| 16.25.1 | Appropriate systems must be introduced for real time screening, as part of the KYC process, on all parties involved in a transaction against all applicable sanction lists (i.e. the UN sanction lists (“UN Consolidated List’), the UAE Cabinet local list (“Local Terrorist List”)). Screening must be conducted prior to the execution of any transaction.
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| 16.25.2 | The Licensed Person must have appropriate procedures in place to test and fine-tune the system used for real-time screening on an ongoing basis.
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| 16.25.3 | Written processes and procedures for the escalation and clearing of potential sanction matches must be introduced;
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| 16.25.4 | The logs/records related to the clearing of potential sanction matches must be available in the system for a minimum period of five (5) years from the date of receipt of the transaction.
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| 16.25.5 | The UN Consolidated List and the Local Terrorist List must be regularly updated and immediately updated within the Point of Sale/computer systems of the Licensed Person, preferably without any manual intervention. Appropriate logs must be maintained in the system to confirm such updates.
| a) | The Licensed Person should rely on the official website of the UN Security Council for the most updated UN Consolidated List:
| | b) | The Licensed Person should rely on the official website of the Executive Office of the Committee for Goods & Materials Subjected to Import & Export Control (“Executive Office”) to obtain the most recent publication of the Local Terrorist List issued by the UAE Cabinet:
| | c) | The Licensed Person must register on the Executive Office’s website in order to receive automated email notifications with updated and timely information about the listing and de-listing of individuals or entities in the Local Terrorist List and in the UN Consolidated List.
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| 16.25.6 | When a match is found through the screening, the Licensed Person must immediately, without delay and without prior notice, freeze all funds. “Without delay” means within 24 hours of the listing decision being issued by the UN Security Council or the UAE Cabinet, as the case may be.
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| 16.25.7 | The Licensed Person must not make funds available or provide financial or other related services, whether in whole or in part, directly or indirectly, to any of the persons or entities identified according to the above.
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| 16.25.8 | Sanction screening must be applied in the below cases as follow:
| a) | In the case of foreign currency exchange transactions, the customer’s name must be screened against the sanction lists; | | b) | In the case of money transfer transactions, the Remitter’s name and Beneficiary’s name as well as the name of beneficiary bank must be screened against sanction lists; | | c) | Where the transactions are conducted by a legal person or legal arrangement, the name of the authorised person who carries out the transaction (i.e. the representative) must be screened against sanctions lists in addition to the name of the legal person or legal arrangement and its BOs. The Licensed Person, where applicable, must also comply with Paragraph 16.25.8 (b) of this Chapter; and | | d) | The Licensed Person must also comply with the sanction screening requirements, in the case of third party transactions, as required by Paragraph 16.20 of this Chapter.
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| 16.25.9 | The Licensed Person should notify the Central Bank and the Executive Office as follow:
| a) | In case of any confirmed match to a listing of names of individuals or legal persons to the Local Terrorist List or the UN Consolidated List is identified, the Licensed Person is required to report any freezing measures, prohibition to provide funds or services or any attempted transactions via the goAML platform within two business days by selecting the Fund Freeze Report (FFR). The Licensed Person must also ensure all the necessary information and documents regarding the confirmed match are submitted.
| | b) | In case of any potential match to a listing of names of individuals or legal persons to the Local Terrorist List or UN Consolidated List is identified (i.e. any match between data in the sanctions lists with any information in the Licensed Person’s databases), the Licensed Person is required to report the potential match via the goAML platform by selecting the Partial Name Match Report (PMNR). The Licensed Person must also ensure all the necessary information and documents regarding the potential match are submitted. In addition, the Licensed Person must uphold suspension measures related to the “potential match” until further instructions are received via the goAML platform on whether to cancel the suspension or implement freezing measures.
| | c) | The TFS related reports (FFR or PMNR) submitted via the goAML platform will be received simultaneously by the Central Bank and the Executive Office. The Licensed Person should also consult the Central Bank and the Executive Office’s websites respectively as updated from time to time.
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| 16.25.10 | The Licensed Person should consider their need to comply with other sanctions programs where applicable, including due to correspondent relationships, such as those administered by the United States of America and the European Union.
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| 16.25.11 | The Licensed Person must also sign up for the Integrated Enquiries Management System (IEMS) introduced by the FIU to automate and facilitate the execution process of requests for information, implementing decisions of public prosecutions and any other type of ML/FT requests.
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