CMA LAW: Circular No. (10) of 2021 Regarding the Countries Which Do Not or Insufficiently Apply the Recommendations of the Financial Action Task Force (FATF)

"Circular to All Licensed Persons"

Chairman of the Board of Directors

Greetings,

We would like to draw your attention to the provisions of Article (3-39) of Module Sixteen "Anti-Money Laundering & Combating the Financing of Terrorism" of the Executive Bylaws of Law No. (7) of 2010 Regarding the Establishment of the Capital Markets Authority and Regulating Securities Activities and their amendments, pursuant to Resolution No. (72) of 2015 issued on 9/11/2015 which stipulate that “A Licensed Person must scrutinize and pay attention to business relationships or transactions  with  clients  or  financial  institutions  from  countries  which  do  not  or  insufficiently  apply  the  FATF  recommendations.  Where the Authority advises the Licensed Person that such country insufficiently applies the FATF recommendations, the Licensed Person shall treat all business relationships and transactions from that county as high risk and shall apply the measures set out in Article (3-19) of this Chapter.”

Accordingly, the Financial Action Task Force (FATF) has updated the list of countries which do not or insufficiently apply the FATF recommendations in its recent meeting held in June 2021.

The CMA is keen to play its role as stipulated in the above mentioned Article, therefore you are requested to visit the FATF website (http://www.fatf-gafi.org) for the updated list of countries which do not apply or insufficiently apply the FATF recommendations in order to comply with the provisions of Article No. (3-39) of Module Sixteen "Anti-Money Laundering & Combating the Financing of Terrorism".   

Prof. Ahmad A. Al-Melhem
Issued on: 29/06/2021

Copy of the Official Document

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