Waqar Siddique, a former managing director at the defunct private equity company Abraaj Group, has reached a settlement with the Dubai Financial Services Authority.
Mr Siddique was fined $1.15 million by the DFSA in January 2022 and also prohibited by it from operating in the Dubai International Financial Centre, for “serious failings” in respect of Abraaj.
He subsequently referred the DFSA’s findings for review by the independent Financial Markets Tribunal. As a result of a settlement he reached with the DFSA on October 14, Mr Siddique withdrew his FMT reference and will not contest the DFSA’s findings, the regulator said on Wednesday.
The settlement includes arrangements to secure payment to the DFSA, it said.
The Abraaj Group, which was founded in 2002 and claimed to manage about $14 billion of assets at its peak, was the Middle East’s biggest private equity firm and one of the world’s most active emerging market investors, with interests across Africa, Asia, Latin America and the Middle East.
It was forced into liquidation in 2018 after investors, including the Bill & Melinda Gates Foundation, commissioned an audit to investigate alleged mismanagement of money in its $1bn healthcare fund.
That probe served to deepen scrutiny of the company, and allegations of misappropriation of funds secured from US investors attracted the attention of the Securities and Exchange Commission, as well as other US authorities.
Mr Siddique, who has not been a UAE resident for a number of years, was a member of the Abraaj Group’s senior management team, along with the company's founder Arif Naqvi, who was fined more than $135m and also banned from conducting business in the DIFC “for serious failings” in respect to the company.
Mr Naqvi is in the UK facing extradition to the US, where he faces a trial for fraud and money laundering.
Earlier this month, the DFSA fined KPMG LLP $1.5m and former audit principal Milind Navalkar $500,000 for failing to follow international standards during audits of ACLD for a number of years up to October 2017.
In November 2021, the DFSA fined former Abraaj managing partner Mustafa Abdel-Wadood $1.9m for breaching its rules and deceiving investors, in addition to banning him from conducting any financial services-related business in the DIFC.
He is the only defendant who has appeared in a US court, pleading guilty to seven counts of an indictment against him. He is co-operating with the US government and is out on $10m bail in New York as he awaits sentencing.
In addition to his senior role at Abraaj Group, Mr Siddique was also an authorised individual as Abraaj Capital Limited’s licensed director and was “knowingly involved in certain Abraaj Investment Management Limited (AIML) and Abraaj Capital Limited (ACLD) breaches”, the DFSA said.
Mr Siddique was “knowingly involved in AIML misleading and deceiving investors over the use of their monies within funds managed by Abraaj, including by being a signatory to loan agreements used to produce misleading bank balance confirmations and misleading financial statements”, the regulator said.
He also was “knowingly involved in ACLD’s contraventions of not maintaining its capital requirements” and over a five-year period authorised the majority of temporary cash transfers at quarterly reporting period ends, the DFSA said.
“It continues to be a priority of the DFSA to hold senior individuals to account,” said Ian Johnston, chief executive of the DFSA.
“We have pursued payment of the fine even though the individual and his assets are no longer in the UAE. This demonstrates the DFSA’s commitment to pursuing action against subjects and collecting the fines imposed on them, irrespective of their locations.”
Ten tax points to be aware of in 2026
1. Domestic VAT refund amendments: request your refund within five years
If a business does not apply for the refund on time, they lose their credit.
2. E-invoicing in the UAE
Businesses should continue preparing for the implementation of e-invoicing in the UAE, with 2026 a preparation and transition period ahead of phased mandatory adoption.
3. More tax audits
Tax authorities are increasingly using data already available across multiple filings to identify audit risks.
4. More beneficial VAT and excise tax penalty regime
Tax disputes are expected to become more frequent and more structured, with clearer administrative objection and appeal processes. The UAE has adopted a new penalty regime for VAT and excise disputes, which now mirrors the penalty regime for corporate tax.
5. Greater emphasis on statutory audit
There is a greater need for the accuracy of financial statements. The International Financial Reporting Standards standards need to be strictly adhered to and, as a result, the quality of the audits will need to increase.
6. Further transfer pricing enforcement
Transfer pricing enforcement, which refers to the practice of establishing prices for internal transactions between related entities, is expected to broaden in scope. The UAE will shortly open the possibility to negotiate advance pricing agreements, or essentially rulings for transfer pricing purposes.
7. Limited time periods for audits
Recent amendments also introduce a default five-year limitation period for tax audits and assessments, subject to specific statutory exceptions. While the standard audit and assessment period is five years, this may be extended to up to 15 years in cases involving fraud or tax evasion.
8. Pillar 2 implementation
Many multinational groups will begin to feel the practical effect of the Domestic Minimum Top-Up Tax (DMTT), the UAE's implementation of the OECD’s global minimum tax under Pillar 2. While the rules apply for financial years starting on or after January 1, 2025, it is 2026 that marks the transition to an operational phase.
9. Reduced compliance obligations for imported goods and services
Businesses that apply the reverse-charge mechanism for VAT purposes in the UAE may benefit from reduced compliance obligations.
10. Substance and CbC reporting focus
Tax authorities are expected to continue strengthening the enforcement of economic substance and Country-by-Country (CbC) reporting frameworks. In the UAE, these regimes are increasingly being used as risk-assessment tools, providing tax authorities with a comprehensive view of multinational groups’ global footprints and enabling them to assess whether profits are aligned with real economic activity.
Contributed by Thomas Vanhee and Hend Rashwan, Aurifer
The five pillars of Islam
1. Fasting
2. Prayer
3. Hajj
4. Shahada
5. Zakat
Walls
Louis Tomlinson
3 out of 5 stars
(Syco Music/Arista Records)
In numbers
1,000 tonnes of waste collected daily:
- 800 tonnes converted into alternative fuel
- 150 tonnes to landfill
- 50 tonnes sold as scrap metal
800 tonnes of RDF replaces 500 tonnes of coal
Two conveyor lines treat more than 350,000 tonnes of waste per year
25 staff on site
UK%20record%20temperature
%3Cp%3E38.7C%20(101.7F)%20set%20in%20Cambridge%20in%202019%3C%2Fp%3E%0A
The biog
Name: Dhabia Khalifa AlQubaisi
Age: 23
How she spends spare time: Playing with cats at the clinic and feeding them
Inspiration: My father. He’s a hard working man who has been through a lot to provide us with everything we need
Favourite book: Attitude, emotions and the psychology of cats by Dr Nicholes Dodman
Favourit film: 101 Dalmatians - it remind me of my childhood and began my love of dogs
Word of advice: By being patient, good things will come and by staying positive you’ll have the will to continue to love what you're doing
GIANT REVIEW
Starring: Amir El-Masry, Pierce Brosnan
Director: Athale
Rating: 4/5
'Cheb%20Khaled'
%3Cp%3E%3Cstrong%3EArtist%3A%20%3C%2Fstrong%3EKhaled%3Cbr%3E%3Cstrong%3ELabel%3A%20%3C%2Fstrong%3EBelieve%3Cbr%3E%3Cstrong%3ERating%3A%3C%2Fstrong%3E%204%2F5%3C%2Fp%3E%0A
FIXTURES
December 28
Stan Wawrinka v Pablo Carreno Busta, 5pm
Milos Raonic v Dominic Thiem, no earlier then 7pm
December 29 - semi-finals
Rafael Nadal v Stan Wawrinka / Pablo Carreno Busta, 5pm
Novak Djokovic v Milos Raonic / Dominic Thiem, no earlier then 7pm
December 30
3rd/4th place play-off, 5pm
Final, 7pm
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