ABU DHABI: The Central Bank of the UAE (CBUAE) has imposed a financial sanction of AED3 million on a local bank after an examination revealed non-compliance with UAE anti-money laundering laws. The action was taken under Article 14 of Federal Decree Law No. (20) of 2018 concerning Anti-Money Laundering and the Combating of the Financing of Terrorism and Illegal Organisations.
According to a statement from CBUAE, the sanction was also aligned with Article 137 of the Decretal Federal Law No. (14) of 2018, which regulates the Central Bank and the organisation of financial institutions and their activities. The penalty was the result of regulatory assessments indicating that the bank failed to adhere to the Central Bank’s set instructions, specifically those outlined in the decree laws regarding transparency, due diligence, and risk monitoring in financial transactions.
This latest enforcement underscores the CBUAE’s commitment to upholding the integrity of the UAE’s financial system. The Central Bank reaffirmed that it will continue to ensure that all licensed banks and financial institutions in the country comply with national regulations and international best practices to protect the UAE’s economy from financial crimes.
The CBUAE also reiterated its ongoing efforts to strengthen the supervisory framework and promote full compliance with the UAE’s anti-money laundering (AML) and counter-terrorism financing (CTF) laws to safeguard financial stability and international trust.
