Financial Crime World

Title: Monaco Cracks Down on Corruption: New Law Strengthens Anti-Corruption Measures in Principality

Monaco’s Anti-Corruption Initiatives: A Timeline

  • July 24, 2023: Monaco enacts Sovereign Order no. 9.931 to bolster anti-corruption measures
  • 2008: Monaco accedes to the Council of Europe’s Criminal Law Convention on Corruption
  • 2008: Establishment of the Group of States against Corruption (GRECO)
  • Since then: Regular evaluations based on the twenty guiding principles of the convention

Principality of Monaco’s New Anticorruption Law

Monaco has strengthened its anti-corruption measures with the new legislative regulation Sovereign Order no. 9.931, effective from June 15, 2023. The regulations aim to instill ethical conduct among government members and address corruption.

Key Aspects of the New Regulation

  1. Ethics awareness and declaration of assets and interests:

    • Members of the government must perform their duties with loyalty, dignity, integrity, selflessness, impartiality, objectivity, and professional discretion.
    • Establishment of declarations of assets and interests.

  2. Disqualification and abstention procedures:

    • Implementing disqualification procedures when conflicts of interest arise.
    • Members must recuse themselves when these situations present a conflict.

  3. Gifts tracking and monitoring:

    • Reinforcing the monitoring and tracking of gifts to ensure transparency.

  4. Establishment of Ethics Committee and Compliance Officer:

    • Creating an Ethics Committee and designating a Compliance Officer to promote ethical conduct.

  5. Preventing ‘pantouflage’ (nepotism):

    • Establishing procedures to prevent nepotism when a government member plans to enter the private sector.

Future Legislative Efforts

Monaco’s commitment to combating corruption extends beyond the current legislation. Comprehensive legislation is in development to expand these measures to other senior executive positions.

GRECO’s Role in Anti-Corruption Initiatives

GRECO, created in 1999, is a platform for member states to improve their ability to fight corruption by ensuring its adherence to Council of Europe anti-corruption standards.

Upcoming GRECO Evaluation

Monaco’s continued efforts against corruption are demonstrated with the scheduled evaluation visit by GRECO for the fifth evaluation round, scheduled for November 20-24, 2023.