Financial Crime Definition Takes Center Stage in Liechtenstein as Supervisory Authority Cracks Down on Money Laundering and Terrorism Financing

A Tough Stance Against Financial Crime

The Financial Market Authority (FMA) of Liechtenstein, responsible for overseeing banks, insurance companies, and other financial market participants, is taking a hard stance against financial crime. According to FMA officials, the legal foundations currently in force will be strictly enforced to prevent money laundering, organized crime, and terrorism financing.

Combating Illicit Activities

As part of its efforts to combat these illicit activities, the FMA conducts due diligence supervision on Liechtenstein-based financial market participants. To this end, the authority has outlined professional due diligence requirements for combating money laundering and other financial crimes.

Strengthening the Financial Center

Regulatory projects aimed at strengthening the Liechtenstein financial center are underway. Many of these initiatives are based on implementing European Economic Area (EEA) relevant enactments into national law, to which Liechtenstein is obligated as an EEA member. The FMA plays a key role in preparing these financial market laws on behalf of the Government.

A More Comprehensive Definition of Financial Crime

In light of these developments, experts say that the definition of financial crime in Liechtenstein will become more comprehensive and stringent, reflecting the country’s commitment to combating illicit activities and protecting its financial system from abuse.

Key Takeaways:

• The FMA is taking a tough stance against financial crime
• Due diligence supervision on Liechtenstein-based financial market participants is underway
• Regulatory projects aimed at strengthening the Liechtenstein financial center are in progress
• The definition of financial crime in Liechtenstein will become more comprehensive and stringent