Sweden Cracks Down on Money Laundering with Tough Laws and Strict Supervision

Sweden has taken a firm stance against money laundering by implementing two key laws that provide the foundation for its anti-money laundering efforts.

The Anti-Money Laundering Act (Money Laundering and Terrorist Financing (Prevention) Act)

This act provides the administrative framework for firms operating in specific sectors to prevent them from being exploited for money laundering and terrorist financing purposes. Key provisions include:

• Obligation to report suspicious transactions: Firms subject to the regulations are required to report any suspected instances of money laundering or terrorist financing without delay.
• Reporting requirements: Reports must be filed with the Financial Intelligence Unit within the Swedish Police, which provides detailed instructions on how to submit such reports. Firms can reach out to the Financial Intelligence Unit by emailing fipo@polisen.se.

The Act on Penalties for Money Laundering Offences

This act serves as the criminal law framework covering money laundering and terrorist financing, making it a criminal offense to engage in money laundering activities. This emphasizes the severe consequences of non-compliance.

Supervision by Finansinspektionen

Finansinspektionen is tasked with supervising financial firms to prevent them from being used for illegal activities. The agency’s efforts are focused on ensuring that financial firms adhere to the rules set out in the Anti-Money Laundering Act and take all necessary measures to prevent money laundering.

Increased Transparency

The Swedish government has made available detailed information on its website regarding measures against money laundering and terrorist financing, increasing transparency and part of the country’s ongoing efforts to combat these serious crimes and protect its financial system from illegal activities.