UAE cracks down on money laundering
The United Arab Emirates (UAE) announced Tuesday October 9, a new law cracking down on money laundering as part of worldwide efforts to dry up financial resources for terrorism.
Offenders face up to seven years in jail and fines of 300,000 dirhams ($82,000) for transferring or depositing hot money with intent to conceal its origin. Money linked to illegal arms deals, drug trafficking, kidnapping, piracy, terrorism and corruption all fall under the legislation rubber-stamped Tuesday by the government, the Emirati news agency WAM reported.
A special anti-money laundering cell will also be set up at the Central Bank which on September 27 ordered the freezing of accounts and investments of 26 individuals and organizations suspected of financing terrorist activities.
That came after US President George W. Bush published a list of 27 individuals and groups seen as linked to terrorism and the attacks on New York and Washington, and urged world governments to follow suit. The decree is part of an international effort to disrupt terrorists' global financing networks.
Bahrain issued new legislation against money laundering in January, setting a maximum penalty of seven years in jail and a fine of up to one million dinars ($2.6 million). Bankers say the oil-rich Gulf monarchies are particularly vulnerable to money laundering because they host large foreign communities, making the movement of capital hard to control. — (AFP, Abu Dhabi)
© Agence France Presse
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