Title: MONEYVAL Commends Liechtenstein for Progress in Money Laundering and Terrorism Financing Prevention, Urges Further Improvements
Report Highlights Liechtenstein’s Substantial Progress but Identifies Key Areas for Enhancement
The Council of Europe’s anti-money laundering body, MONEYVAL, praised Liechtenstein’s achievements in combating money laundering (ML) and terrorist financing (TF) in their latest report. While acknowledging the country’s efforts, MONEYVAL emphasized the need for additional measures to fortify Liechtenstein’s defenses against ML and TF.
Substantial Progress in Risk Assessment, Policies, and International Cooperation
The report recognized the following accomplishments by Liechtenstein:
- A broad and convergent understanding of ML/TF risks
- Effective production of financial intelligence and proceeds of crime confiscation
- Successful international cooperation with neighbors Austria and Switzerland
- Commitment to upholding AML/CFT policies and setting legal frameworks
Areas Called for Improvement
Despite these noteworthy achievements, MONEYVAL recommended the following upgrades:
- More Comprehensive ML/TF Risk Assessment: While Liechtenstein has made significant strides in risk assessment, a more exhaustive evaluation of risks, particularly in specific sectors, is essential for an effective risk assessment process.
- Intensified Supervision and Preventative Measures: Enhanced oversight of entities, such as increased application of AML/CFT preventative measures by the private sector, is necessary.
- Transparency of Beneficial Ownership Information: Improvements in the transparency and accuracy of beneficial ownership information for legal persons and arrangements are important for effective ML/TF prevention.
- Investigation and Prosecution of Complex ML Cases: Expanding efforts to investigate and prosecute ML cases involving complex legal structures and a wide range of foreign predicate offenses can further strengthen Liechtenstein’s stance against ML.
Other Findings
Additional note-worthy points from the report include:
- Competent authorities are well-equipped to counter TF threats.
- Private sector entities now generally have a good understanding of ML/TF risks.
- The regulatory body responsible for AML/CFT supervision has undergone significant updates and focuses on inspections by its own staff.
- Beneficial ownership information is accessible to competent authorities from both public and private sectors.
Liechtenstein’s commitment to continuous improvement is evident with their status as one of only five member-jurisdictions subject to MONEYVAL’s regular reporting process.