The Tenth Felony Court Circuit rejected the defendants’ appeal and confirmed their original conviction on charges of joint misappropriation and money laundering, the court reported. The group had promoted and sold chalets that did not exist at real-estate exhibitions held in Kuwait. Court documents placed the total amount taken from victims at more than KD 3 million. The ruling detailed how the illicit funds were subsequently laundered through various channels to conceal their origin.
According to the judgment, the fraudulent scheme also encompassed a marketed tourism project in Sharm El-Sheikh that investigators confirmed never existed. Defendants used glossy promotional materials and exhibition stands to present the developments as legitimate luxury options. Buyers, including families seeking holiday homes, paid substantial sums before the operation collapsed without any construction taking place. The Criminal Court highlighted the premeditated deception involved in targeting multiple victims over an extended period.
The seven-year prison terms apply to the Kuwaiti citizen and the Egyptian nationals convicted in the case, the court stated. In addition to the jail time, the full KD 5 million fine was imposed collectively on those found guilty. The verdict followed an earlier decision by a lower court that the appeals panel fully endorsed after reviewing all submitted evidence and arguments.
Al Rai newspaper, which first detailed elements of the investigation and trial, reported that the case ranks among notable recent actions against property scams in the country. The Ministry of Commerce and Industry has separately logged rising consumer complaints about unlicensed or fictitious real-estate promotions in the past two years, according to its published annual oversight summaries. Such figures underscore the scale of similar schemes that have surfaced in both local and cross-border markets.
The Public Prosecution presented evidence during proceedings that linked the defendants directly to the organization of the exhibitions and the collection of payments, court records show. No actual land titles, permits or development plans existed for the advertised chalets or the Egyptian resort component. Victims who came forward described being assured of high returns and immediate ownership that never materialized. The final ruling orders the convicted parties to serve their sentences and satisfy the financial penalties without delay.
Kuwait’s wider real-estate sector has expanded rapidly since the pandemic, with official Central Statistical Bureau data placing annual investment in residential and tourism projects in the billions of dinars. The court case arrives as regulators tighten oversight on promotional events to prevent recurrence of such frauds. Authorities have called on prospective buyers to verify all projects through licensed channels before transacting.
