Can UAE courts confiscate assets of equivalent value in money laundering cases?
Yes. Where a crime under the 2025 AML Law is proven, the court must order confiscation of the criminal property, and also of any funds owned by the offender that are equal in value to the criminal property where the original property has been mingled with legitimate funds, cannot be seized, or is subject to the rights of bona fide third parties.
Confiscation applies whether the criminal property is held by the offender or by another party, without prejudice to the rights of innocent third parties. If confiscation of the property or of equivalent funds is impossible, for example because the assets are unavailable, the court instead imposes a fine equal to their value at the time the crime was committed.
Importantly, confiscation can be ordered even where the perpetrator is unknown, is not criminally liable, or where the criminal case has lapsed, provided the property’s connection to the crime is established. This value based approach prevents offenders from defeating recovery simply by converting or hiding the original proceeds, and it strengthens the UAE’s asset recovery regime.
Legal Reference (UAE):
· Federal Decree-Law No. 10 of 2025, Article 31 allows confiscation of criminal property or of funds equivalent in value, including where the perpetrator is unknown
For more details, consult the full text of Federal Decree-Law No. 10 of 2025 or seek guidance from your AML compliance officer.