The Central Bank of the UAE (CBUAE) has fined a local exchange house AED 2 million ($545,000) for failing to comply with anti-money laundering and counter-terrorism financing (AML/CFT) rules.
The fine follows an examination conducted by the CBUAE, which uncovered significant breaches of regulatory policies. The action was taken under Article 137 of Decretal Federal Law No. 14 of 2018, which governs financial institutions and their operations.
CBUAE Enforcement and Oversight
The CBUAE issued the sanction after assessing the exchange house’s internal controls and procedures. Inspectors found the company had not met the required AML/CFT standards.
As part of its regulatory role, the CBUAE regularly monitors licensed institutions to ensure they comply with UAE laws. This includes enforcing risk-based policies to prevent money laundering and protect the financial system’s integrity.
Strengthening the Financial Sector
The Central Bank reaffirmed its commitment to transparency and oversight across the sector. It also emphasized that all exchange houses, owners, and employees must follow regulations set by the CBUAE.
This enforcement action is part of a broader effort to build a secure, compliant, and globally respected financial environment in the UAE.
