Arif Naqvi

Last updated

Arif Masood Naqvi
Arif M. Naqvi - World Economic Forum on the Middle East 2008.jpg
Naqvi in 2008
Born
Arif Masood Naqvi

(1960-07-13) 13 July 1960 (age 64)
Karachi, Sindh, Pakistan
Citizenship Pakistan
Saint Kitts and Nevis [1]
Education Karachi Grammar School
Alma mater London School of Economics
OccupationBusiness

Arif Masood Naqvi (born 13 July 1960) is a Pakistani-Kittian businessman, who was the founder and chief executive of the Dubai-based private equity firm, The Abraaj Group and Aman Foundation. The Abraaj Group was founded in 2002 and operated in Africa, Asia, Latin America, Middle East, Turkey and Central Asia, and is currently in liquidation due to accusations of fraud.

Contents

Early life and education

Naqvi was born in a business family. His father was a small plastics manufacturing company owner. [2] He completed his early education from Karachi Grammar School and graduated from London School of Economics. [3]

Career

Arif Naqvi began his career with Arthur Andersen in London and American Express in Karachi. [4] In the early 1990s, he joined The Olayan Group in Saudi Arabia, the Kingdom's largest trading company. In 1994 he started an investment firm in Dubai called Cupola with $50,000 of his own savings. [5] In 1999, Naqvi purchased Inchcape Middle East, for $102 million, with $4.1 million in equity, making it the MENA region's first leveraged buyout. [6] Naqvi then sold off pieces of the company for a total of $173 million. [7]

In 2002, Naqvi founded Abraaj Capital, and in 2012 the company merged with Aureos Capital to become The Abraaj Group. As of March 2018, Arif Naqvi has stepped down as CEO of The Abraaj Group, as the company has become the subject of multiple investigations regarding its fund management practices. [8]

Naqvi is known as a collector of art and for establishing a collection of Middle Eastern art. [9] In 2018, art owned by Naqvi was sold through Christie's for £2 million. [10]

In September 2017, "while Arif was in New York, the employee broke ranks and sent an anonymous email to investors"…"about years of wrongdoing at Abraaj". [11] [12]

In January 2018, Bill and Melinda Gates Foundation, and three other investors in Naqvi's Abraaj Growth Markets Health Fund recruited forensic accountants to investigate where their money had gone. [13] [14]

In February 2018, World Bank and the Bill and Melinda Gates Foundation wanted to know why over $200 million in cash was sitting with the fund, and not invested. [15]

In February 2018, Naqvi was accused by Andrew Farnum [11] at the Bill and Melinda Gates Foundation, and other investors of misappropriating funds, leading to the provisional liquidation of The Abraaj Group. [13] The company also came under investigation by regulators in Dubai. [16] [17]

Also in October 2018, the Wall Street Journal published an article that Abraaj Group allegedly paid US$20 million to Pakistani businessman, Navaid Malik, for his assistance in securing cooperation of the Sharif brothers for the sale of its investment in Pakistan's utility, Karachi Electric. [18]

On 5 April 2019, Naqvi was arrested by authorities in the United Kingdom after he was charged by the United States Department of Justice with fraud, misleading investors and misappropriating $230 million from Abraaj Growth Markets Health Fund. [19] [20] [21] In early May 2019, Naqvi was granted bail by a London court pending a hearing for his extradition to the United States, with restrictions including a record £15 million GBP (US$20 million) surety and other conditions amounting to effective house arrest. [22]

In July 2019, two Abraaj entities were fined US$315 million by the Dubai Financial Services Authority and Naqvi was sentenced to three years imprisonment in absentia in the United Arab Emirates on charges of financial fraud. [23] [24] [25]

In November 2021, High Court Judge Philippa Whipple adjourned the matter Naqvi extradition until a point of law was resolved in another similar high-profile extradition case - that of Nirav Modi, an Indian diamond tycoon. [26]

In December 2022, the 'point of law' appeal, was denied and the High Court also refused permission for Modi, to appeal to the Supreme Court of the United Kingdom and he was ordered to pay associated legal costs of £150,247, for the application. [27]

