In 2019, the Real Estate Regulatory Agency (RERA) at Dubai Land Department (DLD) adopted and activated the bank escrow account mechanism of jointly owned properties (JOPs) using the electronic Mollak system, which constituted a quantum leap in helping JOP owners easily manage and run their projects, reports WAM Agency.
It also contributed to preserving their rights by providing a direct deposit service in their bank accounts, without any relationship of the project developer with these accounts, thus enhancing their trust and transparency.
DLD continues to employ modern and advanced electronic means in strengthening its governance, regulatory and supervisory role, and raising the level of customer satisfaction and happiness in the services provided; the innovative system was met with demand from several local banks. Since its adoption, RERA signed agreements to manage escrow accounts for JOP management companies with nine local banks, which are Abu Dhabi Islamic Bank, United Bank Limited, Commercial Bank of Dubai, Abu Dhabi Commercial Bank, Arab Bank for Investment & Foreign Trade (Al Masraf), Dubai Islamic Bank, Emirates NBD, First Abu Dhabi Bank, and Mashreq Bank.
Marwan bin Ghalita, CEO of RERA, commented, “The introduction of the electronic Mollak system has ensured further transparency and trust in Dubai’s real estate market. Our partners in the nine banks play a crucial role in the smooth management of this digital process that is of great benefit to the owners. We expect that the total services charges that will be audited via the Mollak system will exceed AED 4 billion, which will increase customer satisfaction and happiness, while also save time and costs. We are pleased that these banks have joined us to help us achieve the desired results.”
