Dubai Police bust gang promoting fake investments through social media
Dubai Police have arrested a gang involved in online fraud by promoting fake trading and investment schemes via social media platforms, the authority said on Sunday.
The four suspects, who appear in a photo shared by the police with blurred faces, falsely claimed to represent reputable trading and investment platforms, targeting victims through phone calls and social media advertisements.
They convinced their victims that they could make high and quick profits, prompting them to transfer funds, which were subsequently funnelled into bank accounts outside the UAE.
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Their arrest followed several complaints from individuals who were deceived by them, the police stated.
Fake platforms, real losses
A recent Khaleej Times investigation has uncovered an online trading syndicate in the UAE operating a high-stakes scam through fraudulent call centres, fake trading platforms, and shell companies set up to siphon investor funds.
Documents, testimonies, and internal communication show that the syndicate is behind a cluster of dodgy platforms including Sigma-One Capital, DuttFx, EVM Prime, UTrade, EVA Markets and Core Financial Markets among others, that have left hundreds of investors in financial ruin in recent months.
The network came under renewed scrutiny after Khaleej Times published an exposé on Gulf First Commercial Brokers, which abruptly shut down and disappeared, leaving a trail of defrauded clients. In its aftermath, scores of whistleblowers, victims, and former staff stepped forward, triggering a deeper probe.
Figures reveal that tens of thousands of UAE residents have lost their life savings to bogus investment plans in recent years. The latest example is BlueChip, which suspended payouts and vanished in March with an estimated Dh250 million, leaving a trail of devastated lives.
In announcing the arrest on Sunday, Dubai Police have advised the public to remain vigiant and avoid dealing with individuals or entities promoting unlicensed investment opportunities or requesting the opening of bank accounts and transferring funds.
It also called on residents to report any suspicious activity through the eCrime platform, the Dubai Police app, or by contacting 901.
Yasmin Hussein
Yasmin Hussein is an Assistant Digital Editor who believes that every news story carries a human element. Her motto is ‘get it first, but first get it right’.
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