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7 UAE Law Firms Penalized in Anti-money Laundering Violations

Around 100,000 dirhams have been fined to 7 law firms in UAE for disregarding anti-money laundering and counter-terrorism financing protocols. 

According to The Ministry of Justice, these penalties were inflicted due to the requirement of Federal Law. The law was established in 2018 for countering illegal financial activities like money laundering, terrorist financing, and illegal businesses. 

The ministry states that these measures taken are in accordance with the UAE’s agenda to take care of the risks involved with financial crimes. The Ministry of Justice is committed to making its AML and CFT protocols strong in the legal profession.   

Many legal measures have been taken to stop non-compliant lawyers. The license of 200 law firms was suspended last month for being non-compliant to fight money laundering. Legal action was also taken by authorities against non-compliant lawyers in regards to controls and procedures. 

According to The Ministry of Justice, the fines against the law firms and professional license cancellation worth up to 5 million Dirhams. 

The minister stated in the statement “However, seven out of the 200 law firms fall short of taking necessary corrective actions, and therefore received a Dh100,000 fine from the Ministry of Justice as per the pertinent laws and regulations.”

Law firms were made to follow the required protocols to ensure AML measures and CFT protocols. The ministry stated that the war against money laundering terrorist financing is of utter priority in UAE. Higher Committee has made decisions for AML and CFT. Foreign Affairs and International Cooperation Minister, Sheikh Abdullah bin Zayed Al Nahyan, has overseen these affairs.