UAE cracks down on financial crimes with record asset seizures

The UAE has reported significant strides in its ongoing efforts to combat money laundering and terrorist financing, seizing assets worth over AED 2.348 billion ($639 million) last year for rule violations.

Hamid Al Zaabi, Secretary-General of the National Committee for Anti-Money Laundering and Countering the Financing of Terrorism and Illegal Organizations (NAMLCFTC), outlined the nation’s progress in tackling financial crimes. This initiative aims to protect the integrity of the UAE’s financial and economic systems, as well as to safeguard the global financial network.

Speaking at the 2024 Asia Pacific Group on Money Laundering Annual Meeting and Technical Assistance and Training Forum in Abu Dhabi, Al Zaabi discussed recent updates to the UAE’s anti-money laundering and counter-terrorism financing regulations.

In 2023, the UAE levied fines exceeding AED 254 million ($69 million) related to money laundering violations and seized assets valued at over AED 2.348 billion ($639 million).

The Central Bank conducted more than 115 field inspections, resulting in fines totaling nearly AED 113 million ($31 million), while the Ministry of Economy carried out 3,371 inspections, imposing fines of AED 101 million ($27 million). Suspicious activity reports in the gold sector soared from 223 in 2021 to 6,432 in 2023.

This led to a significant enforcement crackdown, with fines amounting to AED 78.65 million ($21 million) and the suspension of 32 local gold refineries for non-compliance with anti-money laundering laws, citing 256 violations between July and October 2024.

The UAE has also strengthened its international cooperation, signing 45 mutual legal assistance treaties, with plans to expand these agreements in 2024 and 2025.

In a recent move, the UAE Cabinet appointed the NAMLCFTC to replace the Executive Office for Anti-Money Laundering and Countering the Financing of Terrorism, transferring all its rights and obligations to the newly established body, in line with amendments made under Federal Decree Law No. (7) of 2024.