Exchange house to pay penalty of Dhs496,000 for failing to block money laundering, terror financing

The Central Bank of the UAE (CBUAE) imposed on April 18, 2021, a financial sanction on an exchange house operating in the UAE, pursuant to Article 14 of the Federal Decree-law No. (20) of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism and Financing of Illegal Organisations.

CBUAE’s examination findings revealed that the exchange house had a weak compliance framework to prevent money laundering and financing of terrorism.

The CBUAE imposed a financial sanction of Dhs496,000 on the exchange house. In determining the amount of the sanction, the CBUAE considered the exchange house’s poor compliance history.

As the supervisory authority of exchange houses operating in the UAE, the CBUAE is actively overseeing that all exchange houses, their owners, and staff abide by the UAE laws, regulations, and standards adopted by the CBUAE to safeguard the transparency and integrity of the exchange houses’ business.
WAM