Monaco Cracks Down on Money Laundering with New Legal Instruments
The Principality of Monaco has adopted three new laws aimed at strengthening its anti-money laundering policies, marking a significant step forward in the country’s efforts to combat financial crimes.
Why the Change?
The new laws come as part of Monaco’s fifth evaluation cycle by the MONEYVAL Committee, which assessed the country’s compliance with international standards. The changes are intended to transpose European Union directives on freezing and confiscation of criminal assets into domestic law, respond to MONEYVAL Committee observations and Financial Action Task Force (FATF) recommendations regarding Monaco’s anti-money laundering system.
Key Provisions
- Law No. 1.535: Seizure and Confiscation of Instrumentalities and Proceeds of Crime
- Transposes European Union directives on freezing and confiscation of criminal assets into domestic law
- Responds to MONEYVAL Committee observations and FATF recommendations regarding Monaco’s anti-money laundering system
- Law No. 1.536: Code of Criminal Procedure Amendments
- Formalizes international judicial assistance procedures
- Clarifies treatment of foreign requests
- Regulates seizure measures taken in response to international legal assistance requests
- Law No. 1.537: Anti-Money Laundering Regulations for Professionals
- Specifies that professionals carrying out domiciliation activities are subject to anti-money laundering regulations, as recommended by the MONEYVAL Committee
Effective Date and Impact
The new laws took effect on December 17, 2022, marking a significant step forward in Monaco’s efforts to combat financial crimes and meet the highest international standards. Compliance experts like Gordon S. Blair have extensive experience in implementing monitoring procedures and are available to assist clients with similar matters.
Conclusion
Monaco’s adoption of these new laws demonstrates its commitment to combating financial crimes and meeting international standards. The changes will help strengthen the country’s anti-money laundering system, ensuring a safer and more secure financial environment for all stakeholders.