Anti-Money Laundering Law in UAE- Latest Updates in April 2021

Anti-Money Laundering Registration Deadline is on 30 April 2021

The UAE Ministry of Economy has extended the grace period for the businesses to be in compliance with the Anti-Money Laundering (AML) and Combating Financing of Terrorism (CFT) guidelines till 30 April 2021 for four selected categories of business, as an attempt to control the financial crimes that are on the rise. We will register you on the goAML & automatic reporting systems of the UAE Govt

To register on the goAML, there are two registration stages:

1.The registration stage in the protection system (SACM) of the goAML portal.

2.The second stage is the registration stage in the goAML system.

Before registering for the two stages, you have to prepare the following documents:

• Authorization letter from the institution you represent
• A copy of the passport, resident VISA, Emirates ID.
• A copy of the trade license.
• Download the "Google Authenticator" application on the phone.

Anti-Money Laundering Law in UAE

In November 2020, the Minister of Justice issued ministerial resolutions on setting up specialized courts for money laundering crimes within the framework of the federal judiciary in the courts of Sharjah, Ajman, Umm Al Quwain, and Fujairah.
Each court will have minor, major, and appeals circuits for hearing these types of crimes.

Money Laundering Punishment In UAE

The Ministry of Economy has stipulated heavy penalties for businesses that fail to comply with the Anti-Money Laundering (AML) and Combating Financing of Terrorism requirements by the due date. Businesses that fail to do so will face fines ranging from Dh50,000 to up to Dh1 million and can be raised to Dh5 million based on the provisions of the law and according to the assessment of the Supreme Committee for Combating Money Laundering, and Financing of Terrorism and Illegal Organizations.

AED 1 million penalties will be charged on cases of fake bank accounts, failure to take action against clients listed on international or domestic sanctions list before establishing or continuing with the business.

Here you can with our video of the latest update on AML

What Is Anti Money Laundering (AML)?

Anti-money laundering (AML) refers to the laws, regulations, and procedures intended to prevent criminals from disguising illegally obtained funds as legitimate income. Though anti-money laundering laws cover a limited range of transactions and criminal behavior, their implications are far-reaching. For example, AML regulations require banks and other financial institutions that issue a credit or accept customer deposits to follow rules that ensure they are not aiding money laundering.

AML applies to activities in these categories – 

• Auditors and accountants; 
• Company and trust service providers; 
• Dealers in precious metals and stones; 
• Real estate agents and brokers; 

All these businesses must register with the Financial Intelligence Unit (go AML) and also enroll themselves on the Committee for Commodities Subject to Import and Export Control system (Automatic Reporting System for Sanctions List).

Once the registration is complete, the businesses must adopt other measures related to AML and CFT in accordance with the provisions stated by the Decree-Law.
How can United Auditing Assist you in AML Compliance?

United Auditing audit division of Emirates Chartered Accountants Group can conduct independent assessments of the Anti-Money Laundering (AML), Combating the Financing of Terrorism (CFT)& Restrictions Compliance Frameworks. With more than 15 years of experience in the field of audit and assurance services, our team of experienced professionals can assist you in complying with the new Anti-Money Laundering and Combating the Financing of Terrorism (CFT) regulations. United Auditing will assist you in Register before the deadline (30 April 2021)

Download Cabinet Decision no.16 of 2021

 Anti-Money Laundering Registration Support and Clarification

Mr. Ragesh Mattummal - Partner
+971 50 357 8031
rag@emiratesca.com