Investor ordered to repay Dhs200,000 in failed Al Ain deal

Al Ain Civil, Commercial and Administrative Cases Court obligated a man to return Dhs200,000 plus a fine of Dhs10,000 to another, from whom he received the money for investment and promised to deliver the profits regularly, but he neither committed to paying the profits nor returned the money when requested.

Earlier, a man filed a lawsuit against another in which he requested the court to obligate him to pay Dhs200,000 back to him plus compensation for moral and psychological harms and lost profits and legal interest at 12 per cent from the date of the lawsuit until full payment.

As a precaution, the plaintiff requested that an investigation be opened to prove the relationship between the two parties to the dispute and that the defendant be directed to take the decisive oath, with immediate enforcement. He also requested the court to obligate the defendant to pay the incurred charges, expenses and lawyer’s fees.

The plaintiff pleaded that he had given the defendant Dhs200,000 to invest it on his behalf and delivering the profits to him regularly, but the defendant did not commit to paying the profits and did not return the sum to him when requested.

The court stated that it was established from the report of the expert appointed in the case that the plaintiff transferred Dhs200,000 to the defendant’s bank account for investment and achieving a regular profit return.

The defendant, however, described the fund as a high-risk investment financing that took place through an intermediary, it added.

Furthermore, the loss claimed by the plaintiff was not proven because the alleged loss was realized before the date of depositing the amount on the trading platform and consequently the court ruled that the situation be as it was before the contract and that the defendant be obligated to return the amount to the plaintiff, it said.

The court stated that it was established that the plaintiff had suffered harms due to the defendant’s failure to fulfill his obligations and therefore it hereby estimated the due compensation for these harms at Dhs10,000.