In January 2022, the Dubai Financial Services Authority personally fined Naqvi $135.6 million for his role in the collapse of Abraaj. [28]

In July 2022, the Financial Times revealed in its article results of its investigation that Abraaj founder Arif Naqvi's Cayman Islands-incorporated company Wootton Cricket Ltd bankrolled Pakistan's political party, Tehreek-e-Insaf (PTI) which is led by former Prime Minister Imran Khan during 2013, after receiving funds from companies and individuals including at least £2 million in April 2013 from Sheikh Nahyan bin Mubarak al-Nahyan, a United Arab Emirates government minister who is also a member of the Abu Dhabi royal family and Chairman of Pakistan's Bank Alfalah. [29] Naqvi was under UK house arrest and was electronically tagged while on £15 million bail as he fought extradition from the UK to the US.

On 8 March 2023, Naqvi lost his challenge to extradition from London to the United States, as a UK High Court Judge refused Naqvi permission to bring a judicial review against the 2021 approval of his extradition to the United States. This means that the extradition order authorized by the then UK Home Secretary Priti Patel will be executed, and Naqvi will be sent to a US prison to undergo his trial on fraud allegations by US authorities. [30] [31] [32] [33] [34]

Philanthropy

In 2008, Naqvi and his family established the Aman Foundation, a local, not-for-profit trust in Pakistan, focusing on health, nutrition and education. [35]

Awards

In 2007, Naqvi was granted the Sitara-i-Imtiaz by the Government of Pakistan, in recognition of his outstanding service in the field of public services. [36] In 2015, Naqvi was awarded with the BNP Paribas Grand Prix for Individual Philanthropy by BNP Paribas. [37]

Naqvi is a founding commissioner of the Business & Sustainable Development Commission (BSDC), alongside Paul Polman and Mo Ibrahim. [38]

Further reading

Related Research Articles

<span class="mw-page-title-main">KPMG</span> Multinational professional services and accounting company firm

KPMG International Limited is a multinational professional services network, and one of the Big Four accounting organizations, along with Ernst & Young (EY), Deloitte, and PwC. The name "KPMG" stands for "Klynveld Peat Marwick Goerdeler". The initialism was chosen when KMG merged with Peat Marwick in 1987.

<span class="mw-page-title-main">Air Arabia</span> Low-cost airline of the United Arab Emirates

Air Arabia is an Emirati low-cost airline with its head office in the A1 Building Sharjah Freight Center, Sharjah International Airport, United Arab Emirates (UAE). The airline operates scheduled services to 170 destinations in the Middle East, North Africa, the Indian subcontinent, Central Asia, and Europe to 22 countries from Sharjah, 28 destinations in 9 countries from Casablanca, Fez, Nador, and Tangier, 11 destinations in 8 countries from Ras Al Khaimah, and 6 destinations in 4 countries from Alexandria. Air Arabia's main base is Sharjah International Airport. There are also operating bases in Ras Al Khaimah and Abu Dhabi as well as in Alexandria and Casablanca.

<span class="mw-page-title-main">Mike Lynch (businessman)</span> British entrepreneur (born 1965)

Michael Richard Lynch is a British technology entrepreneur, known as the co-founder of Autonomy Corporation and the founder of Invoke Capital. Lynch additionally became a co-founder, alongside Invoke Capital, of cybersecurity company Darktrace. He has also had various other roles, including those in an advisory capacity.

<span class="mw-page-title-main">Emirates Hills</span> Community in Emirate of Dubai, United Arab Emirates

Emirates Hills is a gated community located in Dubai, United Arab Emirates. It is named after Beverly Hills.

