Dubai Royals Implicated in 500 Million Pound Theft of Brit's Company
Detained in Dubai warns “UAE is serious risk for foreign investors. If your business is successful, it is at great risk of being stolen by Emiratis, facilitated by UAE Royals, corruption and a legal system that is owned by the Sheikh and his friends”.
Radha Stirling, founder of Detained in Dubai is warning investors, entrepreneurs and executives that they could lose everything at the whim of local partners, partners that are legally required. Stirling has debriefed the British Chairman of KM Holdings and says “While I am used to attending to matters surrounding the highest levels of corruption and manipulation, Haddad’s story is a shock to anyone. Not only, Haddad shows us, do we have royals involved, we have major international law firms like Baker & McKenzie facilitating what is a serious breach of conduct and then enter Ernst & Young, another top international accounting firm, providing forged documents according to Mr Haddad and his legal analyst. It seems that with the right connections, you can get anyway with anything. Often the evidence is not available but in this case, we have meticulous records and evidence. Some of the documents were issued by the Government of Dubai and were divulged on Twitter and the parties involved tried to have it censored. It is about time that the world sees what can really happen to foreign investors”.
In 2008, Dr Mohamed Haddad was the chairman and 50% shareholder of a £500 million company in Dubai, KM Holding, when he received a text message from his partner telling him that he would have to sell his interests in the company for a fraction of their value or be sent to prison (for no reason). He declined the offer and assumed the jail threat was a “joke”. When he went to work the next day, "bouncers" prevented him from entering, and when he got home, the electricity and water had been cut off at his residence. Realising that the threat of imprisonment was not to be taken lightly, he left Dubai to resolve the issues from safety. Radha Stirling comments “Cutting off electricity and utilities to homes and businesses is a tactic used to intimidate or induce cooperation. We have seen this method employed in a number of cases and one client reported that the government property development company Nakheel used dirty tricks to force their business to close down when they did not want to discharge their long term commercial lease”.
“I was told to accept 4 x less than my share or go to jail” - Mohamed Haddad
The attempt to force Haddad out of his shares proceeded in Dubai in his absence through a series of fraudulent court cases that make the Emirate appear like the epitome of a banana republic. Haddad's business partner, Khulood Rostoamani, who had texted Haddad with the threat of jail and locked Haddad out of hi