The Authorization Letter for Cheque Encashment is a crucial document in UAE business operations where cheques remain a significant payment instrument. This document is typically used when the cheque owner cannot personally present the cheque for encashment at the bank, necessitating authorization for another person to act on their behalf. The letter must comply with UAE Central Bank regulations and the UAE Commercial Transactions Law, which govern cheque transactions and banking operations. It includes specific details such as the authorized person's identification, cheque particulars, and the scope and duration of the authorization. Banks in the UAE require this formal authorization to protect against fraudulent transactions and ensure proper documentation of cheque encashment by representatives. The document's format and content are designed to meet the stringent requirements of UAE banking institutions while providing clear and unambiguous authorization for the transaction.

1. Letter Header and Date: Include letterhead (if applicable), date, and reference number

2. Addressee Details: Full name and address of the bank branch where the cheque will be presented

3. Subject Line: Clear indication that this is an authorization letter for cheque encashment

4. Authorizer Information: Full name, Emirates ID number, and contact details of the person giving authorization

5. Authorized Person Details: Full name, Emirates ID number, and contact details of the person being authorized to encash the cheque

6. Cheque Details: Specific details of the cheque including cheque number, amount, date, and issuing bank

7. Authorization Statement: Clear and explicit statement of authorization for cheque encashment

8. Validity Period: Specific timeframe for which the authorization is valid

9. Signature Block: Space for authorizer's signature with name and date

10. Witness Section: Space for witness signature and details as per UAE requirements