The UAE’s Ministry of Economy has taken action against 50 establishments, suspending their operations for a period of three months. The suspension, effective in the third quarter of 2023, comes as a response to these entities’ failure to register in the anti-money laundering system known as goAML, administered by the Financial Intelligence Unit.
The Financial Intelligence Unit plays a crucial role in combating money laundering and the financing of terrorism. It receives reports on potentially suspicious transactions via the goAML system and conducts meticulous analyses of financial activities. This proactive approach is aimed at preventing financial crimes that could undermine the UAE’s commitment to adhering to the requirements set forth by the International Financial Action Task Force (FATF).
The Ministry of Economy has noted that its regulatory oversight extends to the “designated non-financial business and professions sector” within both the mainland and free zones of the UAE. This sector encompasses a range of activities, including real estate brokerage, precious metals and stones trading, auditing, and corporate services.
The suspended firms will only be able to resume their operations upon successful registration in the goAML system. Failure to rectify their status within the designated three-month period will result in more severe penalties being imposed.
The move by the UAE’s Ministry of Economy underscores the nation’s commitment to maintaining the highest standards of financial integrity and security. It sends a clear message that compliance with anti-money laundering measures is not negotiable and that stringent actions will be taken against entities that fail to meet these critical regulatory requirements.
This initiative aligns with the UAE’s broader efforts to safeguard its financial system against illicit activities and uphold its reputation as a responsible and trustworthy global financial hub.