The issue of private investment portfolios managed by a number of unqualified people caused a great uproar in economic circles, especially after the reservation against “A.Q,” who wasted several millions of depositors’ money without thinking about investing the huge sums he received in real projects or assets.
Since the announcement of the case, a kind of fear has been created among other people who willingly left their money to the owners of other private wallets, committing to pay the profits and return the invested amounts on the specified date. Fears arise in them that the owners of these wallets will do as “A.Q” did, according to savers who contacted «Emirates Today».
Recently, rumors have been circulated about the Chairman of the Board of Directors of Al Boom Holding Company, Abed Rahi Al Boom, as the “hammer” of private portfolio management in the country. It was said that he grew up in a simple family and succeeded, by managing other people’s money, in creating a fortune that exceeded eight billion dirhams.
In an interview with Emirates Al-Youm, Al-Boom denied that he had committed a legal violation in managing other people’s money. He also denied reports that there were complaints against him by those who handed him their money to invest.
700 depositors
He admitted that he had already received money to invest from about 700 people, but he refused to estimate the size of the amounts he managed on behalf of others, stressing that the size of these funds had been exaggerated contrary to the truth, especially since the recent period witnessed a large number of individuals withdrawing their money from his real estate portfolio, to transfer these funds. To the owner of one of the private wallets in Abu Dhabi that was recently seized.
The Chairman of the Board of Directors of Al Boom Holding Company said: “When I started receiving money to invest, there was no legal prohibition on such a matter, especially since it was done without bad faith, and it was through a number of friends and acquaintances who trusted me and asked me to invest their money in real estate projects.” Based on one-year contracts, and without specifying a specific percentage of profits, that is, the matter was more like a partnership, especially since the license issued to me by the “Department of Economic Development” specified the activities of the commercial license in investment. In each of the commercial, industrial and agricultural projects, their establishment and management.
He added, “The contract signed between me and the clients specified the scope of investment in real estate projects, with the client being given a bank check for the amount, and here it is worth noting an important point, which is that the money that I received from people to manage it was matched by funds invested from my personal funds equivalent to twice these amounts.” In addition, after raising the issue of private wallets, I completely stopped receiving new funds for more than seven months, and a large number of people withdrew the amounts that were in my possession to deposit them in one of the private wallets. In Abu Dhabi, which was giving a return of up to 30%, and of course the return that was given was not able to compete with this fabulous return.
Al-Baum continued, “The issue that was preventing me from obtaining a license from the Central Bank was the requirement to have at least eight founders, and such a matter did not suit me, as I did not want to have partners in the company that I founded and grew over several years. At the present time, I am in the process of reconciling all my legal statuses and obtaining the necessary licenses.”
He stressed that “Al Boom Company” does not suffer from any problems with depositors at the present time, and there are no complaints against me in any of the regulatory authorities, especially since the total assets of my 14 companies operating under the umbrella of “Al Boom Holding” amount to several times the amounts that I received it from people.”
He added, “Coordination is currently underway with the Central Bank of the Emirates and the Department of Economic Development, to return the remaining amounts to depositors according to a timetable and after legalizing the situation. We can reinvest these funds again if customers so desire.”
He pointed out that “what was reported about delaying the disbursement of profits to depositors over the past months is inaccurate. All that happened is that due to the desire of a large number of people to recover their money at the same time, to invest it in one of the wallets, the disbursement of the return was delayed by several days, and the whole matter will end within a period of time.” It exceeds a month, as the refund process will take place over a short period of time.
Precautionary measures
In response to a question about what was said about his personal subjection to precautionary measures by the Dubai Police, Abed Al Boom denied this, and said, “The matter does not go beyond normal precautionary measures to secure depositors’ funds, and some of these measures were requested by me personally, to confirm the good intentions and soundness of my position, and it is sufficient that the principles What the company owns already exists, and I cannot carry it in a bag and run abroad with it.”
He denied smuggling the bulk of his money out of the country under the pretext of investing it in global projects, explaining that “such a matter is not true, as all that was transferred abroad were small amounts to purchase lands for projects abroad, as well as expenses for the company’s offices abroad, and the rest is in the assets.” Within the country, or as bank accounts known to the Central Bank of the Emirates.
He continued, “On the contrary, at the present time, we as a company are more affected abroad than at home, as I face difficulties in adhering to the requirements for implementing project contracts abroad, due to my desire to settle my situation in the Emirati market, to the point that the company’s industrial project in Yemen stopped, and I was unable to complete the contract.” The oil refinery in the state of Benin, and therefore was subject to the penalty clause in the contract. Another project in Djibouti was temporarily halted after the land was allocated to me, and I was about to start selling units for the project, which includes constructing a number of villas and real estate units in cooperation with local investors and companies.”
Unfair competition
Regarding the reasons for the uproar that arose around him recently, Al-Baum explained that some of the owners of private wallets wanted to ruin his reputation, after he succeeded in his work and became a model of commitment, and also that the fame he gained after he sponsored a number of sports tournaments aroused the jealousy and envy of some, in addition to The unfair competition in the field of “business” and the entry of a number of people with unsound consciences was the reason for this uproar in which one of the local radio stations participated without being careful about the accuracy of the matter. The information you transmitted about me, without referring to any of the company’s officials.”
He said, “Some said that my wealth exceeded three billion dirhams, and I heard that it reached six billion, while some inflated the number to eight billion, which are very exaggerated numbers, and government agencies know the real number.”
A journey of success
Chairman of the Board of Directors of Al Boom Holding Company, Abed Rahi Al Boom, pointed out that he “started working in the business more than six years ago with the savings of his father and family, which did not exceed 7 million dirhams at the time.” Through a small tourism company, wealth began to grow, and the boom came after the free ownership system was allowed in Dubai. I founded a small real estate brokerage company that grew little by little until it became “Al Boom Holding” that includes 14 companies working in various fields, including real estate, advertising, tourism, travel, decoration, and others. “Fields.”
Al-Baum concluded by saying, “Whoever tries to discredit the company should know that I, as an Emirati citizen, am keen on the savings of my countrymen, and that the assets of my companies inside the country cannot be carried in a bag and fled abroad, and my response to the promoters of such rumors will be practical within the few days.” “The next one will come with a surprise that will strengthen the company’s credibility and reputation among citizens.”