Financial Crime World

Sweden’s Unwavering Commitment to Prevention

Sweden, as a founding member of the United Nations Convention against Corruption (UNCAC), has taken significant strides in implementing Article 14 of the Convention, focusing on the prevention of money laundering.

Legislation and Obligations

Sweden’s legislative framework includes:

  • The Act on Measures against Money Laundering and Terrorist Financing (Money Laundering Act)
  • The Act on Penalties for Money Laundering Offenses (Money Laundering Offences Act)

Obliged Entities: Obliged entities, such as financial and non-financial institutions, are subjected to the following obligations:

  1. Customer due diligence
  2. Maintain accurate records
  3. Report suspected transactions

The obliged entities encompass:

  • Banks
  • Insurance companies
  • Real estate agents
  • Lawyers
  • Accountants
  • Casinos

Figure 1: SWEDEN’S AML/CFT SYSTEM OVERVIEW


```### Primary Groups of Actors

Sweden's system consists of five primary groups of actors:
1. Law enforcement and controlling authorities (Police, Prosecution Authorities, Swedish Tax Agency, and Swedish Customs)
2. Supervisory authorities (Financial Supervisory Authority, Swedish Estate Agents Inspectorate, Swedish Gambling Authority, Supervisory Board of Public Accountants, and three county boards)
3. Self-regulatory organ (Swedish Bar Association)
4. Obliged entities

## Embracing Best Practices and Continuous Improvement

Sweden's approach to money laundering prevention extends beyond the obliged entities. The country's system prioritizes effective communication and cooperation among relevant agencies.

### Inter-agency Communication and Cooperation

_Pursuant to the Money Laundering Ordinance_: Supervisory authorities are required to report any suspicions of money laundering or terrorist financing to the Police Authority without delay.

### Financial Intelligence Unit (FIU)

Sweden maintains a financial intelligence unit (FIU) – Finanspolisen – to analyze and disseminate suspicious transactions reports related to money laundering and terrorist financing. The agency collaborates with FATF, FSRBs, and the Egmont Group.

### Ongoing Challenges and Improvement

Maintaining the efficacy of the system is an ongoing challenge. Creating a mutually reinforcing knowledge network between relevant authorities and the FIU is crucial for addressing new and evolving money laundering risks.

## Technical Assistance: Not Necessary for Sweden

Sweden currently does not require any technical assistance in relation to the aforementioned AML/CFT measures.

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