Financial Crime World

Monaco Adopts Sweeping Anti-Money Laundering, Corruption, and Terrorist Financing Law

In a significant move to bolster its legal framework against criminal activities, Monaco’s National Council has adopted Law No. 1.503 on Money Laundering, the fight against corruption, and the financing of terrorism. This new law came into force on December 23, 2020, just days before the deadline set by the European Union.

The new legislation strengthens the legal framework established by Law n ° 1.362 of August 3, 2009, as amended. It also brings Monaco in line with the 5th European anti-money laundering directive, which must be transposed into domestic law by December 31, 2020.

Key Provisions

The new law introduces several key provisions aimed at cracking down on money laundering, corruption, and terrorist financing:

  • Stricter regulations for financial institutions and other entities operating in Monaco
  • Enhanced due diligence requirements for companies and individuals doing business in Monaco
  • Increased scrutiny and oversight of financial transactions

Impact on Businesses Operating in Monaco

The adoption of Law No. 1.503 marks a significant step forward in Monaco’s efforts to combat criminal activities and maintain its reputation as a reputable international financial center. The new law will have far-reaching implications for businesses operating in Monaco, requiring them to adapt to the stricter regulations and increased scrutiny.

Key Takeaways

  • Businesses must comply with enhanced due diligence requirements
  • Financial institutions and entities operating in Monaco are subject to stricter regulations
  • Increased scrutiny and oversight of financial transactions

A newsletter has been published providing detailed information on the main novelties of Law No. 1.503, including:

Key Reminders

  • AML obligations: Companies and individuals affected by the new legislation must review their compliance with anti-money laundering regulations.
  • Impact on AML obligations: The new law introduces stricter regulations and increased scrutiny for financial institutions and entities operating in Monaco.

The adoption of Law No. 1.503 is a significant milestone in Monaco’s efforts to combat criminal activities and maintain its reputation as a reputable international financial center.