Federal Decree-Law No. (20) of 2018  On Anti-Money Laundering, Combating the Financing of Terrorism and Financing of Illegal Organizations (security and safety law)

Article (1) 
In application of the provisions of this Law by Decree, the following words and phrases shall 
have the meanings assigned to each of them, unless the context otherwise requires:  
State  : The United Arab Emirates.  
Ministry  : Ministry of Finance.  
Minister  : Minister of Finance.  
Central Bank  : Central Bank of the United Arab Emirates.   
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 Governor  : Governor of the Central Bank.  
Committee  : The National Committee for Anti- Money Laundering, Combating 
the Financing of Terrorism and Financing of Illegal 
Organisations.  
Unit  : Financial information unit.  
Regulatory Body  : Federal and local authorities authorised by legislations to control 
financial institutions, designated non -financial businesses and 
professions and virtual asset service providers, non -profit 
associations, or the competent authority to approve the practice 
of the activity or profession if the legislations do not determine 
the regulatory body.  
Law Enforcement 
Bodies  : Federal and local authorities, entrusted under their legislation in 
force, to carry out offences combating, investigating and 
evidence- gathering, including money laundering and financing 
of terrorism and financing of illegal organisations.  
Relevant Authorities  : 
Governmental bodies authorised to enforce any provision of this 
Law by Decree in the State.  
Original Offence  : Any action that forms a felony or misdemeanour under 
legislations applicable in the State, whether such action is 
committed inside or outside the State whenever it is penalised in 
both states.  
Money Laundering  : Any of the actions specified in Clause (1) of article (2) of this Law by Decree.  
Financing of terrorism  : 
Any of the actions specified in Articles (29 and 30) of the 
aforementioned Federal Law No. (7) of 2014.  
Illegal Organisations  : 
Organisations criminalised to be established or organisations 
that have a criminalised activity.  
Financing of Illegal : Any material action or legal behaviour aimed at providing funds  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 Organisations  for an illegal organisation, one of its activities or one of its 
members.  
Crime  : Money laundering crime or original crimes relating to money 
laundering, financing of terrorism or financing of illegal 
organisations.  
Funds  : Assets, whatever the method of acquisition, type and form, 
physical or intangible, movable or immovable, electronic, digital 
or encrypted, including national and foreign currency, 
documents or bonds of any form, including electronic or digital 
form that prove the ownership of such assets, or any related 
shares or equities; as well as economic resources, which are 
deemed assets of any type whatsoever, including natural 
resources and bank credits, cheques, pay orders, shares, 
securities, bonds, bills and lett ers of credit, in addition to any 
other benefits, profits or incomes received or generated from 
such assets and that can be used to obtain any finance, goods, or 
services.  
Virtual Assets  : A digital representation of the value that can be digitally traded 
or transferred, and can be used for payment or investment 
purposes, and otherwise as specified in the Executive Regulation 
of this Law by Decree.  
Proceeds  : Funds directly or indirectly generating from committing any 
felony or misdemeanour. This shall include profits, concessions, 
economic interests and any similar funds whether fully or 
partially transferred into other funds.  
Instrumentalities  : Anything used or intended to be used to commit a felony or 
misdemeanour.  
Suspicious : Transactions relating to funds for which there are reasonable  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 Transactions  causes to suspect that such funds are collected by committing 
any felony or misdemeanour or it is relating to financing of 
terrorism or illegal organisations, whether such transactions had 
been executed or intended to be executed.  
Freezing or seizure  : Temporary ban on money transfer, movement, exchange or 
disposal in any form by an order issued by a competent 
authority.  
Confiscation  : Expropriation of private funds, proceeds or instrumentalities 
permanently by a judgment issued by a competent court.  
Financial 
Institutions  : Anyone who practises one or more financial activities or 
financial operations determined by the Executive Regulation of 
this Law by Decree for the interest of a customer or on his behalf.  
Designated 
non -financial 
business and 
professions  : Anyone who practises one or more commercial or professional 
businesses determined by the Executive Regulation of this Law 
by Decree.  
Non -profit 
organisations  : Any group of an organisation that is permanent for a specific or 
unspecific period of time and is composed of natural, legal 
persons or a legal arrangement that is non -profit and collects, 
receives, disburses funds for charitable, religious, cultural, 
educational, social or solidarity purposes or any other goodwill 
purposes.  
Legal Arrangement  : The relationship formed by virtue of a contract between two 
parties or more, including but not limited to trust funds or other similar arrangements.  
Customer  : Anyone who performs or is going to perform any of the actions 
determined by the Executive Regulations of this Law by Decree 
with one of the financial institutions, designated non- financial 
businesses or professions, virtual assets providers.   
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 Beneficial Owner  : The natural person who owns or exercises an ultimate actual 
control, either directly or indirectly, on the customer, or the 
natural person on behalf of whom transactions are run. The term 
also includes the natural person who exercises an ultimate actual 
control on a legal person or a legal arrangement, whether directly 
or through a chain of ownership, control, or other indirect 
means.  
Virtual asset 
service providers  : Any natural or legal person who, as a business, practises one or 
more of the activities of virtual assets specified in the Executive 
Regulation of this Law by Decree, or the operations related 
thereto for the benefit of or on behalf of another natural or legal 
person.  
Operation  : Any disposal or usage of the funds or proceeds, including for 
example: depositing, withdrawing, transferring, selling, 
purchasing, exchanging, mortgaging and donating.  
Registrar  : The competent authority supervising the register of commercial 
names of different institutions registered in the State.  
Due Diligence 
Measures  : The process of identification or checking of the customer or the 
beneficial owner information, whether a natural person, a legal 
person or a legal arrangement, in addition to the nature of his 
work, purpose of work, structure of ownership and its control, 
for the purposes of this Law by Decree and its Executive 
Regulation.  
Controlled Delivery  : 
A way where the competent authority allows under its control 
the entrance of illegal or suspicious funds or proceeds of crimes 
to the lands of the State, their passage, transit or exiting the State 
in order to investigate a crime and determine the identity of the 
perpetrators.   
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 Secret Operation  : A way of investigation and examination by which a judicial 
officer assumes an identity other than his real one or perform a 
hidden or false role to obtain evidence or information relevant to 
the crime.

