Embezzlement and Forgery Laws in Dubai

Embezzlement and forgery laws in Dubai are strictly implemented under the Federal Decree‑Law No. 31 of 2021. Embezzlement is the act of misusing funds, documents, or any type of property you are entrusted with. It is a criminal offence, and so is the forgery in which the person deceives his business partner or employer by creating or using false documents for his personal gain.

Embezzlement and forgery both break the trust placed in an individual and are treated as serious financial offences in Dubai. The Dubai law applies to everyone, no matter what position or status they hold. It treats everyone equally, including employees, managers, and other public officials, who use their authority or access to benefit themselves unlawfully.

Dubai adopts a zero-tolerance policy towards financial crimes like embezzlement and forgery. The punishments for such crimes reflect a strict approach towards the safety of the general public. The city has a comprehensive legal system for financial crimes that is designed to ensure financial integrity and public trust. Besides, it also ensures the protection of property, funds, and assets.

Dubai is known to be a center of business, commerce, and investment. People from across the globe tend to invest in and operate businesses. The credit goes to the strong legal system that fully supports the entire system. It assists in maintaining a high degree of confidence in the legal system.

Embezzlement and forgery are both categorised as one of the serious financial crimes in Dubai. They are termed as ‘white-collar crimes’. Both are criminal offences that are dealt with strict penalties. The UAE legal landscape ensures that the offences and victims get justice and fair means towards trial. Embezzlement in Dubai refers to when a person entrusted with funds, money, property, or other assets misappropriates or misuses them for personal gain.

Forgery is the act of falsifying, altering, or creating fake documents. The forged documents are drafted with a clear intention or motive to deceive, damage, or harm the other person illegally. Embezzlement and forgery in Dubai are termed as financial crimes that undermine and breach trust.

It may include activities such as:

• Altering contracts, agreements, or checks
• Creation of false company records
• Falsification of the official or non-official documents
• Misuse of the Power of Attorney POA
• Manipulation of official documents
• Cyber deception

The UAE Federal Law administers these crimes. The Federal Decree-Law No. 31 of 2021 of the Penal Code is applied all across Dubai and in other Emirates.  The law specifically contains the laws, regulations, clauses, and legal provisions. Dubai Courts carefully handle all these cases. They can be categorized under criminal and civil procedure. It all differs from case to case. The prime objective is to serve justice for the victims.

The penalties and punishments will depend upon the nature of the offense and the harm caused. The offenders may face the following:

• Imprisonment
• Hefty fines
• Jail sentence
• Restitution

The jail sentence may range from 6 months to 7 years. There is also a substantial fine attached to the imprisonment, which could be in hundreds and thousands of dirhams, depending on the case. Dubai Courts may order the return of misappropriated or misused funds, property, or assets. In case the embezzlement is related to the public funds, assets, or property of government entities. This could lead to much longer imprisonment and fines. The longer sentences may go up to 20 years or even more.

Forgery is often treated as a separate crime. However, in some cases, embezzlement and forgery are treated alike. Forgery may lead to penalties such as:

• Imprisonment
• Jail sentence
• Heavy fines

Forgery may lead to imprisonment of 1 to 5 years in jail. Falsifying non-official documents results in harsh jail sentences that can go up to 10 years. If there is involvement of a government office, then penalties get harsher. It is accompanied by heavy charges that mainly depend upon the severity and financial impact of the crime.

What are the factors escalating the Penalties (H3)

• There are specific factors and situations that may aggravate the punishments and penalties.  The punishment may increase for offenses committed by individuals at certain designated positions of power. It may include executives, directors, financial managers, and accountants.
• If there is a large-scale financial damage to the business, investor, or individual, this may also result in severe punishments. The repeat offense or organized criminal activities are strictly dealt with in Dubai.

The victims of embezzlement and forgery in Dubai often seek civil remedies. The civil courts normally order the offenders to return the stolen assets, property, or funds. They may request repayment of the financial loss incurred.

Additionally, it provides coverage for the additional harm or damages directly caused by embezzlement and forgery. It may include legal costs, interest costs, reputational damage, operational harm, and much more that may result in compensation.

However, the victim must pursue civil action along with criminal prosecution. Civil suits will help with recovery and seeking compensation. Seasoned Lawyers in Dubai can assist the victims in seeking full recovery and compensation against the losses.

A financial crime begins with the filing of a complaint with the Police department or the Public Prosecution. The procedure of investigation may include:

• Gathering of evidence:
• Forensic accountings
• Expert witness testimony
• Charges and Court trial
• Punitive action

In the era of digitalization, there have been online cases of embezzlement and forgery. To combat financial crimes, Dubai Police and law enforcement have deployed the most advanced and modern digital tools. Few techniques and technologies deployed are as follows:

• Digital Forensic data analysis
• Automated Document authentication systems
• AI-powered monitoring of suspicious transactions

The businesses operating in Dubai can take preventive steps to avoid financial risk. Dubai is a highly competitive market with endless opportunities. The strong measures will make a huge difference. It is suggested that companies have a strong internal control system. In addition, regular financial review and internal audits are highly useful. This will help in detecting the suspicious activities inside the corporation. The companies must develop clear policies that facilitate the reporting of suspected fraud or forgery.

There are several real cases of embezzlement and forgery in Dubai’s history. Here are the two most recent cases that happened in Dubai.

• We all went through a case that happened in April 2025, when a man tried to claim his late father’s property by forging his signature on inheritance papers. He wanted to take full control of the property and leave his younger brother out.
• The case reached Dubai Police after the younger brother noticed something unusual and filed a report. The police immediately handed the documents to the Document Examination Department. Using advanced forensic tools, experts compared the forged signature with genuine ones from official records.
• The results showed clear differences in small strokes and pressure points that didn’t match the real signature. Once confirmed, the forgery was exposed, and the man’s plan collapsed.

Embezzlement and forgery are serious financial crimes in Dubai. These crimes are punished with strict penalties under UAE law. The authorities use strict procedures to detect and investigate such cases and prosecute these offenses. These two crimes destroy trust and damage financial security, which is why Dubai enforces tough measures to stop them.

It is a must for the firms in the UAE to stay alert and maintain evident financial practices. It is the individual’s foremost duty to report suspicious activity immediately and seek guidance from experienced lawyers in Dubai. The lawyers can help both the victims and the accused parties to understand their legal rights and ensure fair proceedings. Embezzlement and forgery laws help in protecting public trust, maintaining business integrity, and keeping Dubai’s financial system safe.