Thursday, September 2, 2010

The Abu Dhabi Court of First Instance has sentenced a number of former chairmen and board members of the Islamic Finance Company to jail, it was reported last night by the WAM News Agency.

Ali Hamel Khadem Ghaith Al Ghaith Al Kubeissy, the ex chairman was sentenced to three years in jail and Abdullah Saeed Abdullah Al Kubeissy, another former chairman, was sentenced to  two years.

Al Al Walid Bin Hamad Al Mubarak, Eissa Shamlan Eissa Al Shamlan and Ghaith Hamel bin Khadem Al Ghaith Al Kubeissy, board members, all former board members, received one year sentences.

The court indicted them for breach of trust, the mis-assessment of shares with bad faith and the violation of the commercial law of the UAE.

The court based its decision on the exhibits and record of the investigations, which established beyond any doubt that the accused had committed the offences with which they were charged, WAM reported.

It said the first accused had transferred assets from the company’s account into that of another company in which he and the fifth defendant both owned shares.

He was found guilty of “wasting” dhs423 million, in addition to other amounts. He was also charged with misusing a power of attorney which was granted to him illegally.

The second, third, forth and fifth defendants were accused of misusing their authority by granting the first accused an irrevocable power of attorney.
The UAE Ministry of Econ-omy had filed an official complaint against the five defendants, the CEO and the financial auditor of the company, as well as the company, in which the first and the fifth accused own major shares.