Drive against money laundering, financing of terrorism activities
ABU DHABI/January 31-2021: The Central Bank of the UAE (CBUAE) imposed financial sanctions on 11 banks operating in the UAE in under the drive against money laundering and financing of terrorism activities.
The names of the banks have not been disclosed by the Central Bank.
The financial sanctions imposed on January 24, 2021 by the Central Bank of UAE (CBUAE) amounted to a total value of AED45.76 million.
The financial sanctions take into account the banks’ failures to achieve appropriate levels of compliance regarding their AML & Sanctions Compliance Frameworks as at the end of 2019.
“The action was pursuant to Article 14 of the Federal Decree Law No. (20) of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism and Financing of Illegal Organisations (AML/CFT Law), the pertinent articles and decisions of the Cabinet and Central Bank Board of Directors in relation to AML/CFT,” the Central Bank statement said.
It also added that all banks operating in the UAE have been allowed ample time by the CBUAE to remedy any shortcomings and were instructed in the middle of 2019 to ensure compliance by the end of that year, informing them that further shortcomings would result in penalties under the Federal Decree Law No. (20) of 2018 and its executive regulation.
The CBUAE will continue to work closely with all financial institutions in the UAE to achieve and maintain high levels of AML/CFT compliance and will continue to impose further administrative and/or financial sanctions, as per the law, in cases of non-compliance.