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Pension dispute settled: UAE court orders man, mother to repay Dh697,800 to sisters


Dubai: A federal civil court in the UAE has ordered a man and his mother to repay nearly Dh697,800 to his two sisters after ruling they had unlawfully withheld pension payments due to the women for almost a decade, Emarat Al Youm reported.

The court found that the siblings had appropriated the sisters’ share of their late father’s pension, which was disbursed by a government pension authority between 2009 and 2018. In addition to the repayment, the court awarded each sister Dh25,000 in compensation for material and emotional damages, along with legal interest of 5 percent until the full amount is settled.

Pension funds diverted

According to court filings, the sisters said they only learned of the diversion when the pension authority requested their bank account details to transfer payments directly. By then, they discovered that their brother had been collecting the pension on their behalf but redirecting it into his own account, claiming it was used to cover household expenses.

Defence arguments rejected

The defendants argued that the case was invalid on procedural grounds and claimed the statute of limitations had expired. They also contended that the brother had been mandated by other heirs to receive and use the pension.

However, a court-appointed financial expert confirmed that pension payments amounting to Dh697,788.40 had been deposited into the brother’s account until August 2018, with each sister entitled to Dh348,894.20.

Court ruling

In its judgment, the court dismissed the procedural objections, stating the case concerned funds seized without legal basis rather than a dispute with the pension authority. It described the actions of the mother and son as “misappropriation of money,” citing Article 304 of the Civil Transactions Law, which states: “On the hand is what it has taken until it is returned.”

The judges highlighted the seriousness of depriving the sisters of their rightful inheritance for nine years, particularly given it was carried out by close family members. Applying provisions of the Civil Transactions Law on liability for wrongful acts, the court ordered the defendants to jointly repay the full amount owed, plus damages and interest.



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