Dubai regulator warns on bank scam
From Middle East Jan 9 2012 BY: Will Jackson
, Contributing editor
, International Adviser
The Dubai Financial Services Authority (DFSA) has issued a warning on false, misleading and deceptive statements made in relation to DIFC Investment Bank.
Two bogus websites (www.difc-ib.com/ae and www.difcbk.com) fraudulently claimed that the bank is a subsidiary of the Dubai International Financial Centre (DIFC) in the UK.
In addition, they stated that DIFC Investment Bank “obtained authorised status under the Banking Act in 1987” and is regulated by the UK’s Financial Services Authority (FSA).
However, according to the FSA, DIFC Investment Bank is neither registered nor authorised in the UK, and the registration number on its website (204439) belongs to another firm.
The DFSA said the statements on the websites were therefore “false and/or misleading and deceptive”. In addition, the DIFC’s name and logo had been used without authorisation.
It said: “The DIFC is a financial free zone, not a financial institution and does not carry on financial services activities in the UAE, the UK or at all. The DIFC Investment Bank is neither registered nor authorised by either the DIFC or the DFSA.”
Both websites have been suspended, although a PDF of the www.difc-ib.com/ae homepage can be viewed here.
The DFSA urged individuals with suspicions about the authenticity of a firm’s regulatory status to contact its complaints department – either online, or by phoning +971 4 362 1 576.