Abraaj founder Arif Naqvi denied bail, case adjourned

Abraaj founder Arif Naqvi denied bail, case adjourned

Dubai - Naqvi and a former colleague have been accused of inflating positions held by the group in order to attract more funds from investors.

By Staff Report

Published: Sun 28 Apr 2019, 1:57 PM

Last updated: Sun 28 Apr 2019, 10:18 PM

Arif Naqvi, the founder of the Abraaj Group, has failed to secure bail from a London court and his case has been adjourned until May 24.

"Naqvi was remanded in custody until that date," a court official said on Friday.

The Abraaj Group founder, who was arrested earlier this month in London, appeared at Westminster Magistrates Court for the latest stage of his extradition battle on US charges of defrauding investors.

A former managing partner of Dubai-based Abraaj, Sev Vettivetpillai, was released on conditional bail to appear again at Westminster Magistrates Court on June 12, the court official said.

Under the US charges, both men are accused of defrauding US investors by inflating positions held by Abraaj in order to attract greater funds from them, causing them financial loss, the official said.

Vettivetpillai could not be reached for a comment.

Naqvi, in a statement released through a PR firm, has pleaded innocent.

The US Securities and Exchange Commission alleges that Naqvi and his firm raised money for the Abraaj Growth Markets Health Fund, collecting more than $100 million over three years from US-based charitable organisations and other US investors.

Naqvi and Vettivetpillai were arrested in Britain earlier this month. Another executive, Mustafa Abdel-Wadood was arrested at a New York hotel, Assistant US Attorney Andrea Griswold said at a hearing in Manhattan federal court on April 11.

Abdel-Wadood appeared at the Manhattan hearing and pleaded not guilty to securities fraud, wire fraud and conspiracy charges.

With inputs from Reuters

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