Article (2) 
1. Any person who knows that funds are proceeded by an original offence and committed 
any of the following acts shall be deemed a money launderer:  
a. Transferring, moving or conducting any operation to conceal or disguise its illegal 
source.  
b. Concealing or disguising the fact of proceeds, their source, place, the way of 
disposition, their movement, ownership or relevant rights.  
c. Gaining, possessing or using the proceeds upon its delivery.  
d. Helping the perpetrator of the original offence to evade punishment.  
2. A money laundering crime shall be deemed as a separate crime, and any penalty 
enforced against the perpetrator of the original offence shall not preclude punishment 
for a money laundering crime.  
3. Conviction of the original offence shall not require proving the illegal source of proceeds.

Article (3) 
Without prejudice to the provisions of Federal Law No. (3) of 1987 and Federal Law No. (7) of 2014:  
1. A person shall be deemed to have committed a terrorism finance crime if he deliberately 
commits any of the following:  
a. Any of the actions stipulated in clause (1) of article (2) of this Decree -Law, if he 
knows that all or part of the proceeds are owned by a terrorist or a terrorist 
organisation or prepared to finance a terrorist, a terrorist organization or an act of  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 terrorism, even if this is not for the purpose of concealing or disguising its illegal 
source.  
b. If the person provides, collects , prepares or facilitates for a third party to obtain, for the purpose of using, such proceeds or knowing that such funds will be used totally or partially in committing an act of terrorism, or if he commits such actions for a 
terrorist organization or a terrorist knowing their true nature or their purpose.  
2. A person shall be deemed to have committed the crime of financing an illegal 
organisation if he deliberately commits any of the following:  
a. Any of the actions stipulated in clause (1) of article (2) of this Decree -Law, if he 
knows that all or part of the proceeds are owned by an illegal organisation or one of 
the members of such organization or that such funds are prepared for financing any 
of them, even if this is not for the purpose of concealing or disguising their illegal 
source.  
b. If the person provides, collects, prepares or facilitates for a third party to obtain, for 
the purpose of using, such proceeds or knowing that such funds will be used totally 
or partially for an illegal organization or for one of the members of such organization 
knowing their true nature or their purpose.

