The Dubai Financial Services Authority (DFSA) has reported a third fraudulent investment scheme operating in Dubai.
The authority uncovered the Dubai-hosted web site,
, after being alerted to it by an investor in the Czech Republic.
Using a UAE address and PO box, the web site, which was used to front an unlicensed investment company, aimed to lure customers in Eastern Europe into investing in pre-IPO securities in the US.
The web site has since been closed down, according to the DFSA.
"Cold calling schemes will increasingly occur in the Middle East, as Dubai and other regional centres expand their capital markets," said David Knott, DFSA CEO.
"All investors are advised not to respond to unsolicited telephone calls or e-mails that ask for money or recommend investments without first checking with a trusted and experienced advisor," he added.
The case follows two earlier discoveries by the DFSA of internet scams in the UAE.For all the latest tech news from the UAE and Gulf countries, follow us on Twitter and Linkedin, like us on Facebook and subscribe to our YouTube page, which is updated daily.
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