Jail for bounced cheques "makes no sense" - UK judge

Posted by: Meezan Sunday, 29 July 2012 9:06 PM[UAE] - uae

@ Bugle, you seem to have an issue with developers but you do not seem to point any finger at the impetuous lot who jumped the bandwagon and bought into unrealistic projects; this is what happens to those who don't do their homework before buying anything leave alone a property. Off-plan property has its own benefits so long as you buy it from a credible developer with a good track record, otherwise you are taking a huge risk.

Posted by: Bugle Monday, 30 July 2012 2:56 PM[UAE] - UK

The topic here is about criminal intent. Not about people making bad decisions . You can blame investors for not doing their homework (even that is debateable given that many wll known developers have let people down) but you can't blame them for purposely wrtiting bad cheques with an intent to defraud the banks which is an accustaion made by several writers. However you can blame developers for not meeting contractual obligations, taking peoples money and not delivering , not compensating and still not being held to account. If the projects were unrealistic like you say they should have been stopped by the relevant body.

Posted by: Geko Monday, 30 July 2012 2:53 PM[UAE] - Dubai

@Meezan, if Palm is realistic, what is unrealistic in your encyclo?
If Nakeel of 2006 was incredible, who else?
No homework succeeded, when it comes to bandwagon, of course you remember suksuk.

Some ex-insurance claim surveyors should confirm the reasons behind jailing. Is that mandatory for the banks to submit police report against any policy or refinance claim?

Posted by: Salvatore Monday, 30 July 2012 2:51 PM[UAE] - Italy

Can you please name credible developers with good track record that have not at one moment or another breached his contractual obligations?

Posted by: Sanda Sunday, 29 July 2012 2:22 PM[UAE] - UAE

I want to ask those who are in favor of jailing, how this goes with the below article from the Arab Charter on Human Rights - which UAE has retified and which states that "No one who is shown by a court to be unable to pay a debt arising from a contractual obligation shall be imprisoned." (Article 18). You all, google it out and explain how - when you prove that you are unable to pay - can you get jailed?

Posted by: iqbal Sunday, 29 July 2012 9:28 AM[UAE] - UAE

I am an ex-banker and i agree with Michel. It is the bank's primary duty to do it's due diligence prior to lending and not rely on an undated or post dated cheque. Moreover the property is mortgaged to the bank and if the developer did not deliver as contracted the bank has to first use it''s first recourse against the developer and not it's client that has been defrauded.
Banks want the police & courts to become their debt collectors and this is not right.

Posted by: Salawy Sunday, 29 July 2012 9:27 AM[UAE] - Uae

To Faheem and Essam, imagine the following: you are working in a good company, progressing well in your career, and then you decided to invest in real estate, to buy your home using a mortgage on 20 years, why not.
2 years later, your company decides to make your job redundant, not because you are bad, just because recession forced companies to down size. Now you are jobless, banks sends you to jail, the question is are you a criminal? Is it your fault that you believed in the dream the country offered to expats or locals? Off course not?
Laws Needs to be revised to regulate properly between owners, banks and development companies.

Posted by: Johnny Smith Saturday, 28 July 2012 3:34 PM[UAE] - United Kingdom

I am delighted to see the ruling of the UK Judge as it demonstrates that there is still justice in the world. Amanda is a normal business woman who have bought a property in all good faith. She had to give cheques at the time of the purchase and was perfectly capable to meet her mortgage repayments when she was working (there is no fraud there).

As it was outlined clearly in the Judge's words ?Illness, accident and unemployment are not outside the ordinary course of human events over a 20 year period" meaning that anyone of us could be in her shoes. you can fall sick whilst you have a mortgage, you can lose your job, or you may have an accident that does not allow you to continue with your repayments.

Dubai has failed to realise these normal human events, not only Amanda has lost her property, she lost the AED 800,000 paid as a lump sum and God knows what else, got a bad name she had to leave Dubai in a hurry and move her life to another country. ADCB on the other hand is the winner