Fighting money laundering

For many years, the Principality has pursued an active policy to combat money laundering and the financing of terrorism and proliferation (AML/CFT/PF).

Under domestic law, Monaco has adopted an AML/CFT/FP legal framework in line with the international standards recommended by the Financial Action Task Force (FATF).

To this end, since the first anti-money laundering law was passed in 1993, