The DFSA requires Authorised Firms, Ancillary Service Providers and Authorised Market Institutions to have in place an effective Anti-Money Laundering/Counter Terrorist Financing (AML/CTF) regime that prevents them from being used for criminal activities. Assessing the effectiveness of the AML/CTF controls established and maintained by these regulated entities forms a vital component of DFSA’s ongoing risk assessment process.
All regulated entities must appoint an anti-money laundering officer who has been assessed by the DFSA as fit and proper, and who is responsible for the entities’ compliance with AML/CTF requirements. As a matter of course, all firms are required to meet obligations under sanctions imposed by the United Nations Security Council (UNSCR).
Most importantly, the DFSA requires prompt reporting of any suspicious transactions and activities to the federal Financial Intelligence Unit of the UAE (ie AMLSCU) with a notification to the DFSA.
A firm is expected to establish effective AML/CTF systems and controls in order to prevent opportunities for money laundering and terrorist financing.