What are the latest anti-money laundering initiatives in the UAE for 2021?

 As the world’s largest market leader, maintaining the credibility of the financial market and preventing the entry of any criminal organization or illegal act categorized as a breach of trust is critical. Money laundering may be done by individuals or organizations to acquire money, property, or services for personal or commercial benefit.

The government of the United Arab Emirates recently released an updated and more comprehensive anti-money laundering strategy. It includes a list of violations as well as administrative sanctions imposed in order to deter money laundering in the UAE and take effective counter-terrorist financing steps. The regulation is based on UAE federal legislation and is designed to comply with international Anti-Money Laundering (AML) / Combating the Financing of Terrorism (CFT) standards. 

The law is based on UAE federal legislation and is designed in consultation with the Financial Action Task Force to meet international Anti-Money Laundering (AML) / Combating the Financing of Terrorism (CFT) requirements.

Individuals’ activities in the private sector, corporate service providers, and Designated Non-Financial Businesses and Professionals (DNFBPs) in combating money laundering and terrorism financing are among the 26 violations mentioned in Federal Decree-Law №20 of 2018. The tasks were divided into four groups by the officials:

  • Brokers and Real Estate Agents
  • Dealers of Precious Metals & Gemstones
  • Auditors
  • Corporate Service Providersavyanco.com

Registration Process and Deadline:

To keep up with the government’s efforts, businesses in related industries must improve their skills and be aware of the risks that lead to money laundering. To be in safe hands under UAE regulation, the company must register with the Financial Intelligence Unit. The grace period for registering on the two anti-money laundering and anti-terrorist financing schemes has expired, according to the Ministry. If a company fails to comply by the deadline, sanctions will be imposed, including revoking the business license and the corporation’s termination.

Penalties:

After registering with the Financial Intelligence Unit, a corporation is required to follow other system-related procedures in accordance with the Decree-Law provisions. If the corporation is granted leniency, it will be subject to the fines set out in Cabinet Regulation 16 of 2021. The fines range from AED 50,000 to AED 1 million, and depending on the circumstances, they may be doubled up to AED 5 million. The fines range from AED 50,000 to AED 1 million, and they can be doubled up to AED 5 million depending on the law’s provisions and the Supreme Committee for Fighting Money Laundering, Terrorism Financing, and Criminal Organizations’ evaluation.

Are you conducting a business in the UAE and fall into one of the AML categories? Avyanco Group might act as your safeguard. As the leading financial consulting company in the UAE, avyanco team determine your business’s nature and provide you with relevant advice on whether or not your business is controlled. If this is the case, willl file your company details in full confidence and handle the rest of the procedure for you. It will be entirely our duty to keep your company free of fines and legal responsibilities, as well as to provide you with end-to-end financial solutions that will make your job much simpler and easier. contact if you have any questions about Anti-Money Laundering / Combating the Finance of Terrorism or any other audit and Avyanco financial services in the UAE. 



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