UAE – Mubasher: The Dubai Financial Services Authority (DFSA) announced it has imposed a fine worth $315 million on two Abraaj Group-affiliated companies for deceiving investors and the regulator.
The authority has imposed a fine of around $299 million on Abraaj Investment Management Limited (AIML) and a $15.3 million penalty on Abraaj Capital Limited (ACLD), the DFSA said in a statement.
An investigation performed by the DFSA showed that AIML conducted unauthorised financial services including fund management, within and from the Dubai International Financial Centre, which misled and investors in Abraaj funds over an extended period.
Moreover, the DFSA said that AIML provided investors with misleading financial information and made false statements on the use of money drawn down from investors and distributions.
It is worth noting that Abraaj Group was accused of mishandling a $1 billion healthcare fund.
In June 2018, a report by Deloitte showed that the UAE-based company commingled investor funds of around AED 348.93 million with its own money in the healthcare fund.
