Abu Dhabi: ADGM Imposing Financial Penalty for AML Control Failure
The Financial Services Regulatory Authority (FSRA) of Abu Dhabi Global Market (ADGM) imposed a USD 504,000 penalty on a company for deficiencies in its anti-money laundering (AML) systems and controls.
Analysis
The FSRA’s investigation into a company revealed significant compliance lapses in its AML systems, despite no actual instances of money laundering being identified. The investigation highlighted critical issues, including inadequate risk assessments, insufficient customer due diligence, and lack of effective monitoring systems.
Penalty and Cooperation:
As a result of these findings, the FSRA imposed a financial penalty of USD 504,000 on ACL. However, due to the company’s full cooperation with the investigation and proactive steps taken to address the identified issues, the company qualified for a 20% discount on the penalty.
For the final notice issued under Section 251 of the Financial Services and Markets Regulations 2015, click here.
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