dubai court orders man to repay Dh1.29 million in cryptocurrency fraud case
Asian defendant convicted of deception after luring victim into fake digital asset deal
The Dubai Court of First Instance has ordered a man of Asian nationality to repay Dh1.291 million to another Asian national after fraudulently obtaining digital currency from him.
The civil ruling followed a final criminal conviction against the defendant, who had previously been found guilty of using deceptive methods to seize virtual assets belonging to the claimant.
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According to court records, the victim owned a cryptocurrency wallet and was approached by the defendant, who claimed he wished to purchase a large quantity of digital currency. Investigations revealed that the accused, together with accomplices who remain at large, orchestrated an elaborate scheme to gain the victim’s trust, Emarat Al Youm reported.
The defendant allegedly sent several individuals of Arab nationalities to the victim’s workplace, presenting them as intermediaries representing him in the proposed transaction in order to give the deal credibility.
After gaining the victim’s confidence, the defendant met him the following day and appeared eager to complete the purchase, even displaying a large sum of money to reinforce the impression of a legitimate transaction.
The victim subsequently transferred part of the cryptocurrency to the defendant’s wallet as an advance payment. However, the defendant failed to fulfil the agreement and fled with the digital assets.
Police later identified the suspect using surveillance footage from the location of the incident and arrested him. Prosecutors charged him with fraudulently seizing movable property valued at Dh1,291,500 through deceptive means.
The Public Prosecution also charged the claimant with operating a virtual asset service activity without the required licence from regulatory authorities.
A criminal court fined the defendant Dh10,000 and ordered him, jointly with the fugitive accomplices, to repay the amount obtained through fraud. The claimant was initially fined Dh50,000 for conducting unlicensed virtual asset activities.
Both parties appealed the ruling. The Court of Appeal upheld the decision, after which the case was taken to the Court of Cassation. The top court rejected the defendant’s appeal and confirmed his conviction, while overturning the penalty against the claimant and ordering a retrial.
