Financial Crime World

Monaco Cracks Down on Financial Crime: New Legislations to Boost Justice System and Combat Money Laundering, Terrorist Financing, and Corruption

The Principality of Monaco has taken significant steps to strengthen its approach to preventing and combating financial crime. On January 31, 2022, the National Council passed two new bills submitted by the Government, demonstrating Monaco’s commitment to upholding leading international standards in deterring money laundering, terrorist financing, and corruption.

Strengthening Monaco’s Justice System

At the request of Monaco’s Sovereign Prince, the Government finalized crucial provisions aimed at safeguarding Monaco’s banking and financial industry. These measures will augment the capacity of Monaco’s justice system to seize ill-gotten gains:

  • Augment the capacity of Monaco’s justice system to seize ill-gotten gains
  • Expand the scope of offenses pertaining to payment instruments to punish fraudulent transfers involving not just money or monetary value but also “virtual currency”

Professionals’ Obligations to Combat Money Laundering

The newly adopted legislation lays down the obligations for professionals expected to help thwart money laundering, particularly in cases of atypical transactions. The mandated professionals’ list was expanded to strike a balance between risk comprehension and maintaining the allure of the industry in Monaco.

Addressing Concerns from All Parties

Consultations on these newly proposed provisions ensured that concerns from all parties were addressed. The Government was able to justify its choices based on public interest.

First Meeting of the Committee for Coordination and Monitoring

In the coming days, the Committee for Coordination and Monitoring of the National Strategy on Money Laundering, Terrorist Financing, Proliferation of Weapons of Mass Destruction, and Corruption will convene for the first time on February 3, 2022. The Minister of State Pierre Dartout will chair the meeting to discuss and coordinate efforts to reduce financial crimes in Monaco.