DUBAI: Eleven banks in the UAE have been fined a total of 45,758,333 dirhams ($12.46 million) for failing to adequately comply with rules related to money laundering and the financing of terrorism and illegal organizations.

The fines imposed by the Central Bank of the UAE (CBUAE) were imposed on Jan. 24, state news agency WAM reported.

“All banks operating in the UAE have been allowed ample time by the CBUAE to remedy any shortcomings and were instructed in the middle of 2019 to ensure compliance by the end of that year, informing them that further shortcomings would result in penalties under the Federal Decree Law No. (20) of 2018 and its executive regulation,” WAM reported.

The CBUAE said it will impose additional fines and sanctions if banks do not improve their level of compliance.

In November, the UAE set up special federal courts to tackle the issue of money laundering. Justice Minister Sultan bin Saeed Al-Badi Al-Dhaheri issued ministerial resolutions to set up the special courts in the emirates of Sharjah, Ajman, Umm Al-Qaiwain and Fujairah.

Around the same time, during a meeting of the UAE’s Higher Committee Overseeing the National Strategy on Anti-Money Laundering and Countering the Financing of Terrorism, Sheikh Abdullah bin Zayed Al Nahyan — minister of foreign affairs and international cooperation — announced that 200 law firms in the country had failed to comply with anti-money laundering procedures and were suspended from practicing for one month.

The Ministry of Economy announced on Nov. 24 the development of a strategic plan to support efforts to combat money laundering practices, and established the Anti-Money Laundering Department within the ministry.