Gulf First Commercial Brokers, a brokerage firm formerly operating in Business Bay’s Capital Golden Tower, unexpectedly vacated its offices, leaving behind empty spaces and unanswered questions. Until recently, the firm employed around 40 staff members and actively reached out to clients for forex investment opportunities. Now, their suites remain deserted with disconnected phone lines and evidence of a rapid exit.
Investors Face Financial Losses
Several investors, including expatriates from India, have reported significant financial losses linked to Gulf First’s sudden disappearance. Mohammad and Fayaz Poyyl from Kerala said they invested $75,000 through the firm. Fayaz shared that initial small deposits were encouraged by relationship managers who promised smooth trading and early returns, leading to additional investments over time.
Allegations of Misleading Practices
Investors describe a pattern where early profits were shown to gain trust, but later withdrawals were blocked, and riskier trades were pushed to increase deposits. The trading activity was reportedly conducted via Sigma-One Capital, an online platform that is not licensed by Dubai’s financial regulatory authorities.
Regulatory Authorities Take Action
Dubai Police have confirmed that investigations are underway into Gulf First Commercial Brokers and Sigma-One Capital. Authorities noted that Sigma-One Capital lacks licensing from the Dubai Financial Services Authority (DFSA) and the Securities and Commodities Authority (SCA). Affected investors are pursuing legal recourse as the case develops.
Ongoing Investigations and Warnings to Investors
The case has highlighted the importance of verifying credentials and regulatory approvals before investing. Dubai’s financial regulators continue to warn investors to exercise caution and ensure proper licensing when dealing with trading platforms and brokers.
