The Central Bank of the UAE (CBUAE) has fined a branch of a foreign bank AED 200 million.

According to the regulator, its inspections found serious and repeated failures at the branch.

These failures were in its anti-money laundering and counter-terrorism financing (AML/CFT) framework.

They also covered the branch’s governance, compliance and sanctions controls. The regulator did not name the bank.

Beyond the fine on the bank, the CBUAE took action against two senior officers. It fined the chief executive officer AED 500,000.

Meanwhile, the head of compliance received a fine of AED 300,000. This officer also serves as the money laundering reporting officer.

The CBUAE said both had failed to carry out the duties of their roles.

The bank must now run a mandatory remediation programme. An independent party will check this work. Its chief executive officer and chief compliance officer will face a new fit and proper review.

All of these penalties were set under the federal law that governs the central bank and the firms it oversees.

In its statement, the regulator said it works to make sure that banks, their leaders and staff follow UAE laws and its rules.

It added that the aim is to protect “the transparency and integrity” of the banking sector and the wider financial system.

Featured image: Edited by Fintech News UAE, based on image by Magnific.