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The Ministry of Economy has highlighted the businesses that must register for the AML system. All the non-financial businesses and professions have been asked to comply with the regulatory measures by registering with the Committee for Commodities Subject to Import and Export Control System and in the Financial Intelligence Unit.
The businesses have been granted an extended grace period till 31st March to register for the AML system before they face any penalties including the cancellation of the license and the closure of the business.
The government of the UAE is taking strong measures to combat the illicit financial flow and terrorism funding. Now the businesses have been issued a deadline of 31st March to register for the anti-money laundering system or face the consequences.
The businesses that were urged to register with the Financial Intelligence Unit and Committee for Commodities Subject to Import and Export Control include real estate agents, gold dealers, auditors, and service providers. They must report through this automatic reporting system to avoid facing penalties.
The Ministry is working on an awareness campaign and the targeted groups are being urged by the government to take on strong anti-money laundering measures as a part of the campaign. The campaign consists of measures that will help the government to reduce the money laundering and terrorism funding activities in the jurisdiction.
The ministry has highlighted the significance of developing the required measures that are established in Law No.20 (2018) by the executive regulation of the Federal Decree. The law is created to confront financial crimes. The UAE Cabinet has recently issued a list of violations that contains fines and penalties for those who will neglect to take the necessary measures.
The penalties include the fines of AED50,000 to AED1 million and depending on the provisions of the law, these fines can be doubled to AED5 million as well. Supreme Committee for Combating Money Laundering and Financing of Terrorism and Illegal Organisations will provide a final estimation of fines.
The Ministry’s website contains all the information regarding the requirements. The sectors listed on the website include all the businesses including non-financial and activities that are exposed to the money laundering risks.
The business category has been divided into four categories according to the executive AML regulations aligned with the international standards provided by the Financial Action Task Force (FATF).