Though it’s at all times had a popularity for harboring scammers, over the previous yr and a half Dubai cemented itself because the MLM rip-off capital of the world.
This coincided with the unfold of the COVID-19 pandemic. Whereas most nations effected some form of border management, Dubai has remained open for guests.
This has seen virtually each rip-off seeking to maintain dwell occasions flock to the desert metropolis.
Dubai as a metropolis doesn’t have a lot going for it. It’s in the midst of nowhere with an unfavorable local weather. In the event you’re into the substitute nevertheless, Dubai presents the top of superficial indulgence.
That alone isn’t sufficient to lure on the earth’s scammers although. Dubai’s attraction for them runs deeper.
The 2 major causes you’ll see scammers flock to Dubai is a scarcity of extradition treaties and no regulation of MLM associated fraud.
Dubai is a part of the United Arab Emirates (the UAE). The UAE has extradition treaties with solely a small variety of nations;
An instance of a multilateral treaty signed and ratified by the UAE for judicial co-operation is the Riyadh Arab Conference on Judicial Co-operation, which was signed by most Arab nations together with Algeria, Bahrain, Iraq, Jordan, Kuwait, Lebanon, Libya, Morocco, Oman, Qatar, Saudi Arabia and Tunisia.
As well as, examples of bilateral treaties signed and ratified by the UAE for judicial co-operation are quite a few and embrace agreements with Australia, China, Egypt, France, India, Iran, Pakistan, Spain and the UK.
Not one of the Arab nations above are identified for energetic MLM regulation. Of the opposite nations listed, except Spain, once more you’ve got an inventory of nations the place MLM regulation is both non-existent, or usually restricted to nationwide circumstances.
As soon as a scammer flees their native nation for Dubai, these nations don’t pursue the matter. And these scammers comprehend it.
Inside Dubai, as long as they don’t goal UAE locals, scammers are free to rip-off anybody from anyplace.
Stroll down the road with a beer in Dubai they usually’ll throw you in jail. Steal lots of of tens of millions of {dollars} by an MLM Ponzi scheme, and royal households will work with you to hide that cash.
For a value, they’ll additionally give you shelter from pesky authorities attempting to carry you accountable.
That’s for the MLM underbelly elite although. Many of the fraudsters we doc on BehindMLM are secure sufficient simply relocating to Dubai.
With respect to native regulation of MLM fraud within the UAE, there’s none. As long as you rip-off individuals exterior the UAE, Dubai’s authorities received’t carry a finger towards you.
Once more, the scammers relocating there know this.
Along with people, over the previous few years we’ve additionally seen Dubai favored as a jurisdiction to open head workplaces in. That is for a similar causes scammers flock to to the emirate.
For advertising and marketing functions, Dubai sounds unique and definitely its synthetic nature makes for nice picture alternatives.
The place higher to venture wealth to unsuspecting victims than a metropolis constructed on and geared in direction of showcasing wealth?
Whereas right here at BehindMLM we’re hyperfocused on MLM, exterior of this area of interest others have famous the identical pattern we’ve.
The Gulf metropolis of Dubai has been slammed as a “cash laundering paradise” by main anti-corruption group Transparency Worldwide. – Forbes Feb 2019
Dubai dubbed new ‘Costa del Crime’ the place cash talks and British gangsters flock – The Mirror Feb 2021
Israeli criminals ‘flee to Dubai’ to flee arrest at dwelling – The New Arab Dec 2020
Whereas there have been some inroads to chasing down excessive profile criminals (excessive profile = media consideration), MLM scammers aren’t a precedence.
What we’re left with is a jurisdiction MLM scammers can safely flock to and maintain promotional occasions at, receive financial institution accounts to launder cash by and revel in creature comforts they’re accustomed to.
Fleeing to Dubai successfully has no compromises, apart from everyday residing prices.
Not likely a difficulty while you’re residing off different individuals’s stolen cash.
From an MLM due-diligence perspective, till issues change these are some normal guidelines that I’ve discovered maintain true:
- Any time you see somebody concerned in MLM relocating to Dubai, they’re greater than probably operating from a collapsed rip-off and/or authorities.
- Any time you see an MLM firm holding an occasion in Dubai, it’s a rip-off.
- If an MLM firm has a head workplace in Dubai, it’s a rip-off.
- If somebody is operating an MLM firm from Dubai, it’s a rip-off.
There are restricted exceptions to those guidelines. Exterior of the COVID-19 pandemic for instance, I’d be rather less harsh on MLM firms holding occasions in Dubai.
Through the pandemic nevertheless, Dubai’s popularity as a secure haven for criminals has solely gotten worse.
Right here at BehindMLM we’ll proceed to do our full due-diligence when reviewing MLM firms. Once I see Dubai pop up I do shift gears and assume I’m coping with a rip-off, nevertheless it’s by no means the first cause for figuring out an MLM firm as one.
That’s at all times going to be the corporate’s enterprise mannequin.
I’ve discovered myself more and more referring to Dubai because the MLM rip-off capital of the world, because it continues to pop up again and again in my analysis.
Somewhat than simply say so, I assumed this may be a very good article to place collectively to clarify why.
That approach I can hyperlink to it and hopefully extra individuals develop into conscious of what lies beneath Dubai’s glitzy floor.
One final thing to notice is that, whereas Dubai is at present the MLM rip-off capital of the world and has been for a while, that’s not essentially at all times going to be the case.
5 years or so in the past Thailand was the vacation spot of alternative for MLM scammers.
Within the occasion Dubai cleans its act up or another jurisdiction emerged as the brand new MLM rip-off capital, I’ll depart an replace under together with a 2021 date-stamp on this article’s title.