EFG Holding S.A.E. is an Egyptian financial services company present in the Middle East, North Africa, Sub-Saharan Africa, and South Asia regions and specializes in securities brokerage, asset management, investment banking, private equity and research in addition to finance lease, factoring, microfinance, Financial technology, mortgage, and insurance. EFG Holding serves a range of clients including sovereign wealth funds, endowments, corporations, financial institutions, high-net-worth clients and individual customers. EFG Hermes is listed on the Egyptian Exchange (EGX) and London (LSE) stock exchanges. EFG Hermes has offices in Egypt, the United Arab Emirates (UAE), the Kingdom of Saudi Arabia (KSA), Pakistan, Oman, Kuwait, Jordan, Kenya, Nigeria, UK, United States and Bangladesh with over 4,500 people from 25 nationalities. They serve clients from the Middle East, North Africa, Europe and the United States. Currently, EFG Holding is listed as number 13 in Forbes' Top 50 Listed Companies in Egypt 2023.

<span class="mw-page-title-main">The Abraaj Group</span> Private equity firm based in Dubai, UAE

The Abraaj Group was a private equity firm operating in six continents that is currently in liquidation due to accusations of fraud. The firm was founded by Pakistani businessman Arif Naqvi and was based in Dubai, United Arab Emirates.

<span class="mw-page-title-main">Naqvi</span> Sayyid clan

The Naqvis are people found predominantly in Iran, Iraq, and the South Asian countries. They claim descent from the Imam.

Brian Leopoldo Brivati is a British historian. He was a professor of contemporary history at Kingston University and worked as a director of the John Smith memorial trust from 2008 to 2012.

<span class="mw-page-title-main">Actis Capital</span> British investment firm focused on the private equity

Actis is a global investment firm focused on the private equity, energy, infrastructure, and real estate asset classes.

Zabeel Investments is the personal investment vehicle of Sheikh Hamdan bin Mohammed al Maktoum, Crown Prince of Dubai and chairman of the Dubai executive Council.

Kaleil Isaza Tuzman is a former entrepreneur associated with digital media, who spent more than 20 years in that industry before being convicted of multiple counts of fraud in 2017. Tuzman started his career at Goldman Sachs, was co-founder of GovWorks.com, served as President of JumpTV, and then as chief executive officer and chairman of KIT Digital, Inc. On September 7, 2015, he was arrested in Colombia and held in a Bogotá prison until being extradited to the United States to face charges of fraud and market manipulation in connection with the defrauding of investors in KIT Digital and two investment funds. He was convicted on all counts in December 2017.

<span class="mw-page-title-main">Selcuk Yorgancioglu</span>

Selcuk Yorgancioglu is a Turkish/British financier. 'Yorgancioglu' is the founding partner of Tork Partners, an advisory and investment platform he founded in 2019 to invest with, advise and help manage private and institutional investors into Turkey and regional emerging markets. He also serves on the board of Bluegrove Equity Partners, a private equity firm focused on sustainable investments, and growth opportunities globally. A keen believer in e-commerce in growth markets, Yorgancioglu acted as a strategic advisor to the executive management of GittiGidiyor, a full subsidiary of eBay between 2020 and 2022. He also served as an independent board member and vice chairman of the risk & audit committee in BUPA Acıbadem Insurance company, a full subsidiary of BUPA UK between 2019 and 2023.

<span class="mw-page-title-main">Naya Nazimabad</span> Place

Javedan Corporation, doing business as Naya Nazimabad, is a housing project that is being developed, built around the Manghopir Lake.

<span class="mw-page-title-main">Sanjay Shah</span> British businessman

Sanjay Shah is a Dubai-based British trader and currently being accused for tax fraud. He founded Solo Capital, a hedge fund firm which closed in 2016, and the NGO Autism Rocks, which closed in 2020.

<span class="mw-page-title-main">Nirav Modi</span> Indian diamond dealer and Man accused in the PNB bank scam

Nirav Deepak Modi is an Indian-born Belgian businessman and criminal who was charged by Interpol and the Government of India for criminal conspiracy, criminal breach of trust, cheating and dishonesty including delivery of property, corruption, money laundering, fraud, embezzlement and breach of contract in August 2018. Modi is being investigated as a part of the $2 billion fraud case of Punjab National Bank (PNB). In March 2018, Modi applied for bankruptcy protection in Manhattan, New York. In June 2018, Modi was reported to be in the UK applying for political asylum. In June 2019, Swiss authorities froze a total of US$6 million present in Nirav Modi's Swiss bank accounts along with the assets.