Article (4) 
A legal person shall be criminally responsible for the crime if it is committed in its name or on its behalf on purpose. This shall be without prejudice to the personal penal responsibility 
of the committer of such crime and the administrative penalties stipulated by law.

Article (5) 
1. The Governor or whomever is acting in his place may order to freeze the suspicious 
funds at the financial institutions for a period that does not exceed (7) seven working 
days pursuant to the rules and regulations determined by the Executive Regulations of 
this Decree- Law and shall be renewed by the public prosecutor or his delegate.   
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 2. Public Prosecution or the competent court, as the case may be, may order to determine, 
follow or evaluate the suspicious funds, proceeds and instrumentalities, their equivalent 
value or to seize or freeze them if they are a result of the crime or related to a crime 
without any prior notice to their owner and to ban him from travelling until the end of the investigation or trial.  
3. Public Prosecution or the competent court, as the case may be, may, as and when 
required, take the decisions that would prevent dealing or disposing of these funds, 
proceeds, instrumentalities, and take necessary measures to prevent any act intended to 
circumvent the orders of freezing or seizure issued in their regard, without prejudice to 
the rights of bona fide third party.  
4. Decisions to freeze funds at the financial institutions licensed by the Central Bank shall be enforced only through the Central Bank.  
5. Appeal against the decision of the Public prosecution of freezing or seizure of funds pursuant to the provisions of this article shall be filed with the competent court in whose jurisdiction the Public Prosecution issuing the decision is located. If the appeal is denied, 
no new appeal may be filed except after the lapse of three months from the date on 
which the appeal has been denied unless a serious reason occurs before the lapse of 
such period.  
6. The appeal shall be filed through a report to be presented to the competent court and the 
president of the court shall schedule a hearing to consider the appeal; the appellant shall 
be notified of the date of such hearing. Public Prosecution shall submit a memo on its 
opinion about the appeal and the court shall adjudicate within not more than (14) 
fourteen working days from the date of submitting the appeal.  
7. Public Prosecution and the competent court may appoint whom they consider suitable to manage the seized, frozen or confiscated funds, proceeds and instrumentalities and to 
permit their disposition or sale, even before a judgment is issued, if necessary. The price 
of the sale shall go to the treasury of the State if there is a final judgment of conviction. 
These funds shall be encumbered, within their value, with any rights legally determined 
to any bona fide party within its value.   
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 8. The Executive Regulations of this Decree -Law shall determine the rules and controls to 
execute the provisions of this article.

Article (6) 
1. Without prejudice to the provisions of article (5) of this Law by Decree, no penal case 
shall be filed against the perpetrator of a money laundering, financing of terrorism or 
financing of illegal organisations crime unless by the Public Prosecutor or his deputy.  
2. The Public Prosecutor or his deputy and the competent court, as the case may be, may 
issue a decision to take necessary procedures to protect intelligence information and 
ways of attainment thereof or to order the competent authorities to provide protection 
for witnesses, secret sources, the accused or other parties in the case, if there is a serious concern about their safety.

Article (7) 
1. Public Prosecution may, of its own volition, or at the request of law enforcement 
authorities, when there are enough evidence of the occurrence of a crime, order to 
directly review the accounts, records and documents in the hands of third parties ; order to access the contents of the computer systems, IT devices, correspondence and mail 
packages; identify, track and seize funds; monitor accounts; ban from traveling and other 
procedures that help to discover the crime and its committers without prejudice to statutes in force in the State.  
2. Law enforcement authorities may conduct undercover operations and other investigative techniques in addition to carrying out controlled delivery operations 
whenever this would help to discover the crime, its evidence or identify the source and 
destination of the funds, proceeds or instrumentalities of the crime and to arrest its committers without prejudice to statutes in force in the State.  
3. Persons assigned by the law enforcement authorities to investigate a crime through an undercover operation or controlled delivery shall not be criminally accountable for any  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 action that may constitute a punishable crime, unless that person instigated the 
commission of such action or exceeded the powers given to him.  
4. Authorities concerned shall keep comprehensive statistics of suspicious transactions reports; crime -related investigations and judgments; frozen, seized and confiscated 
funds; requests of international cooperation and any other statistics relevant to the 
effectiveness and sufficiency of crime combating procedures.

