AML UAE & goAML Registration- Anti-Money Laundering Regulation UAE

UAE Extended ESR Deadline to March 31st, 2021.

Anti-Money Laundering Regulations in UAE

Money laundering is a problem across the globe, among other countries that have taken steps to combat financial, organised, and terrorist crimes, the UAE maintains a strong Anti-Money Laundering (AML) system to protect against the possibility of money laundering and terrorist financing.

Anti-money laundering in UAE in other words AML in UAE is primarily based on UAE federal legislation, developed to meet the international AML/CFT standards set out in the recommendations of the Financial Action Task Force (FATF). Important acts of federal legislation governing AML in Dubai include:

1. Federal Law No. 4 of 2002, Concerning Combating Money Laundering and Terrorism Financing Crimes

2. Federal Law No. 1 of 2004, Decree on Combating Terrorism Offences

3. Federal Law No. 20 of 2018, On Anti-Money Laundering and Combating the Financing of Terrorism and Financing of Illegal Organisations

In addition to federal UAE-wide laws, the separate and complementary DIFC Regulatory Law 2004 imposes specific AML/CFT regulations on the special economic zone, under the jurisdiction of the DFSA. Article 7(1) of the Regulatory Law 2004 requires firms within the DIFC to comply with the obligations imposed under UAE federal law.

The Federal Decree-law No. (20) of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism and Financing of Illegal Organisations creates an obligation on all Relevant Persons to report suspicious activities directly through its electronic system or by any means approved by the Financial Intelligence Unit (“FIU”) of the UAE Central Bank.

All Suspicious Transaction Reports (“STRs”) are to be submitted to the FIU using the ‘goAML’ portal. Registration on the ‘goAML’ portal is mandatory for all Relevant Persons including Designated Non-Financial Businesses (“DNFBPs”).

The goAML in UAE is an application that is a fully integrated software solution developed specifically for use by Financial Intelligence Units (FIU's) and is one of UNODC's strategic responses to financial crime, including money-laundering and terrorist financing. Financial Intelligence Units play a leading role in any anti-money laundering regime as they are generally responsible for receiving, processing, and analyzing reports made by financial institutions or other entities according to the requirements of domestic anti-money laundering laws and regulations.

Such reports and other information gathered by FIU's often provide the basis for investigations into money laundering, terrorist financing, and other serious offenses. goAML is specifically designed to meet the data collection, management, analytical, document management, workflow, and statistical needs of any Finance Intelligence Unit. The goAML application was developed by the Information Technology Service (ITS) of UNODC in partnership with the UNODC Global Program Against Money Laundering, Proceeds of Crime, and the Financing of Terrorism (GPML).

Things to know Before goAML Registration in UAE:

To register on goAML you need to know that there are two registration stages:

1. The first stage: the registration stage in the protection system (SACM) of the goAML portal.

2. The second stage is the registration stage in the goAML system.

Note: (You will not be able to open the goAML portal page without successfully passing through the SACM portal by putting the username that you will obtain from the registration stage of the SACM protection system and the password from the Google Authenticator application)

Before registering for the two stages, you must prepare the following:

1. Authorisation letter from the institution you represent (download the form).

2. A copy of the passport, resident VISA, Emirates ID.

3. A copy of the commercial trade license (for companies).

4. Download the "Google Authenticator" application on the phone. (This application contains the password for the SACM protection system, which is a password that changes every minute)

Note: All documents must be added in one attachment with a total size of less than 1MB.

To learn more about how to register your company in the goAML system and how to file suspicious transaction reports (STRs), please click on the following links according to your commercial activity:

Further info at: https://www.economy.gov.ae/english/AML/pages/goaml-registration.aspx

The good news is that the UAE’s Ministry of Economy has extended the deadline for AML/CFT registration until March 31, 2021, for certain Designated Non-Financial Businesses and Professions (DNFBPs) including.

1. Real estate brokers and agents.

2. Dealers in precious metals and stones.

3. Account auditors/Accountants

4. Company Services Providers (these included businesses involved in assistance to companies for registration, partnerships with foreign or local companies and agents).

Under the new measures, it is mandatory for businesses to:

1. Appoint/outsource a Compliance Officer.

2. Perform the due diligence measures.

3. Report suspicious transactions.

4. Register in the automatic reporting system for sanction lists.

For further information and reading, please visit https://www.economy.gov.ae/English/aml/pages/goaml-registration.aspx

We at Bens Chartered Accountants and its affiliates Consultancies are helping businesses in protecting their organisations from financial crime which is a complex task that requires special skills, knowledge, and expertise. The Risk Advisory team of BensCA mitigates businesses' reputation and exposure to risks of money laundering and terrorist financing.

Our team work with you to help you meet regulatory requirements, our experienced pool of professionals establish an advisory partnering with you on a continuous basis to always keep your organisations fully compliant.

Bens Chartered Accountants in an Accounting & Bookkeeping Firm in Dubai helping businesses across UAE, GCC, and Internationally in Accounting, Tax, and Compliance. Our team of expert professionals works in collaboration with management to establish a mutual partnering to protect your business interests, continuity, and sustainability.