Tuesday, May 01, 2012
Gulf News
Dubai: An expatriate businessman yesterday lost a Dh7 billion lawsuit against a local property development company.
The Dubai Commercial Court yesterday rejected the Iranian businessmans civil lawsuit against the company, seeking Dh7 billion in compensation. The two sides have been involved in a commercial dispute since 2009.
He argued that he had made an agreement with one of the owners to establish the company in 2004 to obtain a licence to work and invest in a local industry.
He was assigned, according to the agreement, as its manager and granted broad authority [similar to that of the owner] to be able to invest and manage his money which he invested in the company.
The Iranian lodged his commercial lawsuit shortly after he was dismissed from the company and failed to resolve the commercial dispute with the defendants.
Investments
Advocate Samir Jaafar, who represented the owners, contended before the Commercial Court that the claimant failed to prove that the funds that were invested in properties belonged to him, and argued that the money belonged to the firm.
My clients are the ones who paid the companys capital and the expenses of its establishment. The claimant failed to provide the court with documents and evidence corroborating his claims about the defendants being sponsors only it was proven that my clients were the ones who paid for the companys capital and that the invested properties were bought under the companys activities, Jaafar told the court.
The businessmans lawyer, Salem Al Shaali, told Gulf News he would appeal the ruling.
Advocate Jaafar further lodged a counter-lawsuit in which he demanded the businessman repay Dh465 million he took while managing the company. Presiding Judge Ashraf Atwa dismissed the counter lawsuit.
By Bassam Zaza, Legal and Court Correspondent
Gulf News 2012. All rights reserved.
