Dubai Brokerage Vanishes Overnight, Leaving Indian Investors in Shock and Crores Lost

Dubai—May 21, 2025 In what appears to be a carefully planned exit scam, a Dubai-based brokerage firm, Gulf First Commercial Brokers, has disappeared overnight, leaving dozens of Indian investors devastated and out of pocket. The firm, which promised “safe and guaranteed returns” on forex trading, allegedly fled its offices without warning, triggering panic among clients who now claim to have lost crores of rupees.

Office Cleared Out in the Dead of Night

The firm operated out of suites 302 and 305 at Capital Golden Tower in Dubai’s Business Bay. Until recently, the office was staffed by nearly 40 employees who engaged in aggressive cold-calling to lure clients into high-risk forex investments. But when investors returned seeking answers, all they found were abandoned rooms, stripped of equipment, with only a mop, a dustbin, and silence remaining.

Dubai: Investors lose millions of dirhams as brokerage firm vanishes overnight https://t.co/7L0GY8UW2l

— Khaleej Times (@khaleejtimes) May 20, 2025

“They returned the office keys and left in a hurry,” said a building security guard. “Now people come every day, asking where they’ve gone.”

Indian Expatriates Among the Worst Hit

Several Indian expatriates have stepped forward, detailing how they were misled by relationship managers who operated with a polished script, often speaking in the clients' native languages to build trust.

Fayaz and Mohammad Poyyl from Kerala say they invested around $75,000. “It started with $1,000, then they kept pressuring us to put in more, saying the returns were safe,” Fayaz said, standing outside the now-vacant office space.

Another investor, who requested anonymity, said he lost $230,000. “They even let me withdraw small amounts at first to build confidence. Then came the restrictions, the excuses, and finally, silence.”

Links to Unregulated Trading Platform

Victims claim they were encouraged to trade through Sigma-One Capital, an unregulated online platform allegedly affiliated with Gulf First. In some cases, clients say the two names were used interchangeably by staff, making it difficult to distinguish between the brokerage and the platform.

“They sold a dream of financial security. Now that dream has turned into a nightmare,” said Sanjiv, who says he poured his life savings into the scheme.

Legal Action Begins, Regulators Deny Involvement

The Dubai Police have confirmed a formal complaint has been registered against both Gulf First and Sigma-One Capital. Authorities also clarified that Sigma-One Capital is not registered with the Dubai Financial Services Authority (DFSA) or the Securities and Commodities Authority (SCA)—raising serious questions about how the company operated freely for so long.

“Had we verified their licenses earlier, we could’ve saved ourselves,” said Mohammad, who lost $50,000 in the scam.

Wider Implications for NRI Investors

This latest incident has sparked alarm in Dubai’s expatriate investor community, particularly among Indians, who form a large base of retail investors in the region. The episode highlights the urgent need for stronger regulatory oversight of online trading platforms and foreign exchange brokers operating in the UAE.

With investigations now underway, victims are calling on authorities to trace the perpetrators and recover the stolen funds.

“I came to Dubai to build a future,” said Fayaz. “Now all I have left is regret.”