Online Fundraising Without a License in the UAE faces strict federal penalties that may include imprisonment and heavy fines. Authorities have made it clear that launching, promoting, managing, or even sharing unauthorized donation campaigns through digital platforms can trigger criminal prosecution.
The warning was recently reinforced by the UAE Public Prosecution through an awareness video issued under its Criminal Media Center campaign. The message is straightforward. Fundraising must comply with licensing requirements set by the competent authorities.
Why Online Fundraising Without a License in the UAE Is a Criminal Offence
Online Fundraising Without a License in the UAE falls within the scope of Article 46 of Federal Decree-Law No. (34) of 2021 on Combating Rumors and Cybercrimes. The provision imposes imprisonment and or fines on anyone who establishes, supervises, or publishes information on websites or digital platforms to invite donations without prior authorization.
This applies to:
• Social media posts
• Messaging groups
• Donation links
• Crowdfunding pages
• Any online platform used to collect money
Even breaching licensing conditions can lead to prosecution. Intent does not remove liability. Authorities evaluate compliance, not motivation.
Online Fundraising Without a License in the UAE Also Violates Donation Law
Fundraising activities are governed by Federal Law No. (3) of 2021 on the Regulation of Donations. The law clearly states that no individual or entity may organize or conduct donation campaigns without official approval.Calling for contributions through electronic networks without authorization constitutes a criminal offence. The regulatory framework ensures transparency in collection and distribution of funds.
As a result, Online Fundraising Without a License in the UAE is treated as a serious legal violation, not an administrative oversight.
Ramadan Campaigns Increase the Risk of Non Compliance
During Ramadan, charitable initiatives increase significantly. Individuals often create messaging groups to assist families facing financial hardship. However, these informal campaigns may expose organizers to questioning.The National Committee for Combating Money Laundering and the Financing of Terrorism and Illegal Organizations warned that individuals collecting funds may be required to clarify:
• The source of money
• The method of collection
• The distribution process
Legal adviser Dr Abdullah Al Harbi emphasized that fundraising must operate through licensed entities only.
Transferring Money on Behalf of Others Can Trigger Criminal Exposure
Transferring funds for another individual may also create legal consequences.
Under Federal Decree-Law No. (10) of 2025 on Combating Money Laundering and the Financing of Terrorism and Illegal Organizations, liability arises when a person knows, or when sufficient indicators suggest knowledge, that funds originate from criminal activity and proceeds to transfer those funds to conceal their source.
Allowing misuse of a personal bank account can also constitute an offence.
In many cases, investigations begin with small actions such as posting a bank account number online or forwarding an unverified donation link.
Why Authorities Enforce Strict Controls
The UAE maintains strict oversight to prevent fraud, money laundering, and terrorist financing. Licensed charitable organizations operate under supervision and reporting requirements. These controls protect donors, beneficiaries, and the wider financial system.
Without regulation, digital fundraising platforms can be misused.
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How to Avoid Legal Consequences
To remain compliant:
• Donate only through licensed charities
• Avoid creating independent donation drives
• Do not share unverified fundraising links
• Never collect donations in personal bank accounts
• Report suspicious activity immediately
These precautions significantly reduce legal risk.
Online Fundraising Without a License in the UAE Is Not Worth the Risk
Online Fundraising Without a License in the UAE carries serious consequences under cybercrime, donation regulation, and anti money laundering legislation. While charitable giving is encouraged, it must operate within approved legal frameworks.
In the UAE, compliance is mandatory. Fundraising without authorization can quickly escalate from goodwill to criminal liability.
