Israeli 'Banker' Arrested in Colombia Over $16.7 Million Dubai Fraud

An Israeli businessman, known as 'the Banker,' has been arrested in Colombia following an Interpol alert in connection with a $16.7 million fraud case against a bank in Dubai. The United Arab Emirates has already sentenced him to five years in prison, and his extradition to the UAE is currently being considered. The arrest was carried out by the Criminal Investigation Unit and Interpol, in cooperation with Colombian immigration authorities.

According to reports, Mizrachi and his associates allegedly posed as senior investors and representatives of legitimate commercial projects. To gain trust, they reportedly used forged bank guarantees, contracts, and financial documents, organizing meetings and presentations to create a facade of legality before convincing bank representatives to transfer funds. The total damage attributed to the network is estimated at around $16 million, with some funds allegedly transferred to accounts of companies linked to Mizrachi, including WYB AG General Trading.

Authorities claim the involved parties used fake transfer orders to delay payment demands, gain time, and move the funds abroad. Mizrachi was reportedly sentenced in the Emirates to five years in prison on November 29, 2022. Spain had previously refused to extradite him, with its National Court ruling that his trial in the Emirates lacked "a complete absence of professional legal defense."

Reports indicate that the suspects presented a forged transfer order for 101 million euros to suggest the transaction was legitimate, with the funds allegedly split among several accounts and transferred out of the country. Mizrachi has been described in various publications as a businessman active in real estate in Mexico and Canada, with past ownership of restaurants, hotels, and limousine services in Quebec.

There are discrepancies in the details of the arrest and the suspect's age, with one report stating he is 61 and was arrested on October 15, and another reporting a 62-year-old arrested on the night of October 14 after arriving on a flight from Madrid. A decision on the extradition request has not yet been reported, and the process in Colombia is currently in the legal and diplomatic handling stage with UAE authorities.