The New York Times reports on the case on an Iraqi estate agent who is now serving three years in jail for bouncing cheques.
Mr Ali Fariq 33, was kidnapped and beaten by an Iraqi diplomat, Birhan al-Yacoubi, who blamed him for an investment deal gone sour.
Mr Al-Yacoubi is alleged to have forced Mr Fariq to write cheques drawing on funds he did not have. The cheques were then presented to the police as evidence of fraud for which Mr Fariq is now serving time.
Bouncing a check is a criminal offense in Dubai and that fact has begun raising questions about the fairness of Dubai’s laws, especially among the foreigners who make up about 90 percent of the population.
The overall uncertainty of Dubai’s legal system — especially the risk of doing jail time for debt — has prompted many expatriates to flee when they are in financial trouble rather than filing for bankruptcy and setting out a repayment schedule.
In a recent open letter to “The Dubai Public” Simon Ford the British Founder of a recently closed down travel company in Dubai said. “I am not running away from debt, I am purely protecting those dearest to me and getting out of a country which, due to the lack of structured bankruptcy laws and a banking system which has zero flexibility on loan repayments, drives people to make horrible decisions.
Over the past 12 months I've seen an influx of ex-pats making their way back to Britain, especially those from Spain and the Middle East. Certainly the lure of large sums of cash and sunny climes does seem tempting. But as we've seen time and time again, there's more to life than profit and sunshine....
Keep smiling,
Mr Jackson
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