Legislation Details
- Full Title: Cabinet Resolution No. (89) of 2021 Regarding the Formation and the Rules of Procedure of the Grievances and Appeals Committee (GAC) Established Pursuant to the Provisions of Federal Decree by Law No. (14) of 2018 Regarding the Central Bank and the Organization of Financial Institutions and Activities
- Law Type: Federal Decree-Law
- Law Number: 89 of 2021
- Issued Date: 28 Sep 2021
- Effective Date: 14 Oct 2021
- Official Gazette: No. 713
- Sector: Finance and Banking
- Status: Active
- Number of Articles: 22
- Chapters/Parts: 0
- Amendments: 0
Summary
This Cabinet Resolution establishes the Grievances and Appeals Committee (GAC) and sets out its formation, rules of procedure, and responsibilities. The GAC is tasked with adjudicating grievances and appeals filed by licensed financial institutions and authorized individuals against decisions made by the UAE Central Bank. The resolution aims to provide a fair and expeditious mechanism for resolving disputes between the Central Bank and regulated entities or individuals. This law is significant for businesses and individuals operating in the UAE financial sector, as it outlines the process for challenging Central Bank decisions that may impact their operations or licensing status. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1-11)
What is the scope and purpose of this law?
The purpose of this Cabinet Resolution is to establish the Grievances and Appeals Committee (GAC) and set out its formation, rules of procedure, and responsibilities. The GAC is tasked with adjudicating grievances and appeals filed by licensed financial institutions and authorized individuals against decisions made by the UAE Central Bank. The resolution aims to provide a fair and expeditious mechanism for resolving disputes between the Central Bank and regulated entities or individuals. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1-2)
What are the key definitions under this law?
The legislation does not provide any specific definitions. It focuses on establishing the GAC and outlining its procedures. (Cabinet Resolution No. (89) of 2021, 2021)
What are the main obligations and requirements?
The main obligations and requirements under this law are: 1. The GAC must be formed with a chairman who is a Federal Court judge, nominated by the Supreme Council of the Federal Judiciary, and members including judges from the Abu Dhabi and Dubai courts, as well as two financial and banking experts nominated by the Central Bank's Board of Directors. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1) 2. The GAC must hold sessions at least twice a year to review its work, and additional sessions can be held upon submission of grievances and appeals or at the request of the GAC Chairman. (Cabinet Resolution No. (89) of 2021, 2021, Art. 5) 3. The GAC must follow a fair and expeditious process to decide on any matter referred to it, and may request additional information, clarifications, documents, and evidence from the Central Bank, the appellant, or the grievant. (Cabinet Resolution No. (89) of 2021, 2021, Art. 7)
What licensing, registration, or approval requirements exist?
The legislation does not specify any licensing, registration, or approval requirements. It focuses on the formation and procedures of the Grievances and Appeals Committee. (Cabinet Resolution No. (89) of 2021, 2021)
What rights and protections does this law provide?
The law provides the following rights and protections: 1. The legislation ensures that the applicant (grievant or appellant) is able to present their defense, the Central Bank is able to respond, and the applicant is able to obtain reports and evidence submitted by the Central Bank, while taking into account the confidential nature of such information. (Cabinet Resolution No. (89) of 2021, 2021, Art. 7) 2. The deliberations and decisions of the GAC's sessions are confidential and not available to the public or the media, unless approved by the GAC Chairman. (Cabinet Resolution No. (89) of 2021, 2021, Art. 5)
Which authorities or bodies are responsible for enforcement?
The key authorities and bodies responsible for the enforcement of this law are: 1. The Supreme Council of the Federal Judiciary, which nominates the GAC Chairman and a substitute member. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1) 2. The Abu Dhabi Judicial Department and Dubai Courts, which nominate GAC members. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1) 3. The Central Bank's Board of Directors, which nominates two financial and banking experts to the GAC. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1) 4. The Minister of Finance, who coordinates with the above entities to submit the GAC member designations to the Cabinet for approval. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1)
What are the penalties for non-compliance?
The legislation does not specify any penalties for non-compliance. It focuses on the formation and procedures of the Grievances and Appeals Committee. (Cabinet Resolution No. (89) of 2021, 2021)
What fees, charges, or financial provisions are specified?
The legislation specifies the following fees for the receipt of grievances or appeals: 1. AED 10,000 for grievances related to the licensing and authorization of authorized individuals. 2. AED 20,000 for grievances related to licensed financial institutions. (Cabinet Resolution No. (89) of 2021, 2021, Art. 9) The legislation also specifies the following annual remunerations for the GAC members: 1. AED 120,000 for the GAC Chairman. 2. AED 100,000 for each GAC Member. 3. AED 10,000 for each session attended by a substitute member. (Cabinet Resolution No. (89) of 2021, 2021, Art. 10)
What exemptions or exceptions apply?
The legislation does not specify any exemptions or exceptions. It applies to all grievances and appeals filed by licensed financial institutions and authorized individuals against decisions made by the UAE Central Bank. (Cabinet Resolution No. (89) of 2021, 2021, Art. 1-11)
How are disputes resolved under this law?
Disputes are resolved through the Grievances and Appeals Committee (GAC) established by this law. The GAC is tasked with adjudicating grievances and appeals filed by licensed financial institutions and authorized individuals against decisions made by the UAE Central Bank. The GAC follows a fair and expeditious process to decide on any matter referred to it. (Cabinet Resolution No. (89) of 2021, 2021, Art. 7)
What are the key deadlines and time limits?
The legislation specifies the following key deadlines and time limits: 1. Grievances must be submitted to the GAC office within 15 working days from the date the concerned person is notified of the Central Bank's decision. (Cabinet Resolution No. (89) of 2021, 2021, Art. 7) 2. The GAC must notify the grievant or appellant and the Central Bank of its decision within 5 working days from the date of issuance of its decision on the grievance or appeal. (Cabinet Resolution No. (89) of 2021, 2021, Art. 8)
How does this law interact with other UAE legislation?
This Cabinet Resolution is issued pursuant to the provisions of Federal Decree-Law No. (14) of 2018 Regarding the Central Bank and the Organization of Financial Institutions and Activities, as amended. It establishes the Grievances and Appeals Committee to adjudicate grievances and appeals against decisions made by the Central Bank under the Federal Decree-Law. (Cabinet Resolution No. (89) of 2021, 2021, Preamble)
When did this law come into effect?
This Cabinet Resolution was issued on 28 September 2021 and published in the Official Gazette No. 713 on 14 October 2021. The resolution entered into force from the day following the date of its publication in the Official Gazette. (Cabinet Resolution No. (89) of 2021, 2021, Art. 11)
Source Documents
This article analyses cabinet resolution no. (89) of 2021 regarding the formation and the rules of procedure of the grievances and appeals committee (gac) established pursuant to the provisions of federal decree by law no. (14) of 2018 regarding the central bank and the organi for legal research and educational purposes. For the purpose of interpretation and application, reference must be made to the original Arabic text. In case of conflict, the Arabic text prevails. This does not constitute legal advice.