Abraaj: Comingling of funds was done for $95m, as per Deloitte & DIFC laws were broken

It seems UAE securities regulator SCA has read this blog and finally commented on the issue today, Jun 11, 2018 perhaps because the previous blog post of Jun 8, 2018 had gone viral worldwide.

Previous post: 

Abraaj Capital of DIFC: How 16 years of success, collapsed in less than 5 months!

Comingling of funds is a big NO NO anywhere in the world of finance. It is extremely rare to be caught and that too confirmed by a Top 4 auditor like Deloitte.

Just like the previous case of Sarasin-Alpen which was one of the rarest cases where the CEO was caught in DIFC with his pants down for firing the MD just to pocket USD 5m in commission and became the first case of mis-selling ever in the history of the world to be prosecuted and this Abraaj case seems to be moving that way as well.

UAE’s SCA has said that they are talking to DIFC and said "We are coordinating with DFSA to see where national investors are affected," said Obaid al Zaabi, chief executive of the UAE's Securities and Commodities Authority. 

"Once we get tangible evidence, we can move forward in coordination with local and federal governments."

There are not many options left for Abraaj unless they can find billions of dollars to pay their investors and creditors within a very short period of time.

References:

UAE's securities regulator working with DFSA on Abraaj impact on investors

Abraaj audit finds funds mingled corporate and investor cash

Deloitte Is Said to Find Dubai's Abraaj Commingled $95 Million