Money Laundering “ML” and Terrorist Financing “TF” are two major risks that threaten economic growth and social stability through the illicit flow of funds and illegal activities. ML and TF pose significant negative impacts on the financial system. Banks and financial institutions are highly exposed to ML and TF risks in their daily operations with customers and other counterparties. Other Designated non-Financial Businesses and Professions “DNFBPs” such as lawyers, accountants and auditors, company service providers, are also exposed to these risks in their business transactions.
International bodies such as United Nation “UN”, Financial Action Task Force “FATF”, The Organisation for Economic Co-operation and Development “OECD” are leading the global efforts to combat ML and TF globally. Governments worldwide have been collaborating on efforts to protect their economies and societies from ML and TF activities.
As an international financial center, different sectors and businesses, products and services are vulnerable to these risk, too. Financial Services Regulatory Authority is the competent authority for AML/CFT compliance which is committed to develop a robust regulatory framework and provide a safe environment for FIs and DNFBPs to operate within.
Financial Crime Prevention Unit “FCPU” established to lead ADGM efforts in promoting sound practices in financial crime compliance which include AML/CFT, and compliance with international tax reporting obligations (i.e. FATCA, CRS). The Unit adopts Risk Based Approach and considers financial innovation in its strategic plans and operational tasks to ensure achieving highest possible level of efficiency and effectiveness.
This webpage aims to provide all stakeholders with some key information in relation to AML/CFT and other financial crime compliance matters. It provides general guidance to FIs, DNFBPs and other stakeholders on ADGM financial crime prevention practices, supervisory approach and major resources to be considered.
It will also serve as a communication channel between FCPU and all Relevant Persons in ADGM.
The Financial Crime Prevention Unit (FCPU) Objectives
As part of its regulatory function, the FCPU team adopts an agile and risk-based approach, coupled with deployment of regulatory technologies and sharing of information, to strengthen its supervisory and compliance capabilities in a variety of ways.
This webpage provides general guidance to ADGM financial institutions, DNFBPs and other relevant stakeholders on our financial crime prevention practices, supervisory approach, and major resources to be considered.
For further information on Risk Based Approach and DNFBPs, please click on the tab below