Civil court orders compensation for victims of Forex trading scheme
The judgment was delivered in two separate cases brought against the Kings Capital Holdings and its shareholders, Alhan and Sahban Fahumy.
By
Ahmed Mizyal
On Wednesday, the Civil Court ruled that two individuals who had invested in the Forex trading Ponzi scheme run by former MP Alhan Fahumy are to be compensated with over MVR 1 million, in addition to the profits they were entitled to.
The judgment was delivered in two separate cases brought against the Kings Capital Holdings and its shareholders, Alhan and Sahban Fahumy.
Among the plaintiffs in the cases against Alhan, Sahban and Kings Company:
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One sued to recover MVR 258,750 (MVR 50,000 invested in the scheme, MVR 225,000 in profits and MVR 33,750 in court costs)
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Another person sued for MVR 897,000 ( MVR 200,000 invested in the scheme, MVR 580,000 in profits and MVR 117,000 in court costs)
In both cases, Alhan, Sahban and Kings were ordered to pay the money before March 7. The verdict was handed down in the absence of the defendants.
The central bank, MMA, came to know about a scheme to extort money from the public through social media outlets like Facebook and Telegram, claiming huge benefits in a short period of time, and issued a cautionary statement regarding such ‘investments’ on March 10 last year.
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BML froze Kings Capital Holdings' account following the MMA statement
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MMA's Financial Intelligence Unit (FIU) launched a criminal investigation into the scheme on March
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However, with the unfreezing of the Kings Company account pending the investigation into the case, the scheme was resumed until recently but many of the earlier investors had not been refunded
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Alhan says he has not done anything against the laws of Maldives
In May and December last year, the civil court had ordered a victim of Alhan's scheme to be paid MVR 90,000 and three others to be paid more than MVR 700,000.