Article (8) 
Any person who brings into or takes out of the State any currencies, bearer negotiable 
instruments BNI, precious metals or stones shall disclose the same pursuant to the 
Disclosure Law issued by the Central Bank.

Article (9) 
An independent "Financial Information Unit" shall be formed at the Central bank. Reports 
about suspicious transactions and information relevant to such transactions from all 
financial institutions, non- financial designated businesses and professions and virtual asset 
service providers shall be sent to this Unit, to be studied, analysed and referred 
automatically or upon request to the competent authorities. Said Unit shall:  
1. Order the financial institutions, non- financial designated businesses and professions 
and virtual asset service providers to provide any information or additional documents 
relevant to reports and information the Unit has received, in addition to other 
information the Unit deems necessary to perform its tasks within the time and form 
determined by the Unit.  
2. Exchange information with peer units in other states concerning the reports of 
suspicious transactions, any other information the Unit is entitled to acquire or reach, 
directly or indirectly, according to international agreements to which the State is a party, 
any understandings made between the Unit and other units to organise cooperation or the norm of reciprocity. The Unit may inform its peer units of the outcome of using the  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 information presented and analyses conducted based on such information. Such 
information may not be used unless for the purposes of combating the crime and may 
not be disclosed to any other third party without the consent of the Unit.  
3. Create a database or a private register for the information obtained by the Unit. The Unit 
shall protect this database through putting secured control rules over the information 
and its confidentiality, including the procedures of information processing, storing and 
referring and to ensure limited access to its installations, information and technology systems.  
4. Assume any other competences determined by the Executive Regulation of this Law by Decree.

Article (10) 
1. Public prosecution may request the opinion of the Unit concerning the reports coming thereto about money laundering and financing terrorism and illegal organizations.  
2. Law enforcement agencies shall receive the reports of suspicious transactions sent thereto from the Unit and shall collect evidence about the same.  
3. Law enforcement agencies may obtain the information they deem necessary for performing their mandates from the relevant bodies pursuant to the Executive Regulations of this Decree -Law.

Article (11) 
A committee named "The National Committee of Anti- Money Laundering and Countering 
the Financing of Terrorism and the Financing of Illegal Organisations" shall be formed 
subject to the provisions of this Decree -Law and shall be chaired by the Governor. A 
Resolution by the Minister shall determine the formation of the committee.  
  
 
  
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Article (12) 
The Committee shall:  
1. Set and develop a national strategy for anti- money laundering, propose relevant 
systems, procedures and policies in coordination with competent authorities and follow 
up on the execution thereof.  
2. Determine and evaluate crime risks at the national level.  
3. Coordinate with competent authorities and refer to sources of information in relevant 
international bodies to determine high risk states and states who have weaknesses in 
combating money laundering and financing terrorism, determine the necessary counter 
measures and other measures in line with the level of risks, and instruct the regulatory 
authorities to investigate the commitment of financial institutions, non- financial 
designated businesses and professions, virtual asset service providers and non -profit 
associations subject to its supervision concerning the application of such measures.  
4. Facilitate information exchange and coordinate between authorities represented in the 
Committee.  
5. Evaluate the effectiveness of the system of anti -money laundering, combating the 
financing of terrorism and financing of illegal organisations through collecting statistics 
and other relevant information from concerned authorities and analyse the same.  
6. Represent the State in international events relevant to anti- money laundering and 
combating terrorism finance.  
7. Propose the regulative by -law concerning the work of the Committee and present it to 
the Minister for approval.  
8. Assume any other matters referred thereto by the concerned authorities of the State.

Article (13) 
Regulatory authorities shall, each within its jurisdiction, perform the tasks of supervision, monitoring and follow -up to ensure the commitment to provisions stipulated in this Law by 
Decree, its Executive Regulation, regulatory resolutions and any other relevant resolutions.  
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 Those authorities shall in particular:  
1. Conduct a risk evaluation of the possible occurrence of the crime in financial institutions, 
non -financial designated businesses and professions, virtual asset activities, activities of 
virtual asset service providers and non -profitable associations.  
2. Conduct supervision operations, office and field inspection in financial institutions, 
non -financial designated businesses and professions, virtual asset service providers and 
non -profitable associations.  
3. Issue resolutions relevant to administrative sanctions subject to this Law by Decree and 
its Executive Regulation, in addition to the appeal mechanism, and keep statistics about 
the measures taken and penalties imposed.  
4. Assume any other competences determined by the Executive Regulation of this Law by Decree.

