Dubai regulator upholds $135.6 million fine on Abraaj founder and former CEO

Dubai regulator upholds $135.6 million fine on Abraaj founder and former CEO

This is the largest fine ever imposed on an individual by the DFSA; The DFSA’s actions relate to Mr Naqvi’s knowing involvement in Abraaj’s misconduct

Arif Naqvi disputed the findings and presented his case for review by the Financial Markets Tribunal, an independent appeal tribunal.

Published: Tue 3 Jan 2023, 3:34 PM Last updated: Tue 3 Jan 2023, 3:35 PM

Dubai’s financial regulator on Tuesday said it upheld a $135.6 million fine on collapsed private equity firm Abraaj Group’s founder and former chief executive Arif Naqvi 'for his serious failings' in respect of the company.

In a statement, the Dubai Financial Services Authority (DFSA) said that the Financial Markets Tribunal (FMT) issued its decision on December 12, 2022 which upheld the DFSA’s findings and rejected Mr Naqvi’s FMT reference.

"The DFSA’s findings, as set out in its decision notice dated August 2021, are final," according to the statement.

Dubai-based Abraaj was the largest buyout fund in the Middle East and North Africa until it collapsed in 2018 after investors raised concerns about the management of its $1 billion healthcare fund.

The DFSA on January 27, 2022 imposed a ruling which banned Naqvi from the emirate’s financial centre and included a $135 million fine.

Naqvi, who was a regular