The Central Bank of the Emirates canceled the license of the Dirham Exchange Company, and its name was removed from the register, as well as the registration of the RMB Commercial Brokerage Company, which operates in the hawala activity.
These administrative penalties came as a result of an inspection conducted by the Central Bank, which revealed organizational misconduct, including misconduct with regard to countering money laundering and evading Central Bank instructions by the exchange company not to engage in remittance transactions with certain countries, according to the statement.
The results also revealed that the compliance framework of the exchange and hawala companies is weak, in addition to their failure to comply with their regulatory obligations and to report regulatory violations to the Central Bank, according to the statement.