<span class="mw-page-title-main">Josh Lerner</span> American economist

Josh Lerner is an American economist known for his research in venture capital, private equity, and innovation and entrepreneurship. He is the Jacob H. Schiff Professor of Investment Banking at the Harvard Business School. According to Web of Science on June 16, 2023, he has 165 indexed publications and a Hirsch index of 66, and over 74,000 citations on Google Scholar, which puts him in top 5% of economics researchers in the USA. His research encompasses investments, startups, venture capital and private equity.

Arif Habib Corporation Limited, also known as the Arif Habib Group, is a Pakistani business conglomerate headquartered in Karachi, Pakistan. The corporation was founded by Pakistani businessman Arif Habib.

The Punjab National Bank Fraud Case relates to fraudulent letter of undertaking worth ₹12,000 crore issued by the Punjab National Bank at its Brady House branch in Fort, Mumbai; making Punjab National Bank liable for the amount. The fraud was allegedly organized by jeweller and designer Nirav Modi. Nirav, his wife Ami Modi, brother Nishal Modi and uncle Mehul Choksi, all partners of the firms, M/s Diamond R US, M/s Solar Exports and M/s Stellar Diamonds; along with PNB officials and employees, and directors of Nirav Modi and Mehul Choksi's firms have all been named in a charge sheet by the CBI. Nirav Modi and his family absconded in early 2018, days before the news of the scam broke in India.

Network International Holdings provides technology-enabled payments as a service to merchants and financial institutions in the Middle East and Africa. It is listed on the London Stock Exchange and is a constituent of the FTSE 250 Index.

The Dubai Islamic Bank (DIB) fraud case was a case originally brought in 2008 that involved the alleged embezzlement of 1.8 billion Dirhams by a group of six bank executives and expat businessmen over the period 2004-2007.

