Dubai authority issues Dh367,000 fine to Vedas Marketing over 'deceptive promotions'

The Dubai Financial Services Authority (DFSA) on Tuesday said it fined Vedas International Marketing Management $100,000 (Dh367,000) for "unauthorised and deceptive financial promotions related to the Multibank Group."

The regulator announced that Vedas Marketing conducted unauthorised promotions to individuals in the Dubai International Financial Centre (DIFC), and engaged in misleading and deceptive conduct by representing that certain entities in the Multibank Group were regulated by the DFSA, when in fact, none of the promoted entities were.

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“Upholding the integrity and reputation of the DIFC is one of our highest priorities. The DFSA will not hesitate to act against firms that mislead the public about their regulatory status or location, taking necessary steps to deter such conduct,” said Ian Johnston, chief executive of the DFSA.

The Multibank Group offers trading platforms, and the DFSA has made no allegations of wrongdoing against the Multibank Group itself in the decision.

On June 2, 2024, Vedas Marketing challenged the conclusions in the DFSA’s decision by referring it to the Financial Markets Tribunal (FMT). However, the FMT directed on July 22, 2024, that the reference should be struck out due to Vedas Marketing’s failure to pay the required filing fee for the referral.

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