Article (14) 
1. Without prejudice to any administrative sanction stipulated by any other legislation, the 
Regulatory Authority may impose the following administrative penalties on financial 
institutions, non -financial designated businesses and professions, virtual asset service 
providers and non- profitable associations subject to its supervision upon the violation of 
any provision of this Law by Decree, its Executive Regulation, regulatory resolutions or 
any other relevant resolutions:  
a. A warning notice.  
b. An administrative fine not less than (50,000) fifty thousand AED and not exceeding 
(5,000,000) five million AED per violation.  
c. The violator shall be prevented from working in the sector relevant to the violation 
for the period determined by the Regulatory Authority.  
d. Restriction of the powers of the board members, members of the executive or 
supervisory management, managers or owners whose responsibility for the violation is proven, including the appointment of a temporary controller.  
e. Suspending the mangers, board members, members of the executive or supervisory  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 management whose responsibility for the violation is proven for the period 
determined by the Regulatory Authority or ordering their replacement.  
f. Suspension or restriction of practising the activity or profession for the period determined by the Regulatory Authority.  
g. Cancellation of the licence.  
2. With the exception of Paragraph (F) of clause (1) of this Article, the Regulatory Authority may, upon imposing administrative sanctions, issue an order requesting the presentation of regular reports about the measures taken to remedy the violation.In all cases, the 
Regulatory Authority is entitled to publish whatever administrative sanctions in different 
publication media.

Article (15) 
Financial institutions, non -financial designated businesses and professions and virtual asset 
service providers shall, upon suspicion or when having plausible reasons to suspect the 
existence of money laundering or funds that are proceeds in whole or in part, or upon 
suspecting that such funds relate to the crime or will be used in the crime, regardless its 
value, promptly and directly inform the Unit. They shall provide the Unit with a detailed 
report including all details and information available about the operations and the relevant parties as well as any additional information required by the Unit without the excuse of 
confidentiality conditions. Excluded from the above: attorneys, the notary public and other 
persons of legal professions, legal independent auditors, if the information relevant to said operations had been collected in circumstances in which they are subject to professional 
confidentiality.  
The Executive Regulation of this Law by Decree shall determine the rules, controls and cases 
of commitment to reporting suspicious transactions.

Article (16) 
1. Financial institutions and designated non -financial businesses and professions DNFBPs  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 shall:  
a. Continuously identify, evaluate, document and update crime risks in their field of 
work through the multiple aspects of risk set forth by the Executive Regulations of 
this Decree- law and shall keep an identification and evaluation study of risk and the 
relevant information to present it to the regulatory authority upon request.  
b. Take all due diligence procedures and measures, determining their scope based on 
the multiple aspects of risks, taking in consideration the results of the National Risk 
Assessment. They shall keep the information acquired through implementing these 
measures. The Executive Regulations of this Decree -law shall determine the cases on 
which these procedures and measures shall be applied in addition to the conditions 
of postponing the completion of the customer's or the beneficial owner's identity 
verification.  
c. Not open accounts or conduct any financial or commercial transactions in an anonymous name, a pseudonym, an alias, or a name formed of numbers, or to keep such accounts and provide any services thereto.  
d. Set forth policies, controls and internal procedures approved by the top management to enable such entities to manage and limit the identified risks, and to review and 
continuously update them and to apply the same to all branches and affiliates in 
which they own the majority of shares. The Executive Regulations of this Decree -law 
shall determine what these policies, controls and procedures shall include.  
e. Immediately apply the decisions issued by the competent authority in the State concerning the application of the resolutions issued by the UN Security Council 
under Chapter Seven of the UN Charter on preventing, suppressing terrorism and its 
financing in addition to countering the proliferation of weapons of mass destruction and its financing among other relevant resolutions.  
f. Keep all records, books, documents and data of all transactions, local or 
international, and make them immediately available to the competent authority 
upon request, as determined by the Executive Regulations of this Decree -Law.  
g. Any other obligations determined by the Executive Regulations of this Decree -Law.   
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 2. For the purposes of this Decree -Law, the Executive Regulations shall regulate the 
following:  
a. The obligations of Non -profit associations.  
b. The keeping of all information and registers by the Registrar, as well as making them 
available upon request and taking all the procedures required to make them 
available to the public.  
c. The keeping of information and records by the legal person and the legal 
arrangement and the provision of thereof upon request. .  
  
