Federal Draft Law of 2014 on Combating Commercial Fraud
As submitted by the Government:
“We, Khalifa bin Zayed Al Nahyan, President of the United Arab Emirates,
After reviewing the Constitution, Federal Law No. (1) of 1972 regarding the competencies of ministries and the powers of ministers, and its amended laws,”
Amendment:
Replace the phrase “and its amended laws” with “and its amendments” for the following reasons:
Replacing the phrase “and its amendments” with “and its amended laws” for greater accuracy in light of what the Federal National Council has recently adopted, especially when the law has only one amending law.
Justifications for the Amendment:
The phrase “and its amendments” can imply one or more amending laws, while the phrase “and its amended laws” in the plural form implies more than one amending law.
This change will be made to all laws mentioned in the preamble of the draft law where the phrase “and its amended laws” appears.
Discussions in the Session:
His Excellency the President:
Are there any comments on the first paragraph of the preamble as amended by the committee? The floor is to His Excellency the Minister.
Dr. Hisham Muhammad Fawzi (Legal Advisor to the Council):
Linguistically, the amendment is correct. In the Holy Quran, Prophet Moses said: “Would you exchange what is better for what is less?” The letter “b” always comes before what you seek, and thank you.
Dr. Hisham Muhammad Fawzi (Legal Advisor to the Council):
When we say “and its amended laws,” if there is only one law that amended this law, we would be referring to it in the plural form when the amendment is singular. But when we say “and its amendments,” it includes both meanings: plural and singular. This phrase is more precise, thank you.
On Oversight of Free Zones:
Dr. Hisham Muhammad Fawzi (Legal Advisor to the Council):
It is agreed that criminal matters apply to free zones, so anyone who commits a crime such as murder, theft, or forgery is subject to federal laws. This law is derived from the Penal Code, where a provision in the Penal Code dealt with product fraud. As a result, it is subject to exceptional oversight.
Article (13):
“Anyone who attempts to commit the crime of commercial fraud shall be punished with imprisonment for a term not exceeding one year and a fine of no less than ten thousand dirhams and not more than one hundred thousand dirhams, or by either of these two penalties.”
His Excellency Ahmed Ali Al-Zaabi:
The definition of an attempt is not specified, which may cause an issue. A comprehensive definition of attempting commercial fraud or providing service in such cases should be included.
Dr. Hisham Muhammad Fawzi (Legal Advisor to the Council):
The attempt is defined in the Penal Code as starting to execute an act with the intent to commit a felony or misdemeanor if it is stopped or its effect fails. All laws do not define the attempt because the attempt is included in the Penal Code, and mentioning the attempt in this law is sufficient.
Article (15) as submitted by the Government:
“Anyone who possesses, with the intention of trading, adulterated, spoiled, or counterfeit goods, knowing their adulteration, spoilage, or counterfeit nature, shall be punished with imprisonment for a term not exceeding one year and a fine of no less than thirty thousand dirhams and not more than one hundred and fifty thousand dirhams, or by either of these two penalties.”
This Article has been deleted:
There is no need to reduce the penalty for possession with the intention of trading. Deletion will subject this case to similar cases considered as commercial fraud, and thus it will be subject to the more severe penalties stipulated in Articles (12) and (14).
His Excellency Sultan Juma Al Shamsi:
I suggest keeping this penalty so that the judge has the authority to choose between the severe and the lenient penalty.
Dr. Hisham Muhammad Fawzi (Legal Advisor to the Council):
According to the Penal Code, there is a principal perpetrator and an accomplice, both of whom are punished with the penalty of the principal perpetrator without the need for additional texts. The acts are criminalized according to what is stated in the law, thank you.
Article (17):
“In the case of conviction for a crime specified in Article (14) of this law, the court must, in addition to the prescribed penalty, order the confiscation or destruction of the food, drugs, crops, products, and tools used. The court may order the publication of the judgment at the convict’s expense in two local daily newspapers, one of which is in Arabic.”
His Excellency the President:
Does the Council approve this article as amended by the committee?
(Approved)
