Companies in the UAE are only allowed to sell data if they have permission to share it or if it’s non-identifiable. Prashanth Vishwanathan / Bloomberg
Companies in the UAE are only allowed to sell data if they have permission to share it or if it’s non-identifiable. Prashanth Vishwanathan / Bloomberg

Selling private data comes with a risk in the UAE



When Anne Nielsen received an unsolicited email from a pri­mary school in Dubai advertising its services, she was alarmed.

Pregnant at the time with her first child, the Dane, a UAE resident for over seven years, hadn’t started inquiring into education options for her unborn child and had never received a communication of this sort before.

Her assumption was that one of her healthcare providers had sold her information to the business in question.

“I wasn’t surprised but I was annoyed. It seems too much of a coincidence that I’m pregnant and all of a sudden I’m contacted by a school,” says the former corporate executive, now mum to a five-month-old daughter. “They shouldn’t be able to pass on personal details.”

Ms Nielsen is not alone. Many UAE residents consider spam email and SMS messages a part of UAE life, therefore are unlikely to make a complaint to the police. While there is no specific data protection law in the UAE, experts say there are several other articles and statutes that cover such actions and companies often do not realise they are taking a risk by sharing private data.

“There is a big problem regarding the lack of awareness exhibited by companies and individuals around what is acceptable in terms of an individual’s private data use,” says Nader Henein, regional director for BlackBerry’s advanced cyber assurance programme. “Selling or passing on an individual’s details such as phone numbers, email addresses or credit card information is definitely not acceptable in the eyes of the law, but because so few people make a complaint this issue goes largely unreported and continues to a high degree.”

Under current rules, companies can sell data if they have permission to share it or if it’s non-identifiable, says Anthony Murray, country manager for the Middle East at Shred-it, a document and hard drive secure disposal company.

Mr Murray says many organisations sell “big data”, for example the number of people registered with a certain medical complaint or aggregated mobile phone data. To sell, a company can contact a data exchange house or data buyer. Sellers need only search online for a buyer, there are hundreds available.

While data can be shared with an individual’s permission, it’s the lack of permission that creates an issue.

“The unauthorised use of personal data is likely to lead to prosecution under the 1987 Penal Code, with the risk of the cyber crimes law also being applied,” says Brendan Walsh, a solicitor at James Berry & Associates. “Our advice to businesses that come into possession of personal data is they should first obtain the client’s consent if they intend using such data, exercise due care and attention in how they utilise that data, even in circumstances where they have consent and finally demonstrate that they have a rob­ust privacy policy in place and a safe means of storage of data, particularly if it’s personal.”

For those who do complain about having their data misused, Mr Henein says the outcome is usually favourable, provided the complainant has proof.

“The authorities take a dim view of those found to be transgressing an individual’s right to privacy and the courts can hand down heavy penalties to those convicted of such an offence,” he says.

According to Mr Walsh, penalties issued under the cyber crimes law, include fines ranging from Dh100,000 to Dh1 million and imprisonment.

Companies should also be aware of the far-reaching implications of the General Data Protection Regulation, which applies to the processing of data for all EU residents – even those based here – which comes with its own punishments.

Privacy and stringent data protection policies are often overlooked by UAE firms too busy with the day-to-day operations. However, experts say such policies are critical to business success.

The Ponemon Institute’s 2015 report, Cost of a Data Breach Study: Arabian Region, found that reputation and the loss of customer loyalty does the most damage to a company’s bottom line. About half of the total Dh13.9 million average cost of a breach is accounted for by lost business.

Mr Murray says managers and business owners have a responsibility to ensure the company protects business, customer and employee data.

“Nearly all multinational companies will have a stringent internal data protection policy in place, but we’ve found through our daily contact with potential clients that even then, the pol­icy often isn’t adhered to in the UAE,” he says.

To protect against this, Mr Murray recommends introducing a business data security policy or hiring a compliance officer to identify risks.

“Businesses tend to align on the cyber side of security and most reputable companies have some focus on controlling data collected through electronic means,” he adds. “However, often this electronic data is later printed off and sold to recyclers or paper traders. This leaves the company and the consumer open to a huge risk of fraud.”

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The specs

AT4 Ultimate, as tested

Engine: 6.2-litre V8

Power: 420hp

Torque: 623Nm

Transmission: 10-speed automatic

Price: From Dh330,800 (Elevation: Dh236,400; AT4: Dh286,800; Denali: Dh345,800)

On sale: Now

The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.

