Hiring illegal maids Violators in UAE could face jail sentence and fines up to Dh100,000

In a bid to crackdown on offenders who hire house help illegally, Ministry of Interior officials may conduct random checks within residential communities in Dubai to tackle the problem.
In a circular distributed to residents in its communities, master developer Emaar Properties has warned residents to be wary of hiring maids, gardeners and drivers through illegal ways.
“Don’t break the law by hiring illegal household staff,” reads a circular issued by the community management arm of the developer.
The company has advised its residents that the UAE’s Ministry of Interior will be “conducting random checks within the community and should they find persons working illegally in your home (e.g. housemaids, gardeners, drivers etc.), you could face a jail sentence and substantial fines ranging between Dh50,000 and Dh100,000.”
Residents have been advised to only keep staff members who are under their sponsorship or hired through a professional household service company.
As the city grows and expats and new professionals arrive each day, the housekeeping market is flourishing in Dubai. Hiring illegally can be a cheaper option but one that is very risky and can put your family in danger. Dubai Police have repeatedly cautioned residents against hiring cheap but dangerous labour, saying this can make them vulnerable to crime, especially if they have small children to be taken care of.
Despite repeated warnings by the authorities, some households are still found using the services of maids and drivers who are not hired as per the law. To step up security and to make it difficult for such ‘freelance workers’ to get access into the communities, the property developer has asked residents to register their staff with the community security after which they will be issued an ID card.

Drinking water without EQM mark not to be allowed in UAE from October 1 20014

The UAE’s mandatory technical regulation for drinking water will take effect on October 1, Dr Rashid Ahmed bin Fahad, Minister of Environment and Water, and Chairman of Emirates Standardization Metrology Authority (Esma), announced on Sunday.

The minister made it clear that any drinking water products which don't comply with the UAE Scheme for Drinking Water, approved by the UAE cabinet, and don't carry the Emirates Quality Mark (conformity mark recognised by Esma) will not be allowed into the market.

The new mechanism, he emphasized, is part of Esma's strategy to regulate and monitor products which have direct impact on health, safety of the consumer and the environment and to promote knowledge-based, competitive economy, sustainable environment and integrated infrastructure.

The minister explained that Esma board  had decided to grant an additional six months till October instead of April 1  for the enforcement of the system in response to requests by water producers and suppliers to allow them distribute their stock of drinking water and other imported products which don't carry the Emirates Quality Mark (EQM) in local market.

The new comprehensive control system aims to improve water standards in terms of quality by unifying control mechanisms on drinking water which include production, processing, packaging and distribution.

Bin Fahad told a forum, organised by Esma for 150 producers, suppliers and bottlers of drinking water and associated products, the grace period was granted to avoid any shortage of bottled water supply in the local market and spare these companies any financial loss.

''The UAE Scheme for Drinking Water, prepared by Esma in partnership with other public and private stakeholders on par with international best practices, defines the technical standard requirements for drinking water, and effective control and monitoring mechanisms regarding production, import and distribution processes,'' the minister said.

The minister noted that 154 companies had registered with the system (98 in 2013 and 56 since the beginning of 2014) of which 93 were local companies accounting for 60.4 per cent of the total companies.

He added that eight out of 14 companies applied for the Emirates Quality Mark had been awarded the registration certificates. The remaining 6 were on the final processes of auditing and conformity assessment.

UAE money launderers face 10 years jail and Dh500,000 fine

Abu Dhabi: New rules to strengthen the fight against money laundering are being discussed by the Federal National Council’s financial committee, said Ali Eisa Al Nuaimi, a member from Ajman on Sunday.

Al Nuaimi, also a rapporteur of the panel, told Gulf News, the rules are meant to further protect the integrity of the UAE’s financial system in keeping with the International Standards on Combating Money Laundering and the Financing of Terrorism and Proliferation — the FATF Recommendations.

The FATF Standards were revised in 2012 to strengthen global safeguards and provide governments with stronger tools to take action against financial crime.

“Protection will be provided to witnesses who testify against suspected criminals in organized gang crimes that include terrorism, money laundering, trafficking in drugs and humans and the big fraud cases,” Al Nuaimi said.
Under the new rules, anyone contravening the law may face up to ten years in prison, a fine of up to Dh500,000 or both. In the case of a business, the penalty is a fine ranging between Dh300,000 and Dh1 million. Also, the proceeds of any money-laundering activity are confiscated.

Board members, managers and staff of financial businesses who fail to report any money laundering transaction or terrorist financing will face a jail term of up to three years, a fine of up to Dh300,000 or both.

Tipping money laundering suspects about any financial review or action taken by the authorities will be punished with a jail term of up to a year, a fine of up to Dh100,000 or both.

Failure to declare any controlled substance or amounts to be determined by the authorities will be punished with a jail term, a fine or both.

Al Nuaimi said the law will be enforced with immediate effect from the date of being published in the official gazette.
The act of money-laundering was criminalised in 2002 pursuant to Federal Law no 4 regarding Criminalisation of Money Laundering, applicable to individuals and financial, trading and economic businesses operating in the UAE, including those located in the free zones.
Huge tax losses
With an estimated turnover of €600 billion (Dh3,020 billion) per year, money laundering causes huge tax losses in EU countries.

The Central Bank requires that banks and financial entities report any transactions carried out by customers, which they suspect may be related to illegal dealings, and may consequently be related to money laundering or financing of terrorism.

These banks and financial institutions are also required to verify the identity of their clients at all times, to maintain documents relating to the identities of customers for at least five years and to take note of any transaction which is not compatible with the income of its owner, and which does not seem to have any reasonable economic cause or clear legal objective. Such requirements also include monitoring all letters of credit which are opened.

The Central Bank has the power to impose sanctions, including the power to revoke an institution’s license, should a financial institution fail to comply with the rules.

There have been a number of multilateral meetings between UAE representatives and their counterparts in other countries to discuss means by which to collectively combat money laundering. For instance, UAE representatives met with their counterparts from the United States, Russia and Japan, among others, at the 3rd plenary meeting of the Financial Action Task Force in June 2012 to discuss exchanging information on the suspected financial flows into each other’s countries.