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The Recent Fraud in Dubai by Steelite EME and Ronnington TS

Fraud in Dubai Steelite EME and Ronnington TS

We are individuals but fraud affects us all

We know that a great number of people were affected by the enormous fraud in Dubai perpetuated by the companies Steelite Electro-Mechanical Engineering and Ronnington Technical Services.

They stole over AED 15 million, ruining businesses and lives in the process.

We were fortunate in that we were not affected but we know that the steel industry is particularly attractive to fraudsters who put a lot of investment into creating an image that invites trust.

Fraud of this nature not only affects cashflow and the very foundation of a company, it also has a ripple effect on everyone else in that supply chain.

Let’s work together to prevent fraud in Dubai

Fraud in Dubai affects all of us. But currently there is no centralised credit-checking or registration system in the UAE that safeguards PDC’s.

You can take out cheque insurance of course but the insurance companies will only protect you against companies they have already vetted.

Because suppliers want new customers, many will accept the risk of dealing with unvetted companies on credit. They do a few cash deals with a customer and then give enormous amounts of credit.

Fraudsters and scam artists know this pattern and they take advantage of it.

Most businesses rely on taking references from the “market” but unfortunately the current climate means this practice doesn’t work properly and leads to a false sense of security.

The fear of competition and the fear of scarcity means that sometimes there’s a reluctance to give accurate information and some companies will deliberately provide false references because they are scared they will lose the customer themselves.

False references end up hurting all of us.

At BuildMart Gulf, we have always been keen on doing our bit to create a safe trading environment.

One of the ways we do this is by being completely open when you want a reference for a customer.

Follow the correct channels

We would urge you not to contact our salesmen for references because potentially they will feel a conflict of interest and you’ll get an unreliable response. Besides, the salesmen don’t know the payment history and reliability of a customer.

The correct person to call is Ramesh who will be only too happy to help you. You can call him on 050 537 7415.