What is the penalty for a company convicted of money laundering in the UAE?
Federal Decree-Law No. 10 of 2025 holds legal persons criminally liable where a money laundering offence is committed in their name or for their account, without prejudice to the personal liability of the individual who actually committed the act. Where a company’s representatives, directors, or agents commit money laundering on its behalf, the company faces a fine of not less than five million dirhams and not exceeding one hundred million dirhams, or an amount equal to the value of the criminal property involved, whichever is greater.
For terrorism financing or proliferation financing committed through the company, the court must order the dissolution of the legal person and closure of the premises where its activity is conducted. For money laundering, the court may order dissolution and closure. The person responsible for actual management may also face imprisonment and a fine if they were aware of the crime and it resulted from a breach of their duties. These corporate penalties were increased significantly under the new law.
Legal Reference (UAE):
· Federal Decree-Law No. 10 of 2025, Article 27 — penalties for legal persons.
· Federal Decree-Law No. 10 of 2025, Article 4 — criminal liability of legal persons.
For more details, consult the full text of Federal Decree-Law No. 10 of 2025 or seek guidance from your AML compliance officer.