Read part three: the age of the electric vehicle begins

Read part two: how climate change drove the race for an alternative 

Read part one: how cars came to the UAE

The burning issue

The internal combustion engine is facing a watershed moment – major manufacturer Volvo is to stop producing petroleum-powered vehicles by 2021 and countries in Europe, including the UK, have vowed to ban their sale before 2040. The National takes a look at the story of one of the most successful technologies of the last 100 years and how it has impacted life in the UAE.

Part three: an affection for classic cars lives on

Read part two: how climate change drove the race for an alternative 

Read part one: how cars came to the UAE

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Guide to intelligent investing
Investing success often hinges on discipline and perspective. As markets fluctuate, remember these guiding principles:
  • Stay invested: Time in the market, not timing the market, is critical to long-term gains.
  • Rational thinking: Breathe and avoid emotional decision-making; let logic and planning guide your actions.
  • Strategic patience: Understand why you’re investing and allow time for your strategies to unfold.
 
 
COMPANY PROFILE
Name: Almnssa
Started: August 2020
Founder: Areej Selmi
Based: Gaza
Sectors: Internet, e-commerce
Investments: Grants/private funding
German intelligence warnings
  • 2002: "Hezbollah supporters feared becoming a target of security services because of the effects of [9/11] ... discussions on Hezbollah policy moved from mosques into smaller circles in private homes." Supporters in Germany: 800
  • 2013: "Financial and logistical support from Germany for Hezbollah in Lebanon supports the armed struggle against Israel ... Hezbollah supporters in Germany hold back from actions that would gain publicity." Supporters in Germany: 950
  • 2023: "It must be reckoned with that Hezbollah will continue to plan terrorist actions outside the Middle East against Israel or Israeli interests." Supporters in Germany: 1,250 

Source: Federal Office for the Protection of the Constitution

Mercer, the investment consulting arm of US services company Marsh & McLennan, expects its wealth division to at least double its assets under management (AUM) in the Middle East as wealth in the region continues to grow despite economic headwinds, a company official said.

Mercer Wealth, which globally has $160 billion in AUM, plans to boost its AUM in the region to $2-$3bn in the next 2-3 years from the present $1bn, said Yasir AbuShaban, a Dubai-based principal with Mercer Wealth.

Within the next two to three years, we are looking at reaching $2 to $3 billion as a conservative estimate and we do see an opportunity to do so,” said Mr AbuShaban.

Mercer does not directly make investments, but allocates clients’ money they have discretion to, to professional asset managers. They also provide advice to clients.

“We have buying power. We can negotiate on their (client’s) behalf with asset managers to provide them lower fees than they otherwise would have to get on their own,” he added.

Mercer Wealth’s clients include sovereign wealth funds, family offices, and insurance companies among others.

From its office in Dubai, Mercer also looks after Africa, India and Turkey, where they also see opportunity for growth.

Wealth creation in Middle East and Africa (MEA) grew 8.5 per cent to $8.1 trillion last year from $7.5tn in 2015, higher than last year’s global average of 6 per cent and the second-highest growth in a region after Asia-Pacific which grew 9.9 per cent, according to consultancy Boston Consulting Group (BCG). In the region, where wealth grew just 1.9 per cent in 2015 compared with 2014, a pickup in oil prices has helped in wealth generation.

BCG is forecasting MEA wealth will rise to $12tn by 2021, growing at an annual average of 8 per cent.

Drivers of wealth generation in the region will be split evenly between new wealth creation and growth of performance of existing assets, according to BCG.

Another general trend in the region is clients’ looking for a comprehensive approach to investing, according to Mr AbuShaban.

“Institutional investors or some of the families are seeing a slowdown in the available capital they have to invest and in that sense they are looking at optimizing the way they manage their portfolios and making sure they are not investing haphazardly and different parts of their investment are working together,” said Mr AbuShaban.

Some clients also have a higher appetite for risk, given the low interest-rate environment that does not provide enough yield for some institutional investors. These clients are keen to invest in illiquid assets, such as private equity and infrastructure.

“What we have seen is a desire for higher returns in what has been a low-return environment specifically in various fixed income or bonds,” he said.

“In this environment, we have seen a de facto increase in the risk that clients are taking in things like illiquid investments, private equity investments, infrastructure and private debt, those kind of investments were higher illiquidity results in incrementally higher returns.”

