A UAE-based investor claimed to have lost Dh1.1 million after falling prey to a cryptocurrency trading scam. This incident reveals the increasing complexity of online investment fraud schemes. It is also a reminder of the potential dangers of using non-verified digital asset platforms.
As per the facts of the case, the Arab lady was duped by unknown persons under the pretext that they were associated with a famous trading company. They managed to lure her into investing in cryptocurrency with guaranteed gains.
The claimant transferred funds in multiple installments after receiving assurances of profits from trading. She transferred thousands of dollars and Kuwaiti dinars through separate transactions, with the total amount eventually exceeding Dh1.106 million.
The victim later filed a civil lawsuit before the Dubai courts, seeking an order compelling two individuals she accused of receiving her funds to return the money and pay Dh400,000 in compensation.
The claimant stated that the scammers regularly provided her with figures and performance indicators of increasing profits. It prompted her to continue investing. The court also observed that the consultancy report submitted as part of the case file focused primarily on the value of the funds allegedly lost by the claimant. However, it failed to clearly identify the party responsible for the fraud or the individual who had actually obtained the money. Consequently, the report was deemed insufficient to establish the defendants’ liability.
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During the proceedings, the claimant submitted several documents, including a consultancy report, a commercial license, and other records that she argued supported her account. The liability requires proof of wrongdoing, attribution of that act to the party against whom the claim is made, evidence of damage, and a causal link between the two.
Investors should verify platform credentials, check regulatory approvals, and remain cautious about returns.