The two men found guilty of swindling hundreds of investors through fake investments in Dubai face jail terms of six years in their appeal hearing which starts on Tuesday.

Danny Klomp and Remco Voortman were jailed for 3.5 years and banned from practising as financial advisors for five years at their original 2010 trial.

Both the public prosecution department and the two men are appealing against the earlier convictions.

‘They have shown no regret for what they did and not enough money has been recovered,’ a department spokeswoman said. ‘Meanwhile, there is a feeling in society at large that this sort of crime requires tougher punishment.’

Investments

Over 400 people put a combined €31m into Palm Invest, which was advertised in glossy television adverts, promising returns of 9%.

But most of the cash went on funding the lavish lifestyle of the founders. The prosecution claimed the duo were spending €35,000 a day in 2007. The money went on jewelry, clothes, watches, travel and cars. Cash withdrawals from their bank accounts totalled €900,000.

The scam ran from 2005 until police stepped in in January 2008.