Abu Dhabi (WAM)
The Executive Office of Anti-Money Laundering and Counter Terrorism Financing (EO AML/CTF) held a meeting to conclude its end-of-year progress review for 2023, which saw the participation of Hamid Al Zaabi, Director-General of EO AML/CTF, and members of the EO AML/CTF Executive Committee.
Hamid Al Zaabi, Director-General of the EO AML/CTF, said, “I am pleased to report that a detailed review of 2023 has shown that the UAE’s AML/CFT system is more dynamic, responsive to threats, and effective as a result of hard work carried out over the 12 months.
The UAE is firmly on track with the objectives set out in the National Strategy and Plan, and the key metrics demonstrate a high level of performance and compliance with international standards. The 2023 end-of-year review highlighted also that the UAE is coordinating closely with international partners on a bilateral basis and through multilateral organisations and memberships.
Al Zaabi added, “We are building a national AML/CFT system that is long-term and sustainable, with the capabilities to counter emerging risks.
"As we look to 2024, engagement with the private sector will continue to be a critical part of our strategy with the participation of the national Public-Private Initiative, the UAE AML/CFT Partnership Forum, which now has a membership of over 50 organisations and in 2023 published an important white paper on the sharing of strategic information. Moreover, the EO AML/CTF sponsored major industry events in 2023 such as the Risk 4.0 forum at the Abu Dhabi Finance Week and the World Police Summit in Dubai.”
45 Mutual Legal Assistance Treaties
The 2023 highlights included the conclusion of new Mutual Legal Assistance Treaties bringing the total to 45, and bilateral continental visits to over 20 countries and agencies. In the period January 2023-October 2023, the UAE sent 200 Outbound Mutual Legal Assistance requests to facilitate the investigation of Financing of Terrorism (FT), Money Laundering (ML) typologies and predicate offences.
The UAE became the first Arab country to join the Asia/Pacific Group on Money Laundering and was granted “observer” status.
Dh249 million fines
The total value of AML/CFT fines imposed by the country's supervisory authorities for the period January-October reached over Dh249 million up from Dh76 million in 2022, representing a more than three-fold increase.
Virtual assets
Another key stride is the implementation of Cabinet Resolution No. (111) of December 2022 on the Regulation of Virtual Assets and Virtual Asset Service Providers (VASP) to enhance robust regulatory framework and support innovation in the sector. VASP risk assessment was updated to identify and assess Money Laundering (ML) and Terrorism Financing (TF) risks emerging from VASPs. The Central Bank of UAE (CBUAE), the Securities and Commodities Authority (SCA) and the Virtual Assets Regulatory Authority (VARA) were identified as the supervisory authorities for VASPs.
Moreover, several Anti-Financial Crime MoUs were signed with counterparts in the Republic of Egypt, the Kingdom of Morocco, and the Republic of Kazakhstan. The UAE started its latest National Risk Assessment, which now stands at an advanced stage with the support of the World Bank Group.
Sanjay Shah extradition
Other highlights include the significant extraditions carried out including the notable case of British hedge fund manager Sanjay Shah to Denmark where he is wanted by judicial authorities for cases of tax fraud and money laundering.
Meanwhile, the UAE’s Public-Private Partnership initiative, the AML/CFT Partnership Forum, saw its membership grow to over 50 and published a white paper on the sharing of strategic information.
The EO AML/CTF also contributed to COP28, which took place in Dubai, as its International Initiative of Law Enforcement for Climate (I2LEC) roundtables saw high-level participation, featuring experts from UNODC, INTERPOL, and ESRI.
EO AML/CTF experts also participated in an industry panel discussion on Illegal Wildlife Trade and its impact on climate change.