Kuwait hands life sentences, fines seven over multi-million dinar public fund fraud

5 Kuwaitis, 2 Americans fined KD 98 million

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Khitam Al Amir, Chief News Editor
Five Kuwaitis and two Americans sentenced to life imprisonment and fined KD98 million in public fund fraud case.
Five Kuwaitis and two Americans sentenced to life imprisonment and fined KD98 million in public fund fraud case.
Gulf News archives

A Kuwaiti criminal court sentenced seven defendants, including Kuwaiti nationals and two Americans, to life imprisonment in a case involving the misappropriation of funds from an investment fund linked to state entities.

The court also imposed fines totalling KD98 million and ordered the defendants to repay KD49 million, local media reported. They were convicted of embezzling funds from the state investment fund, in which the Public Institution for Social Security and Kuwait Ports Authority owned stakes.

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Prosecutors said the defendants, including the manager of the Ports Fund, deliberately harmed public funds through fictitious transactions and fabricated arbitration cases filed in Dubai, the US and the Cayman Islands.

The scheme allegedly involved sham lawsuits filed at the Dubai International Financial Centre courts, based on a 2016 investment management agreement, to claim funds, fees and interest without legal basis.

The case was triggered by a complaint filed by lawyer Abdullah Al Kandari, who uncovered alleged fictitious lawsuits and suspicious financial movements linked to the fund’s management, prompting authorities to launch extensive investigations that led to the referral of the defendants to the criminal court.

Khitam Al Amir
Khitam Al AmirChief News Editor
With over 30 years of journalistic experience spanning from Jordan to the UAE, Khitam has spent the past 22 years reporting on national and regional news from Dubai, with a strong focus on the UAE, GCC and broader Arab affairs. As Chief News Editor, she brings extensive expertise in delivering breaking and engaging news to readers. Beginning her tenure as a translator, she advanced through roles as Senior Translator and Chief Translator before transitioning to editorial positions, culminating in her current leadership role. Her responsibilities encompass monitoring breaking news across the UAE and the broader Arab region, ensuring timely and accurate dissemination to the public.​ Born into a family of journalists, Khitam's passion for news was ignited early in life. A defining moment in her youth occurred in September 1985 when she had the opportunity to converse with the late British Prime Minister Margaret Thatcher during her visit to a Palestinian refugee camp north of Amman. During this encounter, Khitam shared her family's experiences of displacement from their home in Palestine and their subsequent refuge in Jordan. This poignant interaction not only deepened her understanding of geopolitical issues but also solidified her commitment to pursuing a career in journalism, aiming to shed light on the stories of those affected by regional conflicts. Khitam’s commitment to accurate and timely reporting drives her to seek out news that interests readers, making her a trusted source for news on the UAE and the broader Gulf region.
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