References

  1. ↑ "Former Abraaj CEO Denied Bail After Being Called Flight Risk". Bloomberg. 26 April 2019. Retrieved 24 July 2019.
  2. ↑ Tirmizi, Farooq (5 November 2018). "The heir to Agha Hasan Abedi". Profit by Pakistan Today.
  3. ↑ "Arif Naqvi". www.theamanfoundation.org.
  4. ↑ "A financial fairytale: how one man fooled the global elite". the Guardian . 14 July 2021. Retrieved 12 January 2023.
  5. ↑ MacBride, Elizabeth (23 November 2015). "The Story Behind Abraaj Group's Stunning Rise In Global Private Equity". Forbes. Retrieved 25 September 2017.
  6. ↑ Hamdan, Sara (27 April 2011). "Mideast Private Equity Pioneer Looks Beyond the Unrest". The New York Times. Retrieved 25 September 2017.
  7. ↑ Tirmizi, Farooq (5 November 2018). "The heir to Agha Hasan Abedi". Pakistan Today. Retrieved 8 May 2019.
  8. ↑ Kane, Frank (31 May 2018). "Dubai should get a grip on Abraaj before somebody else does". Arab News. Retrieved 7 May 2019.
  9. ↑ Gleadell, Colin (30 October 2018). "What the sale of one man's multi-million dollar collection tells us about Middle Eastern art today". The Telegraph. ISSN   0307-1235 . Retrieved 19 October 2019.
  10. ↑ Gleadell, Colin (15 October 2019). "Twenty pieces of art belonging to controversial banker for sale at up to £1.6m". The Telegraph. ISSN   0307-1235 . Retrieved 19 October 2019.
  11. 1 2 Primack, Dan (29 November 2021). "Private equity's biggest Ponzi scheme". Axios . Retrieved 12 January 2023.
  12. ↑ Getlen, Larry (21 August 2021). "How Bill Gates was wrongly'robbed' of $100 million by a Pakistani con man" . Retrieved 12 January 2023.
  13. 1 2 Alloway, Tracy; Nair, Dinesh; Martin, Matthew (14 June 2018). "The Downfall of Dubai's Star Investor". Bloomberg Businessweek .
  14. ↑ Louch, William; Ballard, Ed; Clark, Simon. "Abraaj Investors Hire Auditor to Trace Money". WSJ . Retrieved 12 January 2023.
  15. ↑ Thomas, Landon Jr (2 February 2018). "Leading Private Equity Firm Accused of Misusing Funds". The New York Times . Retrieved 12 January 2023.
  16. ↑ Arnold, Tom; Cornwell, Alexander (4 July 2018). "Dubai regulator probes Abraaj over alleged mismanagement". Reuters. Retrieved 8 May 2019.
  17. ↑ Warde, Ibrahim (November 2019). "A firm too good to be true, Billion-dollar debts, family pay-offs". Le Monde diplomatique .
  18. ↑ Clark, Simon (16 October 2018). "Private-Equity Firm Abraaj Raised Billions Pledging to Do Good—Then It Fell Apart". The Wall Street Journal. Retrieved 20 August 2022.
  19. ↑ "Arif M. Naqvi and Abraaj Investment Management Limited (Release No. LR-24449; Apr. 11, 2019)". sec.gov . Retrieved 12 January 2023.
  20. ↑ "SEC Amended Complaint: Arif M. Naqvi and Abraaj Investment Management Limited" (PDF). sec.gov. 16 August 2019. Retrieved 12 January 2023.
  21. ↑ "Abraaj executives facing criminal charges in US". PitchBook.com.
  22. ↑ Wiggins, Kaye (3 May 2019). "Former CEO Gets Record $20 Million Bail". Bloomberg.com. Retrieved 6 May 2019.
  23. ↑ "Abraaj founder sentenced to 3 years in prison by UAE court: report". DAWN.COM. 9 August 2019.
  24. ↑ Decision notice
  25. ↑ Decision notice
  26. ↑ Shah, Murtaza Ali (13 November 2021). "UK judge delays Arif Naqvi's extradition to US". The News International (Pakistan). Retrieved 11 December 2021.
  27. ↑ "Fugitive Nirav Modi loses bid to appeal against extradition to India in UK Supreme Court - Times of India". The Times of India. 15 December 2022. Retrieved 11 January 2023.
  28. ↑ "Abraaj's Naqvi fined $135.6 Million Over Firm's Collapse". Bloomberg. 27 January 2022. Retrieved 3 February 2022.
  29. ↑ Clark, Simon (28 July 2022). "The strange case of the cricket match that helped fund Imran Khan's political rise". The Financial Times. Retrieved 20 August 2022.
  30. ↑ "BBC Two - Billion Dollar Downfall: The Dealmaker". BBC. Retrieved 11 January 2023.
  31. ↑ "Arif Naqvi | Financial Times". www.ft.com. Retrieved 11 January 2023.
  32. ↑ Blackburn, Tom (11 January 2023). "The spectacular rise and fall of private equity tycoon Arif Naqvi". BirminghamLive. Retrieved 11 January 2023.
  33. ↑ Tobin, Sam (8 March 2023). "Abraaj founder loses challenge to U.S. extradition on fraud charges". Reuters. Retrieved 9 March 2023.
  34. ↑ "Abraaj founder fails in final attempt to prevent extradition to the US". Financial Times. 8 March 2023. Retrieved 9 March 2023.
  35. ↑ "Aman Foundation | Transforming Lives |". Archived from the original on 7 March 2016. Retrieved 28 February 2016.
  36. ↑ "President of Pakistan confers Sitara-e-Quaid-e-Azam on Al Abbar". Emirates News Agency. 23 March 2007. Retrieved 18 January 2017.
  37. ↑ Bladd, Joanne (29 June 2015). "Dubai entrepreneur Arif Naqvi wins philanthropy award". PhilanthropyAge.
  38. ↑ "Commissioners | Business & Sustainable Development Commission".
  39. ↑ "CIVIL ACTION Plaintiff - Eastern District of Pennsylvania" (PDF). Retrieved 6 August 2023.

Sources

This page is based on this Wikipedia article
Text is available under the CC BY-SA 4.0 license; additional terms may apply.
Images, videos and audio are available under their respective licenses.