Article (16) BIS 
1. It is prohibited for any natural or legal person to practise the activities of virtual asset 
service providers or any of the financial activities without a licence, entry or registration, 
as the case may be, from the competent regulatory authorities.  
2. For the purposes of this Law by Decree, the Executive Regulation shall regulate the 
obligations of virtual asset service providers.

Article (17) 
The information obtained in connection with a suspicious transaction, or a crime stipulated 
in this Law by Decree shall be considered confidential and cannot be disclosed except to the 
extent necessary for its use in investigations, lawsuits or cases related to violation of the 
provisions of this Law by Decree.

Article (18) 
1. Competent judicial authority, based on the request of a judicial authority in another country with which the Country has a valid treaty, or under a reciprocity condition 
concerning the actions punishable by the statutes in force in the State, may provide 
judicial assistance in investigations, trials or procedures related to the crime. The 
competent judicial authority may order the following:   
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
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 a. Designate, freeze, seize or confiscate the funds, proceeds or other instrumentalities 
resulting from the crime used or intended to be used in such crime, or any other 
procedures that can be applied subject to the statutes in force in the State including 
the submission of the records kept by financial institutions, designated non -financial 
businesses and professions DNFBPs or non -profit associations; searching persons 
and buildings; taking witness statements; obtaining evidence; and using 
investigation techniques such as undercover operations, communications 
interception, data and electronic information collection and controlled delivery.  
b. Extradite and receive the persons and handover and retrieve the items related to the 
crime urgently subject to the statutes in force in the State.  
2. Competent authorities shall exchange the information relevant to the crime in with foreign counterparts in a speedy manner and perform the requests received from any 
competent body in a foreign State with which a valid treaty exists or under a reciprocity 
condition. The competent authorities may collect the requested information from the relevant agencies and take the necessary measures to protect the confidentiality of such 
information and ensure its use only for the purpose for which it was requested or 
provided subject to statutes in force in the State.

Article (19) 
1. The concerned authorities shall give priority to requests of international cooperation relevant to the provisions of this Law by Decree and shall execute such requests urgently 
and take all effective procedures to keep the confidentiality of information received.  
2. Within the scope of the enforcement of provisions of this Law by Decree, an international cooperation request shall not be refused based on any of the following:  
a. The crime implies financial or tax matters.  
b. The crime is political or relevant to politics.  
c. Confidentiality provisions obligatory to financial institutions and designated 
non -financial businesses and professions without prejudice to legislations applicable 
in the State.   
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 d. The request is connected to a crime under investigation or a judicial pursuit in the 
State unless the request hinders such investigations or pursuit.  
e. Any other cases determined by the Executive Regulation of this Law by Decree.  
3. The Executive Regulation of this Law by Decree shall determine the rules, controls and procedures regulating international cooperation.

Article (20) 
Any court judgment or order stipulating the confiscation of funds, proceeds or instrumentalities relating to money laundering, financing terrorism or financing illegal 
organizations issued by a competent court or judicial authority in another State with which 
the State has approved ratified treaty may be recognised.

Article (21) 
Punishments stipulated in this Decree -Law shall not prejudice any more severe punishment 
stipulated by any other law.

