Atlas Jewelry Owner Jailed For 3 Yrs For Bounced Cheques

Dubai-based Gold retailer Atlas Jewelry’s founder and Chairman MM Ramachandran, 73 anni, has been sentenced to 3 years in jail for issuing bad cheques worth Dhs 34-M, local dailies reported.

The Indian businessman was sentenced after the Dubai Misdemeanors court rejected his earlier requests for bail.

Mr. Ramachandran was 1st detained by the police in August after some of his cheques bounced.

Reportedly, he issued 2 bad cheques to the banks: 1 worth Dhs 4-M, the other worth Dhs 30-M.

He was also understood to have loans worth $136-M from 15 banks at that time.

Mr. Ramachandran attended his 1st hearing in September where he admitted to issuing the bounced cheques. He requested the court to free him so that he might be able to settle the debts but the judge did not approve the plea.

His lawyer asked to reschedule the hearing so that he could reach a settlement with the banks. But the judge refused saying that he had already postponed the hearing once and Mr. Ramachandran was unable to settle.

The ruling can be appealed within the next 15 days.

Atlas Jewelry was formed in Kuwait in the 1980’s, but later shifted base to Dubai where it grew steadily thanks to the strong demand for Gold, and Gold jewelry. The group also has other businesses including 2 hospitals in Oman.

Mr. Ramachandran’s creditors previously said that they will recoup their money after seizing his assets and selling them off. However, bankers said that such deals will be complicated unless the lenders can meet personally with Mr. Ramachandran.

Stay tuned…

By Mary Sophia

Paul Ebeling, Editor

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