San Marino Fails to Fully Implement Anti-Money Laundering Measures

MONEYVAL Report Highlights Areas for Improvement

The Council of Europe’s anti-money laundering body, MONEYVAL, has released a report evaluating San Marino’s progress in combating money laundering and terrorism financing. While acknowledging the country’s efforts in international co-operation and effective national policies, the report criticizes several areas that require improvement.

Key Findings

• San Marino needs to enhance its regulatory framework and strengthen the practical application of anti-money laundering measures.
• The country has demonstrated a substantial level of effectiveness in financial intelligence, confiscation, and terrorist financing investigation and prosecution.
• However, further improvements are necessary in:
  • Enhancing supervision
  • Transparency of legal persons and arrangements
  • Money laundering investigation and prosecution
  • Financial sanctions for terrorism financing

Recommendations

• Establish and apply a criminal justice policy on investigating and prosecuting money laundering cases involving foreign predicates and multiple jurisdictions.
• Promote and conduct proactive parallel money laundering investigations as a policy objective.
• Address the issue of prison capacity to ensure adequate detention facilities.

Implications for San Marino

San Marino’s failure to fully implement anti-money laundering measures raises concerns about the country’s vulnerability to financial crimes and its ability to combat terrorism financing. The report serves as a wake-up call for San Marino authorities to take necessary steps to improve their regulatory framework and enhance their practical application of anti-money laundering measures.

Next Steps

As MONEYVAL continues to monitor San Marino’s progress, it is essential that the country takes concrete actions to address these concerns and ensure compliance with international standards.