Title: Oman Cracks Down on Money Laundering with New Regulations

MUSCAT - Enhancing AML/CFT Regime in Oman

The Ministry of Commerce, Industry and Investment Promotion (MoCIIP) in Oman has issued new regulations (Ministerial Decision 424/2023) to strengthen the country’s Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) regime.

Published: 5:43 PM, Aug 07, 2023

Defining Real Beneficiaries

The MoCIIP has defined the real beneficiary as the natural person who ultimately owns or holds significant control over a customer, whether directly or indirectly. This means commercial companies in Oman are now required to create and maintain a separate register, called the Real Beneficiary Register. In this register, the following details of real beneficiaries owning a minimum of 25% stake in a company must be documented:

Name
ID Number
Nationality
Residential Address

fosteringTransparency and Improving Business Environment

These new guidelines aim to:

Foster trust in the national economy
Improve the business and investment climate
Adhere to international benchmarks

By implementing this rule, Oman aspires to create a transparent business environment and contribute significantly in the global fight against money laundering and terror financing.

Consequences for Violating Regulations

Companies failing to adhere to the new regulations may face the following administrative sanctions:

Written warning
Administrative fines of up to RO 1,000
Suspension of commercial registration for up to 3 months

Key Takeaways

Oman’s government strengthens its AML/CFT regime through Ministerial Decision 424/2023.
Real beneficiaries must be identified and registered in the Real Beneficiary Register.
Stricter regulations foster trust and improve the transparency of the business environment.
Sanctions for non-compliance include warnings, fines, and suspension.

These measures taken by the Sultanate of Oman demonstrate its commitment to upholding international standards and combating financial crimes.