Financial Crime World

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Liechtenstein’s Sanctions Screening Methods Meet International Standards

In its ongoing efforts to combat money laundering and terrorist financing, Liechtenstein has implemented stringent sanctions screening methods that meet international standards. As an EEA member, the country has adopted the 4th and 5th EU Anti-Money Laundering Directives as well as Regulation (EU) 2015/847 on information accompanying transfers of funds.

Implementation Provisions

The relevant implementation provisions are found in:

  • Law on Professional Due Diligence for the Prevention of Money Laundering, Organised Crime and Financing of Terrorism (Due Diligence Act; SPG)
  • Ordinance on Professional Due Diligence for the Prevention of Money Laundering, Organised Crime and Financing of Terrorism (Due Diligence Ordinance; SPV)
  • Act on the Register of the Beneficial Owners of Legal Entities (VwbPG)

Key Roles in Sanctions Screening

Financial Intelligence Unit

The Financial Intelligence Unit (FIU) plays a crucial role in receiving and analysing reports of suspicion from persons subject to due diligence and public authorities. Where it suspects that a criminal offence has been committed, the FIU reports to the Office of the Public Prosecutor.

Prosecution Authorities

The Office of the Public Prosecutor examines the FIU’s 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 Maintains Beneficial Owner Register

The Act on the Register of the 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. The register is maintained by the Office of Justice.

International Cooperation and Evaluation

Liechtenstein has been actively participating in AML/CFT efforts for decades, guided by the international standards of the Financial Action Task Force (FATF). As a member of MONEYVAL, an FATF-style regional body, Liechtenstein has been evaluated on its implementation of the 40 FATF Recommendations.

Good Evaluation Results

MONEYVAL published its fifth report on Liechtenstein in June 2022, which showed that the country has a broad and convergent understanding of its money laundering and terrorist financing risks. Liechtenstein performed very well in comparison with other countries already evaluated and was subject to the regular MONEYVAL follow-up process.

EU/EEA Level Cooperation

At the EU/EEA level, AML/CFT responsibilities relating to the financial market have been centralised at the European Banking Authority (EBA). The FMA represents Liechtenstein in the AMLSC as a non-voting member.