Labour Law Question

I was employed as a supply chain executive in a company for 1 year. I messed up my job and the inventories of the brand which was my responsibility. This lead to me being dismissed under article 120 section c of the UAE law (as per my termination letter). The company still kept me on their visa. Now i.e. 5 months later I have found a new job. But my previous company is refusing to cancel my visa stating that I have caused them a loss of AED 600,000 (which I do not believe to be true.) and they will only release my visa if I make a payment of atleast AED 100,000 else the will file a legal case against me of fraud. I would have gladly paid them but I can get a loan or anything in the situation I am.

Can my company do this. Can they file a case 5 months after dismissing me. As per what I read if i’m dismissed under article 120 section C they need to inform the labour department within 48 hours. Hope you can answer my questions as I am very stressed in regards to the same.

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