Liechtenstein Falls Short on Anti-Money Laundering Protocols, Says Global Watchdog

FATF Evaluation Reveals Significant Shortcomings

A recent assessment of Liechtenstein’s anti-money laundering laws has revealed significant shortcomings in the country’s efforts to combat financial crime. The evaluation, conducted by the Financial Action Task Force (FATF), found that while Liechtenstein has made some progress in implementing anti-money laundering measures, there are still several areas where the country needs to improve.

Key Findings of the FATF Evaluation

• While Liechtenstein has taken steps to address some of the key concerns identified by the FATF, there are still several areas where the country needs to strengthen its anti-money laundering protocols.
• The evaluation was based on the 2012 recommendations and a methodology established in 2013, which examined information provided by the government of Liechtenstein as well as data collected during an on-site visit to the country.

Areas for Improvement

• Customer Due Diligence: The FATF found that Liechtenstein’s customer due diligence requirements are not sufficient to prevent money laundering and terrorist financing.
• Beneficial Ownership: The evaluation revealed that Liechtenstein’s beneficial ownership regime is not effective in identifying and reporting beneficial owners of companies.
• Suspicious Transaction Reporting: The FATF found that Liechtenstein’s suspicious transaction reporting system is not adequate to detect and report suspicious transactions.

Next Steps

The government of Liechtenstein will now be required to take action to address these concerns in order to bring its anti-money laundering laws into line with international standards.