Article (22) 
1. A penalty of imprisonment for a period not exceeding ten (10) years and/or a fine not 
less than (100,000) one hundred thousand AED and not exceeding (5,000,000) five 
million AED shall be imposed on anyone who commits any of the crimes set forth under Clause (1) of article (2) of this Law by Decree.  
2. The penalty shall be temporary imprisonment and/or a fine not less than (300,000) three hundred thousand AED and not exceeding (10,000,000) ten million AED if the 
perpetrator commits a money laundering crime in any of the following cases:  
a. If he has used his power or authority given thereto under his job or professional 
activity.  
b. If he commits the crime through a non -profitable association.  
c. If he commits the crime through an organised criminal group.   
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 d. Repetition.  
3. Whoever has attempted to commit a money laundering crime shall be punished by the 
full penalty imposed for it by law.  
4. A penalty of life imprisonment or temporary imprisonment for a period not less than ten 
(10) years and a fine not less than three hundred thousand (300,000) AED and not 
exceeding ten million (10,000,000) AED shall be imposed on anyone who uses the 
proceeds in financing terrorism.  
5. A penalty of temporary imprisonment and a fine not less than three hundred thousand 
(300,000) AED and not exceeding ten million (10,000,000) AED shall be imposed on 
anyone who uses the proceeds in financing illegal organisations.  
6. The court may, upon a request by the Public Prosecutor or his deputy or of its own accord, alleviate or exempt from the penalty imposed on the perpetrators who provide 
the judicial or administrative authorities information relating to any of the crimes 
penalised by this Article whenever this leads to revealing the crime or perpetrators, providing evidence or to seizing the proceeds thereof.

Article (23) 
1. A fine no less than (500,000) five hundred AED and not exceeding (50,000,000) fifty 
million AED shall be imposed on any legal person whose any of his representatives, 
directors, or agents have committed, for it or under its name, any of the crimes stipulated 
in this Law by Decree.  
2. The court shall rule, upon the conviction of the legal person in financing terrorism or financing illegal organisations, to liquidate and close the office where the legal person 
practises its activity.  
3. The court may, in the event of convicting a legal person of any of the crimes stipulated in Clause (1) of article (2), or article (8) of this Law by Decree, order to prevent it from 
practising its activity for a specified period, or cancel the licence, entry or registration to practise its activity.  
4. The court may, upon the conviction, order to publish the summary of the judgment in  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
Financing of Illegal Organizations  21 
 the appropriate method and at the cost of the convicted.

Article (24) 
Whoever wilfully or due to gross negligence violates the provisions of article (15) of this 
Decree- law shall be sentenced to prison and/or to pay a fine that is not less than (100,000) 
one hundred thousand dirhams and not more than (1,000,000) one million dirhams.

Article (25) 
A penalty of imprisonment for a period not less than one year and/or a fine not less than one 
hundred thousand (100,000) AED and not exceeding five hundred thousand (500,000) 
AED, shall be imposed on anyone who informs or warns a person, or disclose information 
under reviewing concerning suspicious operations or that competent authorities investigate 
such operations or any relevant information in violation of the provisions of article (17) of 
this Law by Decree.  
  
Article (25) BIS 
A penalty of imprisonment for a period not less than three (3) months and/or a fine not less than fifty thousand (50,000) AED shall be imposed on anyone who possesses, conceals or 
conducts any money transaction when there is sufficient evidence or presumption of the 
illegality of its source. Upon conviction, the court shall rule for confiscation in accordance 
with the provisions of article (26) of this Law by Decree.

Article (26) 
1. In the event of proving the committing of a crime, the court shall order to confiscate the 
following:  
a. Funds of the crime, proceeds of the crime and the instrumentalities  
b. Any funds owned by the perpetrator that are equivalent to the funds and proceeds of the crime stipulated in Paragraph (A) of this Clause if such funds and proceeds are  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
Financing of Illegal Organizations  22 
 difficult to be found. If it is not possible to rule for the confiscation of funds, proceeds 
or instrumentalities because of the failure to seize them or because they are related 
to the rights of bona fide third parties, the court shall rule a fine equivalent to its 
value at the time of the crime.  
2. Confiscation shall be made whether the funds, proceeds, instrumentalities are in the 
possession or ownership of the perpetrator or another party, without prejudice to the 
rights of bona fide third parties.  
3. The fact that the perpetrator is unknown, his criminal responsibility is ceased, or the 
criminal case has expired in a crime punishable by virtue of the provisions of this Law by 
Decree does not preclude the competent court from ruling, of its own accord or at the 
request of the Public Prosecution, as the case may be, to confiscate the seized funds, 
proceeds and instrumentalities if it is proven that they are related to it.  
4. Without prejudice to the rights of a bona fide third party, any contract or disposal where both or one of its parties has known or should have known that the purpose of the contract or disposal is to affect the capacity of the competent authorities to seize, freeze 
or confiscate and execute such funds.  
  
