+971 56 406 6500

+971 52 269 7195

Cost Calculator
goAML Compliance Services

Suspicious Transaction Report (STR) Services

Free Consultation

Let's Talk

    Edit Template

    goAML Compliance Services

    If You Need Any Help Contact With Us

    +971 52 269 7195
    Edit Template

    Suspicious Transaction Report (STR) Services

    Companies in the UAE should report illicit activities as part of the anti-money laundering and terrorist funding battle by filing Suspicious Transaction Reports (STRs). An STR is a formal report made via the goAML platform at the behest of the Financial Intelligence Unit (FIU). Vigor Accounting & Taxation can help the businesses in the UAE identify suspicious transactions, file reports accurately, and keep in line with the law regarding Anti-Money Laundering (AML) at the same time as well.

    What is a Suspicious Transaction Report (STR)?

    A Suspicious Transaction Report (STR) is a complete document that businesses are required to submit when they find any transaction that could be associated with unlawful conduct like money laundering, fraud, or financing of terrorism. These reports play an essential role in preserving the integrity of the financial system in the UAE and complying with international anti-money laundering (AML) standards.

    STRs are filed through the goAML portal, which is managed by the UAE’s Financial Intelligence Unit (FIU). The purpose of STRs is to alert authorities to potential financial crimes, allowing them to investigate and take necessary action.

    Why Filing an STR is Important

    • Reducing Risk

      By identifying and reporting suspicious activities, businesses avoid potential legal fines and losses. When companies file STRs, they demonstrate their adherence to ethical standards, which helps them to stay out of trouble due to being involved in illegal actions directly or indirectly.

    • Preventing Financial Crimes

      Submitting an STR is essential for the early identification of financial crimes. By reporting payments that are questionable and possibly are illegal businesses assist in stopping money laundering, terrorist financing, and other unlawful money activities that target the UAE and its economy and reputation.

    • Compliance with UAE Regulations

      In the United Arab Emirates, commercial organizations are obligated by law to submit suspicious transaction reports (STRs) where they have reasonable grounds to believe the transaction involves illegal activity. This is a direct result of the Federal Decree Law No. 20 of 2018 which imposes this obligation to report. An STR failure to file can lead to considerable fines, sanctions, or even the cessation of one's business license due to suspension of said license.

    Challenges in Filing STRs

    Many businesses face challenges when identifying suspicious activities or filing STRs, particularly when they are new to AML compliance or lack in-house expertise. Common challenges include

    01

    Identifying Red Flags
    Recognizing suspicious transactions requires a trained eye and clear understanding of AML regulations.

    02

    Compliance with Reporting Standards
    Ensuring that the STR meets the standards required by the FIU is essential for avoiding penalties.

    03

    Timely Reporting
    Businesses must file STRs promptly. Delayed reporting can result in regulatory action against the business.

    Identifying Suspicious Transactions

    Recognizing when to file an STR is critical for ensuring compliance. Below are some common indicators that may signal a suspicious transaction

    01
    Unusual Transaction Patterns
    Transactions that deviate significantly from a customer’s normal behavior, such as large cash deposits or frequent international transfers, may require further investigation.

    02

    Unexplained Source of Funds

    When the source of funds is unclear or inconsistent with the customer’s profile, it could raise suspicions of illicit activity.

    03

    High-Value Cash Transactions

    Large sums of cash exchanged without an apparent legitimate business reason may be indicative of money laundering.

    04
    Unexplained Source of Funds
    Reluctance to Provide Information: Customers who are unwilling to provide identification documents or detailed explanations for large transactions may raise red flags.
    05
    Complex Transaction Structures
    Involving multiple accounts or third parties to obscure the flow of funds may indicate an attempt to launder money or finance terrorism.

    Challenges in Filing STRs

    Many businesses face challenges when identifying suspicious activities or filing STRs, particularly when they are new to AML compliance or lack in-house expertise. Common challenges include

    01
    Identifying Red Flags
    Recognizing suspicious transactions requires a trained eye and clear understanding of AML regulations.
    02
    Compliance with Reporting Standards
    Ensuring that the STR meets the standards required by the FIU is essential for avoiding penalties.
    03
    Timely Reporting
    Businesses must file STRs promptly. Delayed reporting can result in regulatory action against the business.

    How to File a Suspicious Transaction Report (STR)

    Filing an STR involves several steps, and Vigor Accounting & Taxation is here to help businesses navigate this process seamlessly. Here’s how the STR filing process works

    Detection of Suspicious Activity icon

    Detection of Suspicious Activity

    A transaction or a set of transactions that seem questionable is the first thing to be identified. To achieve this, one must actively monitor customer transactions and remain vigilant in spotting red flags. Vigor Accounting & Taxation offers expert advice and training to assist businesses in recognizing these signals at an early stage.
    Collection of Information icon

    Collection of Information

    Once the activity is suspected of being suspicious, it is necessary to collect all relevant data. This includes transaction details, identification of customers, and any documents that may indicate the reason for the behavior that raised suspicions.
    Filing the STR icon

    Filing the STR via goAML

    The STRs in the UAE require submission through the goAML platform. This is a system designed and controlled by the Financial Intelligence Unit (FIU) through which businesses can securely and confidentially report suspicious activities. Our group provides assistance to businesses in the submission of their reports ensuring that every required piece of information is included accurately.
    Confidentiality icon

    Confidentiality and Compliance

    Confidentiality of STR procedure is very essential. Disclosing to the customer or third parties that an STR has been lodged is against the law in UAE. Vigor Accounting & Taxation guarantees that your papers are delicately processed, thus your business is shielded from a legal and reputational standpoint.

    How Vigor Accounting & Taxation Can Help

    At Vigor Accounting & Taxation, we provide a comprehensive range of services to support businesses in managing their AML compliance obligations, including filing STRs. Our services include:

    Transform Your Vision into Reality—Book Your Free Consultation!

    Don’t wait—schedule your free consultation today and take the first step towards transforming your vision into reality!

      Edit Template
      Vigor Groups

      Business Setup in UAE

      Contact Us
      Vigor Groups

      Legal Service

      Contact Us
      Edit Template