UAE’s federal donation regulation law ensures aid reaches recipients

Hessa Bint Essa Buhumaid, Minister of Community Development, pointed out that the Federal Donation Regulation Act No. (3) of 2021 to regulate donations protects fundraisers’ money in accordance with UAE provisions and regulations that apply to any entity wishing to fundraise in the UAE. including free zones.

Hessa Buhumaid said the law ensures that fundraising and donations reach eligible recipients and realizes the principle of unifying federal and local efforts through coordination between the department and relevant local authorities known by law as ” competent authority”.

Hessa Buhumaid said, “The Donation Regulation Act is fully supported by the UAE government and all relevant authorities and entities; and is also a safe and nurturing setting for humanitarian and social giving, stemming from the traditions and culture of the UAE.”

She urged members of the community to verify the license and authorization of entities responsible for collecting, receiving and giving donations through fundraising, such as charities, federal and local authorities and associations. organizations that are eligible by law, decree or decision to collect, receive and make donations based on updates published by the Ministry of Community Development to the list of entities and associations authorized in this regard.

This was stated by His Excellency during the press conference organized by the Ministry of Community Development to announce the Federal Donation Regulation Act No. (3) of 2021 and its provisions.

During the press conference, Hessa Tahlak, Deputy Undersecretary for Social Development at the Ministry of Community Development, said that the entities authorized to collect donations and fundraise are: Khalifa Bin Zayed Al Nahyan Foundation, Khalifa Bin Zayed Al Nahyan Foundation, charity and humanitarian Zayed Bin Sultan Al Nahyan, Emirates Red Crescent, Al Maktoum Foundation, Mohammad Bin Rashid Al Maktoum Humanitarian and Charitable Establishment, UAE Water Aid, Noor Dubai, Dubai Cares, Al Jalila Foundation, Dar Al Ber Society, Beit Al Khair Society , Dubai Charity Association, Sharjah Charity International, Humaid Bin Rashid Al Nouimi Foundation, International Charity Organization, Al Ihsan Charity Association, Saud Bin Rashid Al Mualla Charitable and Humanitarian Est, Um Al Quwain Charity Society, Saqr Bin Mohammed Al Qasimi Charity and Humanitarian Foundation , Sheikh Saud Bin Saqr Charitable Educational Foundation, Hamad Bin Mohammed Al Sharqi Foundation for Business s, Fujairah Charity Association in addition to other government entities and authorities such as Zakat Fund, Awqaf and Minors Affairs Foundation among others.

Hessa Tahlak said that all authorized and licensed entities that collect and receive donations in all the Emirates must comply with the licensing procedures of the local authorities in each Emirate when they intend to collect donations.

Hessa Tahlak explained that the ministry is currently reviewing humanitarian foundations in the UAE in terms of fundraising and donation mechanisms to ensure compliance with executive regulations and provisions of the law to be announced soon.

The ministry is currently coordinating with local authorities to establish a joint mechanism to classify other charities, associations and companies in the UAE and add them to the list of approved associations and entities in case they meet the required conditions and regulations. .

She noted that according to the new law, there are two types of charitable entities: licensed and authorized entities which are established by laws or decisions or decrees to collect, provide and receive donations and fundraising; and authorized entities authorized by the competent authority to obtain a license for donation collection and fundraising through listed charities in the UAE only.

The Deputy Undersecretary for Social Development added that under the new law, licensed and authorized entities are not permitted to publish, broadcast or promote any material or advertisement for fundraising without the approval of designated authorities. ; no authority is also authorized to organize or perform any act for the purpose of collecting donations without the approval and authorization of the competent authorities.

UAE law prohibits individuals from collecting donations without prior permission from these competent authorities, except for licensed entities as defined in the law.

Regarding donations in kind, food or pharmaceuticals, the law allows such donations in the event that they do not violate the procedures specified in accordance with the laws and regulations in force in the UAE.

As such, Licensed and Authorized Entities are not permitted to accept, transport, store or provide in-kind food or pharmaceutical donations in the UAE, which violate the specifications set forth in the applicable UAE laws.

Authorized and licensed entities will not accept any food or pharmaceutical donations for distribution outside the UAE unless they comply with the stipulated conditions.

The Federal Donation Regulation Law also specifies the regulations and mechanisms to be followed for making donations outside the UAE in accordance with the procedures of the Ministry of Foreign Affairs and International Cooperation.

Penalties and fines for offenders:
Imprisonment and a fine of a minimum of Dhs 200,000 and a maximum of Dhs 500,000 or either of these penalties for anyone who deals in donated funds or engages in financial speculation, or the distribution of income or returns among the members or employees of the associations, while the penalty or fine is doubled in the event of recidivism.

Imprisonment and a fine of minimum 200,000 Dhs and maximum of 500,000 Dhs or one of these penalties for anyone who commits any act by collecting, accepting or making donations that may undermine public order, national security, public morals, and any act that may encourage any ethnic, racial, religious, cultural dispute, or any illegal purpose according to the legal laws in force in the UAE, while the penalty or fine is doubled in case of recurrence.

In all cases, the court orders the confiscation of all donations or sums collected in violation of the provisions of this law.

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