It says licensed financial institutions (LFIs) including lenders are obliged to:
- Develop internal policies, controls, and procedures to manage risks linked to money laundering and the financing of terrorism.
- Put in place indicators to identify suspicious transactions and activities and file reports to the UAE’s Financial Intelligence Unit
- To regularly screen their databases and transactions against names on lists issued by the UN Security Council and its relevant committees or by the UAE Cabinet before conducting any transaction or entering into a business relationship with any client, whether it is individual or corporate.
“As we continue to enhance the effectiveness of AML/CFT measures to safeguard the UAE financial system, we expect licensed financial institutions to fulfill their duties as well,” Khaled Balama, governor of the CBUAE, said.
“This guidance serves as a key point of reference for licensed financial institutions to ensure their compliance with AML/CFT requirements.”
The latest guidelines came into effect on Monday (13/09/2021), according to the regulator. LFIs have been given a month to comply.
The UAE has revealed various measures to fight and prevent money laundering in the last few months, such as:
- Dubai set up a specialist court in August that will focus on fighting money laundering and other financial crimes in a bid to strengthen the integrity of its financial system.
- Last month, the Dubai Misdemeanour Court convicted eight individuals and three companies for cyber fraud and laundering stolen funds amounting to about Dh14 million ($3.81m).
- In August, the UAE’s Financial Intelligence Unit joined forces with the China Anti-Money Laundering Monitoring and Analysis Centre to exchange information and help crack down on global money laundering and terrorism financing.
The Ministry of Economy also urged real estate agents, gold dealers, auditors, and corporate service providers to register with the relevant anti-money laundering system to avoid revocation of licenses earlier this year.
Source: UAE Central Bank issues new anti-money laundering guidelines (thenationalnews.com)