UAE Capital Markets / Securities LawCabinet Resolution No. (45) of 2018 Concerning the Executive Regulations of Federal Law No. (11) of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals

Article (1) Definitions In application of the Provisions of this Resolution, the following words and phrases shall have the meanings assigned to them, unless the context indicates otherwise: UAE: : means the United Arab Emirates; ESMA: : Emirates Authority for Standardisation and Metrology Competent Authority: : Local Authority competent to apply provisions of this Resolution. Committee: : Committee of controlling the trade in precious stones and metals. Stamping: : Tagging the precious metal to indicate its type and its legal carat or purity rank. Official Stamp : The stamp approved in State by the Authority.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of…

Article (2) Everyone issues any precious metal shall be committed to the legal carats specified in

Article (2) of the Law and Annex No. (1) attached to this Resolution.

Article (2) and Article (3) of this Law, as stated in Annex No. (1) attached to this Resolution. 2. Products of diamond, pearl, natural gemstones and manufactured gemstones whose names, classes and particulars stated in Annex (2) attached to this Resolution shall be deemed precious stones and shall subject to provisions of the Law and this Resolution.

Article (3) 1. Platinum and Palladium metals shall form the platinum set and the legal carats for the artefacts of the licensed platinum set shall be in accordance with provisions of

Article (4) The provider shall be prohibited to sell, or offer to sell, the processed items or possess them with intent to sell in any of the sale manners unless have any of the following: 1. They shall be stamped with the official stamp as determined by Annex No. (3) or attached to a label; if their size does not allow for stamping, according to the measurements approved for the stamping dimensions specified in Annex (3) attached to this Resolution, a label shall be attached thereto. 2. They shall be stamped with the foreign stamp.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones a…

Article (5) 1. It is not permissible to export the precious metals, whether processed or non- processed, and precious stones unless accompanied by a certificate of origin or the export label, as determined in Annex No. (5) attached to this Resolution. 2. The label referred to in this Article requires to be clear and installed so that it may not be removed, as well as, it shall be made of a durable and long-term material, it also shall include the data specified in the Annex No. (5) mentioned. 3. The export label referred to in this Article shall be allocated to the products prepared for exportation and may not be issued in the State. 4. If the precious metals and stones referred to in this A…

Article (6) 1. The official stamp shall include the following elements: a. The trademark of the precious metal used as an official stamp as determined by Annex No. (3) attached to this Resolution.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals 6 b. The mark of the carat or purity rank of the precious metal in accordance with the legal carats specified in the Law and Annex No. (1) attached to this Resolution. c. The distinctive form approved by the Authority which indicates the stamping agency as determined by Annex No. (3) attached to this Resolution. 2. The approved st…

Article (7) 1. The precious stones shall be accompanied by a certificate including the data specified in Annex No. (7) attached to this Resolution, according to the following: a. One polished diamond piece if the weight of the one piece is equal to or exceeding (0.30) carat. b. One piece of the precious stones (coloured) if the weight of the one piece is equal to or exceeding (1) carat. c. One seed pearl if the measurement of the one seed id equal to or exceeding (3) mm. 2. The processed item shall be accompanied by a certificate if containing any of the following: a. One or more polished diamond pieces if the weight of the one piece is equal to or exceeding (0.5) carat. b. One piece or more…

Article (8) For purposes of the commercial trade, the item shall be deemed of low carat or purity rank if the percentage of the precious metal therein is less than the following: 1. 500 portions per gold. 2. 800 portions per silver. 3. 850 portions per platinum.

Article (9) Items specified in this Article shall be accompanied by a label including the data specified in Annex No. (8) in case they are presented in the sale outlets, provided that a designated place, to differentiate between them and other items specified in Article (3) of this Resolution, shall be determined for them; these items are as follows: 1. Low-carat, low-purity ranks or inlaid items: 2. The low-carat items which contain stones with weight or measurement less than what had been specified by Article (7) of this Resolution; these items are not required to be accompanied by a certificate.

Article (10) The coated items shall be accompanied by a label indicating the type of the precious metal used for coating, provided that it shall state that the item is coated in case it is presented in the sale outlets of the items processed by the precious metals.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals 8

Article (11) The following shall be required for conducting the activity of stamping or issuing the certificates of the precious metals or stones: 1. The party conducting the activity shall get an approval certificate from the Authority in accordance with provisions of the Cabinet Resolution No. (35) of 2015 Regarding UAE System for Control of Conformity Assessment Bodies (CAB). 2. Compliance with provisions of the Law, this Resolution, application of the standard specifications approved for methods of testing and examination to determine the purity of the precious metal and manuals according to Annexes (1), (2), (3) and (6) attached to this Resolution.

Article (12) For organising exhibits for the processed items and precious stones, the following shall be required: 1. Obtaining a licence from the Competent Authority. 2. Complying with the legal carats specified in the Law and this Resolution. 3. Not to issue the processed items or precious stones in exhibits for sale unless being stamped by the official stamp or accompanied by a label in accordance with provisions of the Law and this Resolution. 4. A certificate shall be attached to the processed items that contain precious stones as stated in Article (7) of this Resolution.

Article (13) 1. The definitions, terms and classifications in the labels and certificates shall be used as contained in the Law, the Resolution and Annexes attached thereto, as the case may be. 2. It is prohibited to use any abbreviations, suggestion or names on the certificate or label for the stones that are not specified in this Resolutions and Annexes attached thereto.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals 9 3. The competent Authority in each Emirate shall undertake the application of the control on the product to ensure the fulfilment of the requirements o…

Article (14) Any provision contrary to or inconsistent with the provisions of this Resolution shall be repealed.

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals 10

Article (15) This Resolution shall be published in the Official Gazette and shall come into effect from the day following the date of publication thereof. Mohammed Bin Rashid Al Maktoum Prime Minister Issued by us: On: 20 Muharram, 1440 H Corresponding to 30 September 2018 AD

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Cabinet Resolution of 2018 Concerning the Executive Regulations of Federal Law of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals 11 The Annexes Attached Under the Cabinet Resolution No. (45) of 2018 Concerning the Executive Regulation of Federal Law No. (11) of 2015 Controlling the Trade in and Stamping of Precious Stones and Metals Annex No (1) Platinum Set The legal carats fo…