News / UAE Imposes Financial Sanctions On A Bank For Failing To Comply With AML Policies

UAE Imposes Financial Sanctions On A Bank For Failing To Comply With AML Policies

The financial penalty was imposed under the UAE Article 14 of the Federal Decree Law No. (20) of 2018, which regulates the AML and CFT landscape in the country.

02 min read

On Monday, April 21st, the UAE central bank imposed a financial sanction on a bank for failing to comply with anti-money laundering regulations and countering terror financing policies.

This penalty comes after a detailed examination by the CBUAE, which showed that the bank had failed to meet the necessary AML standards and compliance policies.

This sanction was imposed in line with Article 14 of the Federal Decree Law No. (20) of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism and Illegal Organisations.

This measure is taken in a series of broader efforts made by the Central Bank of the UAE (CBUAE) to optimise the country’s anti-money laundering compliance practices and ensure all financial institutions operating in the UAE jurisdiction comply with its legal and regulatory framework.

Read Also:

A couple of months back, the UAE central bank had taken a similar action targeting some of its financial institutions for non-compliance with AML laws.

For example, just a month ago, five banks and insurance corporations were slapped with a financial penalty worth Dh2.62 million for failure to comply with the reporting procedure as mandated by the country’s Common Reporting Standard (CRS) and the Foreign Account Tax Compliance Act (FATCA) guidelines.

Reportedly, this case highlights how serious the consequences can be for not keeping up with AML compliance in the UAE.

AML Watcher offers real-time AML compliance by offering 3500+ Watchlists, 230+ Sanction regimes, 50,000+ Adverse media monitoring sources, and 2.6 M+ PEP data, which allows institutions to screen high-risk customers and prevent associated risks. Our context-driven data shares required results while reducing false positives, allowing you to manage risk better.

Book Free Demo

AML Watcher’s Free Demo Try 10 searches for free

No commitment needed
Complete AML Database at your service
Access our all-in-one dashboard

Get Our Weekly Brain Dump In Your Inbox

Every week one idea to grow your company and our top picks (news and updates) of the week. Yeah… Like your inbox isn’t already exploding right? What about another weekly email? We know…