x Abu Dhabi, UAEFriday 28 July 2017

Daughter shocked by sale of father's shares after his death

An Emirati yesterday denied selling Etisalat shares belonging to the estate of a dead man.

DUBAI // An Emirati yesterday denied selling Etisalat shares belonging to the estate of a dead man. AS, 36, was accused in Dubai Criminal Courts of selling more than Dh1.2 million (US$327,000) of Etisalat stock, having used a forged passport copy to defraud Abu Dhabi Securities Markets (ADSM) and EFG Hermes brokerage company of Dh1,205,608. Prosecutors allege that he forged the document to sell stock belonging to a fellow Emirati, and continued to do so even after the victim died in June 2007. Records indicate that between March 13 and July 30 of that year, AS sold 72,000 Etisalat shares in six transactions.

According to court records, the accused had known the man previously through a Sharjah property deal. The case came to light when the dead man's daughter complained to the compliance department at Abu Dhabi Securities Market. "I found 4,800 shares left in my father's account in July 2007," she told prosecutors. "I checked the transaction dates and discovered that some of them occurred in July of that year, which shocked me because my father passed away in June of the same year."

An Egyptian manager with EFG Hermes told prosecutors that the compliance department of the ADSM had notified him of the complaint. "We investigated the matter and discovered that the legality of the papers was in order," he said. "The ADSM then instructed us to repay the amounts to the complainant, but then this order was halted as the matter was referred to public prosecution." An ADSM manager told prosecutors an investigation by the securities market had established that AS used forged passport copies to obtain purchase and sale orders of the shares.

"The defendant contacted the Dubai Financial Centre and proceeded to sell the stocks over the phone a number of times, using the false details which he registered after presenting the forged documents," said the ADSM manager. AS is expected to present his defence at the next hearing on October 14. amustafa@thenational.ae