The Central Bank of the UAE (CBUAE) has sanctioned an exchange house operating in the country for allegedly renting out its licence.

The administrative sanctions have been imposed on the company’s owner and general manager, pursuant to Articles 87 and 137 of the Decretal Federal Law No. (14) of 2018 regarding the Central Bank and Organisation of Financial Institutions and Activities, according to a statement on Wednesday.

The banking authority did not identify the exchange house. It said the sanctions were imposed after it was discovered that the exchange house had rented out its licence.

The CBUAE prohibited the exchange house from doing business until it has completed the necessary actions and measures to rectify the violation.

“The CBUAE instructed the owner to take necessary actions and measures that the Central Bank deems appropriate to rectify the violation and prohibited the exchange house from conducting any operations and activities until the remediation is complete. The CBUAE also prohibited the general manager from undertaking any designated function at any licensed financial institution in the country other than the exchange house in question for one year,” the central bank said.