Since the 1990s, Monaco has had an active policy on combatting money laundering and terrorist financing.
Monaco has made regular adjustments to its legislative and regulatory arsenal, aligning itself with international standards on money laundering, terrorist financing and corruption. The goal is to make the Monegasque financial industry more resistant to the risks it faces in terms of laundering.
Since 1993, the measures have required banks to conduct constant surveillance of banking transactions. Over time, the reforms have expanded the number of professionals who are required to contribute to efforts to combat dirty money, and these now include insurers, estate agents, notaries, lawyers, trustees, property developers, art professionals, multi-family offices, sports agents, etc.
In the event of any doubt regarding the origin of the funds used in a transaction, all of these professionals are required to send a suspicious transaction report to the Autorité monégasque de sécurité (AMSF).
The AMSF is an anti-money laundering watchdog with investigative powers. It analyzes suspicious transaction reports and carries out inspection visits to the establishments concerned. The Monegasque AMSF also has a sanctions department.
Internationally, the AMSF is a member of the Egmont Group, an international organization that brings together operational financial intelligence units from around the world.
The recent reforms, which transpose the six European directives and the FATF standards, have resulted in, for example, the creation of a register of payment accounts, bank accounts and safes, held by SICCFIN and based on the declarations made by financial institutions. Monaco’s arsenal boosts the capacity of the justice system to confiscate fraudulently acquired capital. It also expands the scope of offences relating to payment instruments. The courts can now punish the fraudulent transfer of “virtual currency”.
Since joining the Council of Europe, Monaco has been a regular participant in the work of the Committee of Experts on the Evaluation of Anti-Money Laundering Measures and the Financing of Terrorism (MONEYVAL). The goal of this European organisation is to ensure that member states have put in place an effective system to counter money laundering and terrorist financing.
In 2022, Monaco also established a Committee for Coordination and Monitoring of the National Strategy on Money Laundering, Terrorist Financing, Proliferation of Weapons of Mass Destruction and Corruption. The Government says that “this Committee is a forum for discussion, dialogue and consultation, focused on a common objective: to implement the national strategy for 2022–2024.”
