The UAE Public Prosecution (PP) today elaborated on social media regarding the consequences of collecting money without proper authorisation.
Under Article 41 of Federal Decree Law No. 34 of 2021, which addresses Rumours and Cybercrimes, anyone who promotes a competition or cryptocurrency, or who sets up or manages a fraudulent company or portfolio to gather funds from the public for investment, management, use, or development—without the required licence from the appropriate authorities—faces imprisonment.
The maximum sentence is five years, and offenders may also be subject to a fine of between AED 250,000 and AED 1M.
Moreover, the authorities will mandate them to return any funds acquired unlawfully.
These communications are part of the Public Prosecution’s ongoing commitment to cultivating a legal awareness among the UAE’s residents and to keep them informed about the latest laws in the country.