The Securities and Commodities Authority (SCA) has reinforced its stance on telemarketing activities related to securities and commodities trading in the UAE.
In a circular released today, the SCA declared that marketing services and products within its jurisdiction through phone calls is prohibited unless prior approval has been secured from the authority.
The SCA's directive underscores its commitment to enforcing compliance with the Cabinet Decision No. (56) of 2024, which governs telemarketing practices. Companies found violating these regulations are subject to penalties. The authority is calling on the public to report any unsolicited or non-compliant marketing calls. Individuals can verify whether a company holds the necessary license by visiting the SCA's website and utilize the “Reporting Capital Market Violations” service to report any infractions.
The new rules prohibit companies from employing high-pressure tactics, deceptive marketing, or making calls outside the permitted hours of 09:00 to 18:00. Additionally, using non-local phone numbers or numbers not registered under the company’s commercial license is also deemed a violation. Marketing calls made to individuals listed on the Do Not Call Registry (DNCR) will also be considered an infringement.
The SCA's stringent measures aim to curb unauthorized marketing practices and enhance transparency in the financial sector. This regulatory push is part of the SCA’s broader strategy to safeguard market integrity and protect investors from misleading practices.
News Source: Emirates News Agency
