Financial Crime World

Title: Liechtenstein’s Crackdown on Financial Crime: AML/CFT Measures and International Cooperation

Liechtenstein’s Strict Stance against Money Laundering and Terrorism Financing

Liechtenstein, a European Economic Area (EEA) member, is renowned for its strict stance against money laundering and terrorism financing (ML/TF). The country has implemented rigorous regulations aligned with the EU Anti-Money Laundering Directives (AMLDs) and Regulation (EU) 2015/847.

Role of the Financial Market Authority (FMA)

The Financial Market Authority (FMA) is responsible for the implementation and enforcement of these measures. Its mandate includes the monitoring of:

  1. Financial institutions
  2. Trust and company service providers
  3. Designated non-financial businesses and professions (DNFBPs)

Violations of these regulations may result in penalties imposed by the FMA.

The Financial Intelligence Unit (FIU)

The FIU in Liechtenstein receives and analyzes reports of suspected ML/TF activities. Its responsibilities include:

  1. Sharing identified information with the Office of the Public Prosecutor for further investigation
  2. Monitoring broader threats of ML/TF across the jurisdiction

Roles and Responsibilities

Office of the Public Prosecutor

The Office of the Public Prosecutor is responsible for investigations, enforcement of the Criminal Code, and parts of the SPG.

Register of Beneficial Owners

Transparency and beneficial ownership are crucial components of Liechtenstein’s AML/CFT strategy. The Act on the Register of the Beneficial Owners of Legal Entities, maintained by the Office of Justice, provides public access to this information.

AML/CFT Measures and International Standards

Liechtenstein’s commitment to adhering to international standards is evident in its long-standing membership in the Moneyval organization, an FATF-style regional body. AML/CFT responsibilities related to financial markets are managed centrally at the European Banking Authority (EBA).

The AML/CFT Standing Committee, comprised of high-level representatives from national supervisory authorities, coordinates and harmonizes regulatory tasks. Liechtenstein is represented by the FMA in the committee as a non-voting member.

Recognized Progress in Strengthening AML/CFT Measures

Moneyval has recognized Liechtenstein’s progress in strengthening its measures to combat ML/TF, achieving favorable outcomes during its fifth round of evaluations.