The essence of the case: A manager, abusing his position, violated Article 453 of the Criminal Code (Breach of Trust) and caused property damage to the company.
Key violations included:
- Unlawful withdrawal of company funds.
- Creation of a parallel structure and transfer of clients to the newly established company.
Such cases are among the most complex in terms of evidentiary requirements. Nevertheless, our team succeeded in presenting the public prosecutor and the court with irrefutable evidence of intentional actions aimed at causing harm.
The court recognized the facts as proven and delivered a guilty verdict. This decision holds particular significance for the service provider market: it confirms that the UAE takes the matter of good-faith business conduct seriously and protects companies from abuses by top management and shareholders.
This case has become an important precedent: it demonstrates that the Emirates’ judiciary is prepared to provide real protection for businesses against unethical practices.
The case was handled by the international disputes practice led by Ratmir Proskurnov, Partner and Head of the UCL office in the UAE.