UAE Scam: Investors Stranded as company owner, staff vanished with millions

asmaa - | Arab News

Up until last week, Blue Chip Group's third-floor office in Bur Dubai's Al Jawahar Centre was a hive of activity. Dozens of agents, all dressed formally, solicited capital for projects in the stock market, gold mining, cryptocurrencies, and real estate, among other areas.

Millions Disappear with Company

The bustling third-floor office of the Blue Chip Group, nestled in Bur Dubai's Al Jawahar Centre, was a hive of activity until recently. Dressed in formal attire, numerous representatives passionately pitched investment opportunities across diverse sectors such as the equity market, gold mining, cryptocurrency, and real estate.

Blue Chip convinced investors with an alluring offer: a three percent monthly return on a minimum investment of $10,000, locked in for 18 months, with a supposed seventy million dollar portfolio and more than 700 clients, according to their website. Payouts suddenly stopped, though, and investors were left to deal with rejected checks and unresolved questions, so the appeal soon faded.

Today, the once bustling office sits eerily vacant as disgruntled investors clamor for answers, only to discover the disappearance of the owner and the company's 70-year-old staff members. During a recent visit, the office lay deserted, overrun by a throng of aggrieved investors seeking redress.

Among the distressed investors was an Indian expatriate lamenting the potential loss of Dh1 million. Standing beside him was Valentino, a former relationship manager at Blue Chip, who disclosed investing Dh55,000 in the venture, funds urgently required for her father's medical treatment. "I am devastated," lamented Valentino. "My clients are reaching out to me, and I am at a loss for words. My father is in the hospital, and we are in desperate need of this money."

Some people had borrowed money against their credit cards to invest, including the Indians Maheej (Dh70,000) and Saiprava (Dh36,700). Some people, like Ehtisham of New Delhi, even sold off their possessions to take advantage of the supposed chance. In an effort to get some answers regarding his $132,000 (Dh485,000) investment that he made over the course of a few months, Ehtisham took a day off from his job at a shipping firm in Ras Al Khaimah to visit Blue Chip's headquarters on May 9. His voice betrayed his intense emotions as he gasped out, "I will be crushed if this money vanishes." He had saved up all of his money.

A shared Excel sheet unveiled investments exceeding $17 million from just 90 individuals. Salim M, who invested the equivalent of Dh492,000 in US dollars, commented, "This is just the beginning." "Our WhatsApp groups alone comprise 345 investors. When we account for all of them, the total investment surpasses comprehension. And this roster is not exhaustive; we are yet to reach all the investors."

The company reportedly faces multiple instances of bounced checks, and its founder-CEO faces a travel ban.

Reflecting on his decision to entrust Blue Chip, A.K. (who wishes to remain anonymous) remarked, "Placing faith in Blue Chip seemed prudent initially. However, I now feel deceived. It's a harsh lesson learned."

Allegations and denials

In a surprising turn of events, investors claimed to have been misled into investing in various Blue Chip verticals, purportedly influenced by celebrity endorsements and accolades. One such instance was the launch of the Blue Chip token at a luxurious Dubai hotel in July 2022, with Bollywood actor Sonu Sood gracing the occasion as the chief guest.

However, Sonu Sood refuted endorsing the company, clarifying over the phone from India, "Attendance at an event does not imply endorsement." Expressing solidarity with affected investors, the actor emphasized, "I am with the investors, not with the owners. Everyone deserves restitution for their hard-earned money."

About Author

975 Total posts

Read Also

Arab News
A new rise in rents in the UAE

Normally, residents of Dubai who wish to reduce their rent might think about relocating to Sharjah or Ajman; but, due to an increase in demand, prices in these two neighboring emirates are currently rising.

Arab News
UAE issues a decision regarding green jobs for residents and citizens of the country

The Ministry of Human Resources and Emiratization disclosed that the rise in "green jobs" to over 11% of all private sector jobs in the nation was primarily responsible for the labor market's decline in unemployment rates to their...

Arab News
The UAE issues a new decision regarding renewing residency and the possibility of doing a medical examination

Do you belong to the group of people who are extremely busy and lack the time to attend for a medical examination required for the renewal of your resident visa? Don't worry.

Arab News
UAE issues a new decision regarding resettlement and a worker’s permit

As part of its efforts to unify the government bureaucracy zeroing project launched by the UAE government, the Ministry of Human Resources and Emiratization announced the introduction of enhancements in the "worker permit cancellation"...

Arab News
The UAE announces start issuing the UAE passport with a validity of 10 years

The Federal Authority for Identity, Citizenship and Customs in the United Arab Emirates stated that the issuance of the new Emirati passport will officially begin for those aged 21 years and above, starting on Monday, July 8, 2024.

Arab News
The UAE provides new scholarships for resident and foreign students

The digital government in the United Arab Emirates announced new scholarships for resident and foreign students who wish to enroll in public and private universities in the country.

Arab News
Saudi Arabia: Riyadh Air reveals new cabin crew uniforms at Paris fashion event

In anticipation of next year's flights, Riyadh Air has introduced a breathtaking line of uniforms for flight attendants.

