BSA LAW

BSA LAW is pleased to announce a significant success achieved by its Tax practice, led by Partner and Head of Tax, Shamma Al Falahi. The Firm’s client had previously sought relief from value-added tax (VAT) penalties under the regime of Federal Decree‑Law No. (8) of 2017 on VAT and Federal Decree‑Law No. (7) of 2017 on Tax Procedures after multiple prior attempts had been unsuccessful. Upon engagement, BSA LAW conducted an in-depth review of the client’s VAT position and procedural history and then engaged in a comprehensive legal analysis and constructive dialogue with the relevant tax authorities. As a result of this approach, the VAT penalties were fully waived in accordance with the applicable legal provisions. This outcome underscores the value of procedural accuracy, diligent representation and deep tax-law expertise in achieving fair results within the UAE’s transparent and established tax-framework. “At BSA LAW, we remain committed to upholding our clients’ rights with precision, professionalism and integrity,” said Shamma Al Falahi. “This matter exemplifies how focused tax and regulatory advice can lead to meaningful relief.”

On 15 October 2025, BSA LAW hosted the 4th edition of its flagship Mock Trial in collaboration with LexisNexis Middle East at the DIFC Academy. Spearheaded by Asim Ahmed, Partner and Head of the Litigation Department at BSA LAW, the event brought together over 50 participants for a simulated criminal case focused on unlicensed crypto trading. The interactive session offered practical insights into regulatory compliance and the workings of the UAE criminal justice system. The session featured a welcome note by Dr. Ahmad Bin Hezeem, Senior Partner at BSA LAW and former Director General of Dubai Courts, and a closing panel with Virtual Assets Regulatory Authority’s (VARA) General Counsel Ruben Bombardi, alongside BSA LAW’s Asim Ahmed, Partner and Head of the Litigation Department; Partner and Head of the TMT Department at BSA LAW, Nadim Bardawil; and Senior Associate Asma Siddiqui, discussing virtual assets trading and compliance in the UAE with the team presenting the trial from BSA LAW: Dana Hassan, Racha Kirouani and Hala Harb. The event was highly engaging, offering participants a unique opportunity to experience the dynamics of a courtroom setting while gaining practical understanding of virtual asset regulations. Its interactive format and expert-led discussions made it an insightful and impactful learning experience for all attendees.

In a precedent-setting decision, BSA LAW’s Criminal Department obtained a full acquittal for its clients in one of the most prominent virtual asset cases in the UAE. The case began before the Court of First Instance, where the clients were convicted of conducting virtual asset activities without a license, in addition to charges of money laundering. The court imposed both financial and criminal penalties. However, the judgment lacked conclusive evidence to establish the elements of the money laundering offence. BSA LAW appealed the decision, arguing that trading or investing in virtual assets without a license does not constitute money laundering unless the funds involved originate from an illicit source. Despite presenting strong legal arguments, the Court of Appeal upheld the original verdict. The firm then escalated the matter to the Court of Cassation, highlighting both a misapplication of the law and a deficiency in the court’s reasoning. As a result, the Court of Cassation overturned the judgment and referred the case back to the Court of Appeal for reconsideration. During the retrial (Case No. 1000/2024), BSA LAW presented comprehensive legal defences and reassessed the facts from a focused legal perspective. The team relied on the provisions of Federal Law No. 20 of 2018 on Anti-Money Laundering and Combating the Financing of Terrorism, along with the regulations governing virtual assets. On 15 May 2025, the Dubai Criminal Court of Appeal overturned the initial ruling and acquitted the clients of all charges. The decision now stands as an important legal precedent in the field. The court based its ruling on the principle that while trading in virtual assets without a license may constitute a regulatory breach, it does not amount to money laundering unless it is proven that the funds were derived from or used to conceal an unlawful source. This ruling represents a significant legal milestone and contributes to the evolving legal framework for virtual assets in the UAE. It reflects the judiciary’s effort to balance financial innovation with the protection of the financial system. The outcome highlights BSA LAW’s capabilities in handling complex legal challenges related to virtual assets and anti-money laundering. It also reinforces the firm's commitment to protecting client rights and contributing to a progressive legal environment aligned with the UAE’s digital and financial development goals. BSA LAW continues to deliver strategic and effective legal solutions that support the UAE’s vision for innovation and regulatory excellence.