The Abu Dhabi Investment Authority, one of the largest sovereign wealth funds, said in its 2016 report that has gradually increased its exposure in direct private equity and private credit transactions, mainly in Asian markets and especially in China and India. The authority’s private equity department focused on structured equities owing to “their defensive characteristics.”

Guns N’ Roses’s last gig before Abu Dhabi was in Hong Kong on November 21. We were there – and here’s what they played, and in what order. You were warned.

  • It’s So Easy
  • Mr Brownstone
  • Chinese Democracy
  • Welcome to the Jungle
  • Double Talkin’ Jive
  • Better
  • Estranged
  • Live and Let Die (Wings cover)
  • Slither (Velvet Revolver cover)
  • Rocket Queen
  • You Could Be Mine
  • Shadow of Your Love
  • Attitude (Misfits cover)
  • Civil War
  • Coma
  • Love Theme from The Godfather (movie cover)
  • Sweet Child O’ Mine
  • Wichita Lineman (Jimmy Webb cover)
  • Wish You Were Here (instrumental Pink Floyd cover)
  • November Rain
  • Black Hole Sun (Soundgarden cover)
  • Knockin’ on Heaven’s Door (Bob Dylan cover)
  • Nightrain

Encore:

  • Patience
  • Don’t Cry
  • The Seeker (The Who cover)
  • Paradise City
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The specs

Engine: 2.0-litre 4-cyl

Power: 153hp at 6,000rpm

Torque: 200Nm at 4,000rpm

Transmission: 6-speed auto

Price: Dh99,000

On sale: now

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MATCH INFO

FA Cup final

Chelsea 1
Hazard (22' pen)

Manchester United 0

Man of the match: Eden Hazard (Chelsea)

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THE LIGHT

Director: Tom Tykwer

Starring: Tala Al Deen, Nicolette Krebitz, Lars Eidinger

Rating: 3/5

How to avoid crypto fraud
  • Use unique usernames and passwords while enabling multi-factor authentication.
  • Use an offline private key, a physical device that requires manual activation, whenever you access your wallet.
  • Avoid suspicious social media ads promoting fraudulent schemes.
  • Only invest in crypto projects that you fully understand.
  • Critically assess whether a project’s promises or returns seem too good to be true.
  • Only use reputable platforms that have a track record of strong regulatory compliance.
  • Store funds in hardware wallets as opposed to online exchanges.
How to protect yourself when air quality drops

Install an air filter in your home.

Close your windows and turn on the AC.

Shower or bath after being outside.

Wear a face mask.

Stay indoors when conditions are particularly poor.

If driving, turn your engine off when stationary.

THE SPECS

Engine: 3.5-litre V6
Transmission: six-speed manual
Power: 325bhp
Torque: 370Nm
Speed: 0-100km/h 3.9 seconds
Price: Dh230,000
On sale: now

THE SPECS

Engine: 6.75-litre twin-turbocharged V12 petrol engine 

Power: 420kW

Torque: 780Nm

Transmission: 8-speed automatic

Price: From Dh1,350,000

On sale: Available for preorder now

Results

Stage seven

1. Tadej Pogacar (SLO) UAE Team Emirates, in 3:20:24

2. Adam Yates (GBR) Ineos Grenadiers, at 1s

3. Pello Bilbao (ESP) Bahrain-Victorious, at 5s

General Classification

1. Tadej Pogacar (SLO) UAE Team Emirates, in 25:38:16

2. Adam Yates (GBR) Ineos Grenadiers, at 22s

3. Pello Bilbao (ESP) Bahrain-Victorious, at 48s

Credits

Produced by: Colour Yellow Productions and Eros Now
Director: Mudassar Aziz
Cast: Sonakshi Sinha, Jimmy Sheirgill, Jassi Gill, Piyush Mishra, Diana Penty, Aparshakti Khurrana
Star rating: 2.5/5

If you go
Where to stay: Courtyard by Marriott Titusville Kennedy Space Centre has unparalleled views of the Indian River. Alligators can be spotted from hotel room balconies, as can several rocket launch sites. The hotel also boasts cool space-themed decor.

When to go: Florida is best experienced during the winter months, from November to May, before the humidity kicks in.

How to get there: Emirates currently flies from Dubai to Orlando five times a week.