The United Arab Emirates Securities and Commodities Authority (“SCA”) recently announced that it imposed a “record fine” of AED 5 million ($1.4 million) on an unnamed “licensed company” and also referred the matter for prosecution. According to the SCA, these steps were taken to enhance market integrity and protect investors after the Authority confirmed that “violations of anti-money laundering (AML) laws, counter-terrorism financing regulations, and measures related to the funding of illicit organizations” had occurred. During an in-depth investigation, the SCA discovered that the licensed company had allegedly engaged in “deceptive practices” when it helped an unnamed foreign company target UAE-based investors while falsely suggesting that the company was licensed by the SCA, ultimately in an effort to misappropriate client funds. The SCA indicated that the referral of the case to judicial authorities underscores the Authority’s commitment to transparency, deterrence, and “the highest standards of regulatory compliance.”