Financial Crime World

Liechtenstein Enhances Anti-Money Laundering Measures, Complies with International Standards

Strengthening AML/CFT Measures

Liechtenstein has reinforced its anti-money laundering (AML) and combating the financing of terrorism (CFT) measures in recent years. The country’s financial regulator, the FMA Liechtenstein, ensures compliance with relevant obligations by individuals subject to due diligence.

Implementation of AML/CFT Regulations

The Due Diligence Act (SPG) and the Ordinance on Professional Due Diligence for the Prevention of Money Laundering, Organised Crime and Financing of Terrorism (SPV) outline the requirements for financial institutions, trust service providers, and designated non-financial businesses and professions (DNFBPs) to comply with anti-money laundering rules when dealing with clients.

Key AML/CFT Obligations

  • Identification and Verification of Clients: Ensure accurate identification and verification of clients.
  • Identification and Verification of Beneficial Owners: Identify and verify the beneficial owners of entities.
  • Clarification of Source of Funds and Wealth: Clarify clients’ source of funds and source of wealth.
  • Ongoing Transaction Monitoring: Monitor transactions for suspicious activity.
  • Reporting Suspicious Activity: File reports of suspicion of money laundering, predicate offenses of money laundering, or financing of terrorism.

Financial Intelligence Unit (FIU)

The FIU receives and analyzes reports of suspicion from individuals subject to due diligence and public authorities. If the FIU suspects a criminal offense has been committed, it reports to the Office of the Public Prosecutor.

Prosecution Authorities

The Office of the Public Prosecutor examines FIU analysis reports and initiates investigations where appropriate. If there is sufficient suspicion of an offence, it files charges with the competent court.

Office of Justice

The Act on the Register of Beneficial Owners of Legal Entities (VwbPG) was enacted to transpose the requirements of the Anti-Money Laundering Directives governing registers of beneficial owners of entities.

Compliance with International Standards

Liechtenstein has actively participated in AML/CFT efforts for decades, guided by international standards set by the Financial Action Task Force (FATF). Since 1999, Liechtenstein has been a member of MONEYVAL, an FATF-style regional body based at the Council of Europe.

Recent Evaluation

In 2021/2022, implementation of the FATF Recommendations in Liechtenstein was reviewed by MONEYVAL as part of its fifth round of evaluations. The report highlighted that Liechtenstein has made progress in improving its measures to combat money laundering and financing of terrorism.