Article (26) BIS 
A penalty of imprisonment for a period not less than six (6) months and/or a fine not less 
than two hundred thousand (200,000) AED and not exceeding five million (5,000,000) AED 
shall be imposed on anyone who violates the provisions of article (16) BIS of this Law by 
Decree.

Article (27) 
No penal, civil or administrative responsibility shall be borne by supervisory authorities, the Unit, law enforcement agencies and financial institutions and designated non -financial 
businesses and professions DNFBPs, their Boards of Directors of such agencies, employees and duly authorized representatives due to providing any information required or exceeding  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
Financing of Illegal Organizations  23 
 any restriction imposed by a legislative, contractual or administrative provision to ensure the 
confidentiality of information, unless the reporting is proved to be malicious and for the 
purpose of harming a third party.

Article (28) 
A penalty of imprisonment for a period not less than one year and not exceeding seven (7) years and/or a fine not less than fifty thousand (50,000) AED and not exceeding five million 
(5,000,000) AED shall be imposed on anyone who violates the instructions issued by the concerned authority in the State regarding the implementation of the resolutions issued by 
the United Nations Security Council under Chapter VII of the UN Charter regarding the 
prevention and suppression of terrorism and its financing, and the prevention, suppression and halting of the proliferation of weapons of mass destruction and its financing, and other 
relevant resolutions.

Article (29) 
1. If a foreigner is convicted of imprisonment in cases related to the crime of money 
laundering and any of the felonies stated in this Law by Decree, he shall be repatriated 
from the State.  
2. Without prejudice to the provisions of Clause (2) of this Article, if a foreigner is convicted 
of imprisonment in cases related to other misdemeanour provisions stipulated in this 
Law by Decree, the court may order to repatriate him from the State or rules to 
expatriate him instead of imprisonment.  
3. The penal claim shall not lapse by limitation in crimes of money laundering, financing 
terrorism or financing illegal organisations. The ruled penalty shall not be abated and 
relevant civil cases connecting to such crimes shall not be lapsed by limitation.  
4. Provisions of this Law by Decree shall not prejudice to the provisions of the 
aforementioned Federal Law No. (7) of 2014.  
5. The crime of financing illegal organisations shall be considered, if the purpose is to harm  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
Financing of Illegal Organizations  24 
 the security or interests of the State, as well as the crime of financing terrorism, crimes 
affecting interior and external security of the State.

Article (30) 
Whoever deliberately refrained from disclosing or abstained from providing additional information upon request or deliberately concealed information that should have been 
disclosed or deliberately provided incorrect information in violation of article (8) of this 
Decree- Law, shall be sentenced to prison and/or to pay a fine, and the court may, upon 
conviction, confiscate the funds found without prejudice to the rights of bona fidethird 
parties.

Article (31) 
Whoever violates any provision of this Decree -Law shall be sentenced to prison or to pay a 
fine that is not more than (100,000) one hundred thousand dirhams and not less than 
(10,000) ten thousand dirhams.

Article (32) 
Employees, who are assigned by a resolution issued by the Minister of Justice in coordination with the Governor, shall have the capacity of judicial officers to establish the 
actions occurring in violation to the provisions of this Decree -Law or its Executive 
Regulations or the resolutions issued in thereunder.

Article (33) 
The Cabinet shall, upon the proposition of the Minister, issue the Executive regulations of this Decree- Law.

Article (34) 
1. Any provision contrary to or inconsistent with the provisions of this Decree -Law shall be  
Federal Decree- Law No. (20) of 2018 On Anti -Money Laundering, Combating the Financing of Terrorism and 
Financing of Illegal Organizations  25 
 repealed.  
2. Federal Law No. 4 of 2002 Concerning Combating Money Laundering and Terrorism 
Financing Crimes shall be repealed.

Article (35) 
This decree -Law shall be published in the official Gazette and shall come into force one 
month after its date of publication.  
  
 
Khalifa Bin Zayed Al Nahyan  
President of The United Arab Emirates  
 
Issued by Us at the Presidential Palace in Abu Dhabi:  
Dated: 13 Muharram 1440 AH  
Corresponding to: 23 September 2018