Dubai Broker Disappears with Investor Funds
In an alarming turn of events, a broker based in the UAE vanished overnight with millions of Dirhams taken from investors. Gulf First Commercial Brokers, previously operating out of two office spaces in the Capital Golden Tower in Dubai’s Business Bay, is now completely abandoned, with reports indicating that the offices are dusty and devoid of any sign of activity.
A security guard at the Capital Golden Tower recounted, “They returned the keys, removed everything and left in a hurry.” He also mentioned that inquiries about the company have become a daily occurrence.
Investors Left in the Lurch
Among those affected are two individuals from Kerala, Mohammad and Fayaz Poiyuilu. Mohammad expressed his frustration, stating, “I came here looking for answers, but there’s nothing. No one is here—just an empty office. We tried calling all the numbers, but no one picked up.”
Another investor, Sanjiv, revealed that the broker had been directing clients towards Sigma-One Capital, an unregulated online platform. He remarked that clients had been continually assured of safe returns, encouraging them to invest their funds. As for Mohammad, after initially investing $50,000, he noted that the company’s staff were using two names interchangeably, leading to further confusion.
Many investors shared that they felt secure in their investments simply because of the persuasive conversations they had over the phone, with one even saying that they felt compelled to increase their initial deposit of $1,000 due to pressure from their relationship manager.
Police Investigation Underway
Law enforcement has opened investigations into Gulf First Commercial Brokers and Sigma-One Capital. Evidence surfaced that Sigma-One was operating without the necessary approvals from regulatory bodies such as the Dubai Financial Services Authority (DFSA) and the Securities and Commodities Authority (SCA). The company claimed to be registered in St. Lucia and to have a physical office in Dubai, but investigations found no existing records to support these claims.
Pattern of Deceit
This incident follows a troubling pattern observed in previous fraud cases in the UAE, where residents have lost significant sums due to dubious platforms like DuttFX and EVM Prime. A common trait among these fraud schemes has been the use of cold calls that promise a ‘safe trading environment.’ Victims often find themselves pushed into maximizing credit cards and loans, only to discover that the company’s offices in Dubai were non-existent.
