Abu Dhabi (Etihad)
The total value of operations and procedures to combat money laundering and combat the financing of terrorism during the year 2021 amounted to about 1.048 billion dollars (3.848 billion dirhams), according to data recently issued by the Executive Office for Combating Money Laundering and Terrorism Financing.
These amounts were distributed between the confiscation of assets worth $625 million (AED 2.3 billion), and $64 million (AED235 million) in fines for non-compliance with combating money laundering and terrorist financing, passing through $5.3 million (AED19.5 million) as a penalty on major financial institutions in The UAE, and penalties of $10.8 million (Dhs39.6 million) on several individuals found guilty of tax evasion and money laundering, confiscation of $109 million (Dh400 million), as preventive measures to combat terrorist financing, and a collective fine of $234 million (892.3 million). Dirhams” on 48 defendants and companies convicted in one case by the Abu Dhabi Courts for money laundering and fraud.
In February of the year 2021, the United Arab Emirates established the Executive Office for Combating Money Laundering and the Financing of Terrorism to coordinate efforts at the national level. 8 assessments in sectoral and subjective risks, within the framework of the national risk assessment.
Forfeitures and fines
In terms of effectiveness, the Executive Office focused on the state’s efforts to have a tangible impact in the face of money laundering and combating the financing of terrorism, and the total value of confiscated assets in 2021 amounted to about $625 million (2.29 billion dirhams), including money laundering and foreign crimes. and other sectors such as gold and precious metals.
In the item of supervision and implementation, the value of fines for non-compliance with combating money laundering and terrorist financing in 2021 amounted to about $64 million (235 million dirhams).
Searching operations
The office also achieved an increase in supervisory inspections for combating money laundering and terrorist financing by about 6,300, compared to 2,812 supervisory inspections in 2019.
The value of the penalty imposed on a major financial institution in the UAE was about $5.3 million (19.46 million dirhams), in addition to monitoring deficiencies related to combating money laundering and terrorist financing.
The office carried out 5,529 desk inspections, including substantive reviews, using a wide range of industry data on AML/CFT collected through supervisory evaluations and models.
The office carried out 794 large-scale and focused field inspections conducted by the supervisory authorities in the Emirates, including follow-up visits.
tax offenses
In the field of combating tax crimes, penalties of $10.8 million (39.65 million dirhams) were imposed on many individuals who were found guilty of tax evasion and money laundering, in addition to seven years in prison. As of 2021, the number of double taxation agreements reached 137. agreement.
In the field of international cooperation, the number of staff in the International Cooperation Department of the FIU has increased by 200% since 2019, and in September last year the UAE and the UK signed a historic partnership to tackle illicit financial flows.
In the area of employment, there was a 150% increase in the number of full-time employees in the Enforcement Department of the UAE Central Bank, and about an 85% increase in resources within the Financial Information Unit.
And the number of employees with experience in combating money laundering and terrorist financing in each competent authority in the UAE increased, and about 34% increased in the number of employees of the Anti-Money Laundering and Terrorist Financing Department and specialists in a range of sectors and regulatory and legal fields from 25 full-time employees in 2019 to 34 full-time employee in 2021.
In the field of preventing terrorist financing, $109 million (400 million dirhams) was confiscated as preventive measures to combat terrorist financing in 2021.
The conviction rate for money laundering reached 98.3% during the period from 2019-2021, in addition to the conviction of 48 defendants and companies convicted in one case by the Abu Dhabi Courts for money laundering fraud, with a collective fine of $234 million (892.3 million dirhams).