Dubai Sets up Special Court to Tackle Money Laundering

  • Richard Marley
  • August 23, 2021
  • 3 minutes read
  • 53

The new court of law has been established to combat money laundering and related financial crimes within Dubai. 

In an attempt to combat financial crimes such as money laundering, Dubai has formed a specialized court with the primary function of meeting AML (Anti-Money Laundering) compliance standards. This move comes as the emirate seeks to revamp the integrity of the financial system by clamping down on money laundering. 

The Dubai Media Office gave a statement on Sunday, whereby it was revealed that the new court will be set up within the Court of First Instance and Court of Appeal.

Under the directive of the Vice President and Ruler of Dubai, Sheikh Muhammad bin Rashid, the UAE recently established the Executive Office of the Anti-Money Laundering and Countering the Financing of Terrorism (AML/CFT) to monitor the enforcement of the country’s AML strategy.

In support of the new body, the Director of Dubai court, Taresh Al Mansouri, stated:

“Reporting money laundering crimes is both an individual and collective responsibility. Society plays a critical role in safeguarding economic and social security and strengthening the efforts of various stakeholders in responding to such crimes.”

Although the country has been dubbed as the “Money Laundering Paradise” on various accounts, the UAE is making strict efforts to combat money laundering and other financial crimes. Last November, the Ministry of Economy set up an AML department, while a court was also established in Abu Dhabi to minimize the threats of money laundering and tax evasion.

Additionally, the country’s central bank also issues guidelines on a regular basis, allowing companies and individuals to assess risks associated with money laundering. Regulators of the country have also teamed up with other central banks and financial regulators to curb financial crimes. 

Another key function of the court will be to help the emirate develop an effective legislative framework and allow it to reinforce compliance with international anti-money laundering law enforcement standards.

Dubai has been intensifying its fight against money laundering. This Saturday, eight criminals and three companies were convicted by the Dubai Misdemeanour Court due to cyber fraud and the laundering of stolen funds amounting to about Dh14 million ($3.81m).

Suggested Read: AML Non-Compliance Penalties Soaring Sky High in the First Half of 2021