Hayvn Cryptography received a fine of$ 12 million in Abu Dhabi for not having enough AML controls.

Abu Dhabi authorities had to take notice of this for about seven years, but they have since levied$ 12.45 million in fines against the blockchain company Hayvn Group because there are no effective anti-money laundering measures.

Since October 2018, the business and former CEO Christopher Flinos have been directing customer purchases through AC Holding, an unregistered special purpose vehicle. That implies that they were operating in a country where there are hardly any anti-money fraud laws, according to officials.

After his staff finished their investigation, Emmanuel Givanakis, CEO of the FSRA, declared on Monday that those activities were “particularly severe.”

Over 200 fake documents were discovered by investigators on AC Holding letterheads distributed to banking partners, according to investigators, with Flinos constantly disclosing false information to authorities when interrogated.

The controller didn’t make any mistakes.

Additionally, the Registration Authority added another$ 3.61 million to the entire fines for several affiliates, adding an additional$ 8.85 million to the full.

Penalties were distributed evenly among various organizations:$ 3.6 million for Hayvn Cayman, which is a registered Cayman Islands,$ 3.5 million for Hayvn ADGM, the regulated subsidiary,$ 1.5 million for AC Holding Limited, an unlicensed special purpose vehicle, and$ 750,000 for Flinos.

The Registration Authority’s further$ 3.61 million good included$ 3.3 million against Flinos for “providing fake data, engaging in various fraudulent schemes, and falsifying company documents,” with the remaining$ 315, 000 being levied against AC Holding for exceeding its license scope.

Additionally, the authorities entirely prohibited Flinos from sinecures in Abu Dhabi’s financial services sector and revoked Hayvn’s running license.

No consumer money, according to the FSRA, disappeared during the governmental blind spot’s six-year period. ask for comments was not immediately responded to by the regulation nor Hayvn.

One of the biggest police cases ever brought by the Abu Dhabi Global Market, or ADGM, the world’s largest economic center and governmental body established in the UAE money as a free area with its own legal and commercial laws, is this regulation smackdown.

Importantly, during its investigation, the Cayman Islands Monetary Authority acknowledged participation, which shows how international cooperation is expanding.

The Registration Authority’s CEO, Hamad Sayah Al Mazrouei, made no mistakes when making comments about the sanctions.

The Registration Authority may get powerful, equal, and dissuasive disciplinary action “where non-compliance is identified,” he said.

edited by Stacy Elliott.