Don't respond to Al Mashriq offers: DFSA

The Dubai Financial Services Authority (DFSA) has alerted the financial services community and members of the public to a fraudulent scam perpetrated bya firm called Al Mashriq Commercial Investment Corporation (Al Mashriq).

The regulatory authority said in a statement that Al Mashriq offers loans to prospective borrowers. 

To obtain a loan, the borrower has to:

• Obtain a ‘Surety Bond’ from an Insurance Company called Al Mulla Atradius to guarantee the loan in the event of default; and
• Make a deposit of $53,000 for the Security Bond. The deposit is allegedly held ‘with a local lawyer in their Trust Account’.

Al Mulla Atradius Insurance Consultancy and Brokerage is a legitimate company name, the DFSA said, which was registered by Atradius and the Al Mulla Business Group. Atradius is a global credit insurer based in the Netherlands. The scammers have misused the name Al Mulla Atradius Insurance Consultancy and Brokerage in order to legitimise the fraudulent scheme, it noted.

Prospective borrowers are provided with a false ‘Certificate of Incorporation’ for Al Mashriq allegedly issued by the DFSA, it said.

The scam also uses a fabricated letter of ‘good standing’ purported to be issued by the UAE Ministry of Finance. The fabricated letter falsely indicates that Al Mulla Atradius is registered as a company by the DFSA.

The DFSA said it does not issue certificates of Incorporation and has not registered Al Mulla Atradius as a company, or at all.

It said the documents referred to the above are false, and are part of a scam commonly known as an Advanced Fee Scam. The DFSA advises that you do not respond to any offers made by Al Mashriq or Al Mulla Atradius.
 

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