By Articles 87 and 137 of the Decretal Federal Law No. (14) of 2018 regarding the Central Bank and Organisation of Financial Institutions and Activities, the owner and general manager of an exchange house operating in the UAE have been subject to administrative sanctions by the Central Bank of the UAE (CBUAE).
The owner was given the go-ahead to make the necessary corrections by the Central Bank, and the exchange house was forbidden from conducting any business until the appropriate corrective actions were put in place. The CBUAE further forbade the general manager for a year from doing any designated duties at any licensed financial institution in the nation aside from the exchange house in question.
The CBUAE’s examination findings, which showed that the exchange house had rented out its license, resulted in an administrative penalty. As a result, the CBUAE directed the owner to take the steps that the Central Bank determined were necessary to remedy the infringement and forbade the exchange house from undertaking any operations or activities until the remediation was finished.
The CBUAE further forbade the general manager for a year from doing any designated duties at any licensed financial institution in the nation aside from the exchange house in question.
“The CBUAE, through its supervisory and regulatory mandates, works to ensure 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 and the UAE financial system,” the regulator said.
