The Dubai Financial Services Authority (DFSA) alerts the financial services community and the public to a fake letter in which both the DFSA and a former President of the Financial Markets Tribunal (FMT) have been impersonated.

This scam is an advanced fee scheme, where scammers, claiming to represent an insurance firm, sent a letter falsely titled “Decision Notice” from the FMT. The letter alleges that the DFSA has placed a sum of money on hold, pending a satisfactory ruling by the FMT.

Key details of the fraudulent letter include:

• A list of fake investigation costs, along with a demand for payment to the DFSA (through the scammers).
• A threat to revoke the firm’s official licence and seize the funds if the payment is not made within 15 days.

To make the scam appear legitimate, the scammers fraudulently used the DFSA logo and the name, title, and purported signature of the former President of the FMT.

The DFSA informs you that:

• The letter is fraudulent and was not sent by the DFSA;
• The DFSA does not appoint third parties to act as a fiduciaries for its fees or activities, nor to send correspondence on its behalf; and
• The DFSA does not approve the release of funds, nor does it charge investigation costs, for the approval of loan agreements.

The DFSA strongly advises you not to respond to any communications regarding this scam, and under no circumstances should you send or give any money to any party connected to the scam.

The DFSA has a page on its website dedicated to alerts which it has issued about scams. All alerts issued by the DFSA may be accessed by going to: Alerts.

The DFSA has also issued warnings and guidance about the common types of scams perpetrated on consumers. For more information on these scams, please go to: How to avoid being scammed.

The DFSA encourages consumers to refer to the list of regulated Firms and Authorised Individuals licensed by the DFSA that is available on the DFSA's Public Register.

If you have any concerns about the authenticity of any correspondence or documents that purport to be issued by the Dubai International Financial Centre (DIFC), DFSA or a DFSA regulated Firm, you should direct your concerns to the DIFC on Tel: +971 4 362 2222 and to the DFSA via the DFSA Complaints function.