What are the AML penalties for law firms in the UAE?
Law firms that breach their AML/CFT obligations face administrative penalties imposed by their supervisory authority. These range from a formal warning to an administrative fine of not less than AED 10,000 and up to AED 5,000,000 for each violation, and can extend to restricting the powers of responsible managers, suspending individuals, suspending or restricting the activity, and, in the most serious cases, revoking the licence.
Fines can be increased where the same violation recurs within a year, and the supervisor may publish the penalties imposed. Separately, where an individual actually commits or facilitates the crime of money laundering, criminal liability applies, with imprisonment and fines that are heavier again, particularly where a person exploits the authority of their professional position. The clear message is that AML compliance for legal professionals is both a regulatory and a criminal-law matter.
Legal Reference (UAE):
· Federal Decree-Law No. 10 of 2025, Article 17 — administrative penalties from warning to AED 5 million and licence revocation.
· Federal Decree-Law No. 10 of 2025, Article 26 — criminal penalties for the money laundering offence.
For more details, consult the full text of Federal Decree-Law No. 10 of 2025 or seek guidance from your AML compliance officer.