An Al Ain civil, commercial and administrative court has ordered a trading broker to repay $124,361 to a young investor after ruling that he violated their agreement by using excessive risk strategies and oversized leveraged trades that quickly depleted the account.
The court terminated the trading arrangement, ordered the return of financial losses, and awarded the claimant Dh10,000 in moral damages, in addition to legal costs and fees.
Court documents showed that the investor had deposited around $135,501 in digital currency (USDT) into a trading platform account and allowed the broker to manage it in exchange for a 30% share of profits. Messages between the parties indicated a target return of 1–5% daily and a stop-loss limit of 8% per trade.
A court-appointed expert found that the broker exceeded agreed risk limits, used margin trading beyond the available capital, and adopted an unprofessional high-risk approach. The expert report also revealed that a costly execution method generated more than $46,000 in platform fees within days, accelerating the investor’s losses.
The court ruled that these actions constituted a breach of contract, justifying termination of the agreement and restitution under civil transactions law.
