Financial Crime World

Liechtenstein Takes Steps to Fight Corruption in Finance Sector

Combating Bribery and Corruption

In an effort to combat corruption, Liechtenstein has implemented a robust legal framework governing bribery and corruption in its financial sector. The country’s laws define bribery as the offering, giving, receiving or accepting of any advantage with the intention of influencing the behavior of another person in the performance of their official duties.

Investigation and Prosecution

The Financial Market Authority (FMA) and the Office of the Attorney General are responsible for investigating and prosecuting bribery and corruption cases in Liechtenstein. The FMA has jurisdiction over financial market offenses, including bribery and corruption, while the Office of the Attorney General handles criminal investigations.

Liability and Penalties

Under Liechtenstein’s laws, both individuals and corporate entities can be held liable for bribery and corruption offenses. The law also distinguishes between bribery of public officials and bribery of private persons. A public official is defined as any person who exercises public authority or performs public duties, while a foreign public official is considered to be any person who holds a position in the government of a foreign country.

  • Criminal Penalties: Individuals and companies found guilty of bribery and corruption can face criminal penalties.
  • Civil Consequences: They can also face civil consequences, including fines and damages.

Prevention Measures

Liechtenstein has implemented measures to prevent bribery and corruption, such as requiring financial institutions to have anti-money laundering programs in place. The country’s laws prohibit the offering, giving, receiving or accepting of any advantage with the intention of influencing the behavior of another person in the performance of their official duties.

  • Anti-Money Laundering Programs: Financial institutions are required to have anti-money laundering programs in place.
  • Compliance Programs: Companies are required to implement compliance programs to prevent bribery and corruption.
  • Whistleblower Protection: Whistleblowers who report cases of bribery and corruption can receive protection under Liechtenstein’s laws.

International Cooperation

Liechtenstein has taken steps to improve its cooperation with other countries on anti-corruption efforts. In recent years, there have been a number of high-profile investigations and enforcement actions related to bribery and corruption in Liechtenstein’s financial sector.

Effectiveness

Overall, Liechtenstein’s approach to combating bribery and corruption is considered to be effective, and the country has received positive feedback from international organizations such as the Financial Action Task Force (FATF) and the Organization for Economic Cooperation and Development (OECD).