Arab News
Saudi Arabia Urges Immediate Evacuation of Citizens from Lebanon

The Saudi Arabian Embassy in Beirut is keeping a careful eye on the developments in southern Lebanon as tensions continue to rise.

Arab News
Air Arabia Launches Sharjah to Athens Flights to Enhance UAE-Greece Connectivity

Sharjah Airport Authority (SAA) and Air Arabia have jointly announced the launch of a new air route connecting Sharjah to Athens, the capital of Greece, marking a significant addition to Sharjah Airport's expanding network of direct travel...

Arab News
Saudi Arabia: Over 13,440 Arrested in Residency and Labor Operations Last Week

Saudi Arabia conducted extensive enforcement operations last week, resulting in the arrest of over 13,440 individuals as part of efforts to curb violations related to residency, labor laws, and border security.

Arab News
Dubai: RTA Launches New Bus Service to Damac Hills 2 Starting July 1

Starting July 1, residents of Damac Hills 2 in Dubai will gain access to a new public bus service aimed at improving local transportation options.

Arab News
UAE: Emirates announces pay hike, education allowance, & longer leaves for staff

In a recent email to its employees, Emirates Group announced a comprehensive enhancement of employee compensation and benefits, set to take effect in July 2024.

Arab News
UAE: Residents Evacuated After Fire Erupts in Sharjah Residential Building

A fire erupted in a residential tower on Jamal Abdul Nasir Street in Sharjah one Sunday afternoon, leading to the immediate evacuation of the entire building. Prompt response from civil defence, ambulance teams, and police was crucial in managing the...

Arab News
UAE announces New Taxi Fare in Ajman Amid Fuel Price Adjustments

On Sunday, the Ajman Transport Authority announced the updated taxi fare rates that will come into effect in July.

Arab News
UAE announces Petrol, diesel prices for July 2024

New prices for gasoline and diesel were published by the United Arab Emirates fuel price committee for the month of July 2024. The updated rates will be in effect starting from July 1. To bring local prices in line with global market trends, these...

Arab News
UAE fines Several trucks 3,000 Dirhams for illegally transporting sand

Ajman fined multiple companies' trucks for illegally transporting sand.

Arab News
UAE: Ajman Introduces Paid Parking on Three key Roads Starting June 29

In a bid to streamline traffic and address parking challenges, Ajman authorities have announced the introduction of paid parking on three significant roads, effective June 29.

Arab News
Abu Dhabi Police Launch a New Initiative with a 35% Discount on Traffic Fines

Abu Dhabi Police have recently rolled out the “Badir and Benefit” initiative, aimed at encouraging drivers to promptly settle their traffic violations through a range of incentives and discounts.

Arab News
Dubai: Japan Halts E-Visas; Residents Plans Disrupted by Appointment Rejections

UAE residents hoping to fulfill their dreams of a holiday in Japan are facing significant obstacles due to recent changes in the visa application process.

Arab News
Dubai court sentences woman to six months in prison for stabbing boyfriend

In a troubling incident on August 20, 2022, at their shared apartment in Dubai’s Al Muraqqabat area, a woman was sentenced to six months in prison for stabbing her boyfriend. The altercation arose from a dispute over his mobile phone, marking a...

Arab News
A UAE court fined a company Dh20,000 for dumping waste illegally in Ajman

Dumping public rubbish and building materials in prohibited areas led to a Dh20,000 penalties for an Ajman enterprise. This shows how serious the enforcement procedures are to avoid future infractions of the same kind.

Arab News
Dubai Courts to close Al Barsha Mall branch starting June 30

Dubai Courts has announced that its Al Barsha Mall branch will cease operations starting June 30.

Arab News
Saudi Arabia Reduces Friday Sermons Duration until Summer ends

Saudi Arabia has announced that the sermons preceding the Friday noon prayers at Islam's two holiest mosques will be shortened until the end of summer to alleviate the burden on worshippers amidst the kingdom's extreme heat.

Arab News
UAE Shortens Friday Sermons to 10 Minutes Amid Summer Heat

From June 28 until October, authorities in the UAE have implemented a new policy to limit Friday sermons to 10 minutes.

Arab News
Saudi Arabia Introduces E-Visa for Esports World Cup 2024 Ticket Holders

Saudi Arabia announces a 90-day visa program for attendees of the Esports World Cup 2024, aiming to boost tourism and the gaming sector.

Arab News
UAE detained Man in Ajman for distributing fake automotive oil from known brands

An Asian national was apprehended by the Ajman Police during a recent investigation on suspicion of dealing in and stockpiling knockoff lubricants bearing the names of well-known brands around the world.

Arab News
UAE introduces 8 visa types allowing entry into Emirates for different durations

The UAE's digital government outlined in a recent report that residence visas for foreigners are granted upon legal entry into the country via entry permits, enabling them to reside and work for specific periods, extending up to 10 years...

Arab News
UAE clarifies entry permit application process post residence visa cancellation

Expatriates residing in the UAE often find themselves traveling frequently for business and personal reasons, sometimes extending their trips beyond six months.

UAE firms explain delays in processing rain insurance claims