Egypt goes to Interpol for Damac chairman

Dubai's Damac Properties reported a 38 per cent fall in first-quarter net profit on Wednesday. (FILE)

Uncertainty surrounded the case involving the Criminal Court of Giza in Egypt sentencing Hussain Sajwani, Chairman of Damac to five years in jail.

A cross-section of the Arabic press continued to file differing reports on the issue, with no clear picture emerging yet.

The big story of the day came from Al Akhbar which stated that the court decision came after Attorney General Abdel Meguid Mahmoud issued a memorandum to Interpol for the arrest of Sajwani and Al Hazeq.

The case involves charges of profiteering and misappropriation of public funds in the Red Sea resort project of Gamsha Bay, according to Al Akhbar.

Egyptian tourism minister Zuhair Garanah and Egyptian businessman Hicham Al Hazeq, have also been sentenced in the case.

In a statement issued Damac has rejected the ruling and said that the motives are purely political given the absence of any evidence of violation of law.

"The allegations against Damac and against the chairman of the board are unfounded," it said.

Damac added that all properties that it has bought in Egypt are within the framework of laws and governmental regulations in force at the conclusion of the contract.

It stated that the company has the utmost integrity in all dealings in Egypt. It added that further legal avenues are being evaluated.

Zuhair Garanah has been charged with abusing public funds worth $51 million by selling large plots ofland, believed to be rich in oil, to Al Hazeq and Sajwani at very low prices, according to Elaph website.

The court also fined Garanah and Al Hazeq a joint amount of 57.861 million Egyptian pounds, and Garanah and Sajwani a joint amount 632.007 million Egyptian  pounds.

The two businessmen were served the five-year sentence in absentia. The land is to be confiscated by th estate, the court said.

The court ordered the Tourism Development Authority to take back all the plots.

The Court confirmed that the land was sold without public bidding where different companies compete in accordance with the principles of integrity, transparency and free competition.

Egypt jails Garranah,
Sajwani, Al Hazeq

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