Financial Crime World

Monaco’s Struggle Against Money Laundering and Terrorist Financing Earns Praise from International Community

Introduction

The principality of Monaco has been actively combating money laundering and terrorist financing for years, demonstrating its commitment to upholding international standards. The country has adopted a legal framework that mirrors the recommendations of the Financial Action Task Force (FATF) and regularly updates its laws to reflect changes in global best practices.

The foundation of Monaco’s anti-money laundering regime is Act No. 1.362, enacted on August 3, 2009, which consolidated and strengthened existing legislation. This act provides a comprehensive framework for combating money laundering and terrorist financing, and it has been regularly updated to reflect changes in global best practices.

Financial Investigation Unit

The financial investigation unit, Service d’Information et de Contrôle sur les Circuits Financiers (SICCFIN), plays a crucial role in implementing the country’s anti-money laundering measures. SICCFIN is tasked with:

  • Analyzing and processing suspicious transaction declarations submitted by professionals subject to Act No. 1.362
  • Conducting on-site visits to ensure compliance with legal obligations

The unit’s broad investigative powers enable it to effectively monitor transactions and prevent illicit activities.

International Cooperation

Monaco has been an active participant in the Council of Europe’s MONEYVAL Experts’ Committee since joining the organization in 2004, working to establish an effective system for combating money laundering and terrorist financing. Additionally, SICCFIN is a member of the Egmont Group, an international organization comprising financial intelligence units from over 140 countries.

Monaco has also signed 43 administrative cooperation agreements with foreign counterparts to facilitate information sharing and coordination in the fight against money laundering and terrorist financing.

Commitment to Compliance

Through its legislative reforms and international commitments, Monaco aims to guarantee a high level of legal security for monetary and financial transactions, meeting the standards expected of a modern and attractive banking center. The country’s efforts have earned praise from the international community, demonstrating its commitment to combating money laundering and terrorist financing.