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A new draft law that will regulate the process of collecting and distributing donations in the UAE and abroad has been passed by the Federal National Council (FNC). The bill imposes fines of up to Dh500,000 on the violators.
In their meeting on Tuesday, members of the FNC discussed the federal draft law, which consists of 34 articles, before it was approved. It aims to coordinate the relevant efforts of federal and local authorities to regulate ways of collecting donations.
The law prohibits persons and entities from collecting donations, charity or humanitarian aid without obtaining an official licence - whether the donations are collected individually or through charitable campaigns.
It imposes penalties on those who violate its provisions, which include imprisonment and fines ranging from Dh100,000 to Dh500,000, apart from confiscation of donations collected and deportation of the violator after serving their sentences.
The FNC Social, Labour, Population and Human Resources Affairs Committee together with representatives from the Ministry of Community Development had earlier discussed the amendments to the articles of the draft federal law before it presented the final draft to the FNC.
Dherar Humaid Belhoul Al Falasi, the committee chairman, said financial safety indexes and standards of transparency and disclosure have been included in the new draft law.
He noted that the committee had discussed the establishment of a smart e-system that facilitates the collection of donations for relevant associations and entities, to ensure the safety of disclosure and other financial processes.
“The committee had also reviewed many similar laws and studies, to draft a law that bridges all gaps in the donation collection process and ensure the delivery of aid to deserving people, while applying the principles of transparency and disclosure,” said Al Falasi.
Maryam Majed bin Thania, an FNC member who is also a committee member, said the draft law will strengthen the country's position as the world's most advanced provider of foreign aid.
"The law also seeks to support the country's strategy in combating terrorism, by protecting the funds of donors and charities," she pointed out, adding that the committee had discussed the draft law extensively because of its importance in the current times.
Bin Thania said: “The draft law will regulate the process of collecting and distributing donations in the country and abroad in accordance with controls, oversight and transparency on all operations, to ensure the preservation of the donors’ funds and their disbursement."
She noted that new law also aims to support the nation's strategy in combating terrorism, by protecting the funds of donors and charitable societies from exploitation by any suspicious parties or terrorist organisations that use humanitarian work as a way for their illegal actions, through uniting efforts between the parties."
Federal and local authorities will coordinate by linking all parties, charities and humanitarian centres in various emirates and with the Ministry of Community Development, which will have the ability, along with the supervisory authorities, to know any details, data, or numbers related to donation operations, and any campaigns to collect donations with their aims and objectives.
Bin Thania said the new bill completely prohibits ordinary people from collecting donations for humanitarian, charitable or similar reasons, under any circumstance, and by using any means.
ismail@khaleejtimes.com
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