ANTI MONEY LAUNDERING (AML)

Money laundering and terrorist financing have been identified as major threats to DGCX Group, including its subsidiary DCCC, and the international financial services community.

Money laundering is the process of transforming the proceeds of crime and corruption into legitimate assets. Anti-money laundering (AML) refers to a set of procedures, laws or regulations designed to stop the practice of generating income through illegal actions.

Terrorism financing refers to activities that provides financing or financial support to individual terrorists or terrorist groups. Combating the financing of terrorism (CFT) refers to a set of procedures, laws or regulations designed towards thwarting the financing of terrorism.

DGCX Group recognizes that money laundering can have a significant reputational risk on the organization and its operations and therefore, takes a strict view on non-compliance with AML and CFT regulations.  DGCX Group has an AML/CFT policy, designed to ensure that DCCC and its Members, comply with the legal and regulatory requirements applicable in the UAE as well as with obligations applicable in other jurisdictions where DCCC has business interests. DCCC follows best practice global industry standards, including the globally recognized Financial Action Task Force (FATF) Recommendations on AML/CFT, and strictly adheres to applicable regulations on AML/CFT.

The Central Bank of the UAE requires the Broker Clearing Members of the CCP to file Suspicious Transaction Reports (STR) and Suspicious Activity Reports (SAR) to their Financial Intelligence Unit (FIU) called the Anti-Money Laundering and Suspicious Cases Unit (AMLSCU).

The regulations imposed by the Central Bank are fully compliant with MENA FATF regulations. The federal regulator, SCA, has also issued regulations pertaining to Anti-Money Laundering and Terrorism Finance Combating to be adhered to by the SCA licensed entities. As mandated by the SCA, all SCA licensed Broker Clearing Members are required to establish connection to the suspicious cases unit of the UAE Central Bank for the purposes of such reporting.

Guidance Note: DCCC Compliance will guide Broker Clearing Members through the process of connecting to the Central Bank’s AMLSCU in this subject matter.