Suspicious Transaction and Activity Reports - ADGM Quick Guide

The Abu Dhabi Global Market (ADGM) recently released Suspicious Transaction and Activity Reports – ADGM Quick Guide (STR and SAR – ADGM Quick Guide), which intends to explain Designated Non-Financial Businesses and Professionals (DNFBPs) about their regulatory requirements for filing an STR/SAR.    

The SAR and STR – ADGM Quick Guide provides information about the meaning of STR and SAR, the difference between an STR and a SAR, the procedure for filing an STR/SAR, the requirement to register and file an STR/SAT on goAML, and consequences for failing to report a SAR/STR.  

Going through this guide, DNFBPs can closely look into the essential requirements of an STR/SAR and reporting, reporting threshold, reporting timeline, and timeline of record-keeping of STRs/SARs.   

To help DNFBPs understand the reporting guidance, the STR and SAR – ADGM Quick Guide gave situational-based examples where businesses are required to file an STR/SAR across different sectors, including: 

• Audit, accounting, tax and insolvency firms 
• Dealers in Precious Metals Stones, and/or saleable items 
• Real estate firms 
• Company Service Providers 
• Law, notary, or independent legal firm 

The guide lists out the components of an effective STR and SAR that will help businesses identify and report STRs/SARs effectively. These key components include:  

• Transaction Monitoring System  
• Internal Reporting Mechanism/Policies and Procedures 
• Periodic Review  
• Role of Money Laundering Reporting Officer  

In addition, this STR and SAR ADGM Quick Guide also provide insights into additional reporting requirements specifically applicable to Dealers in Precious Metals and Stones (DPMS) and Real Estate Firms.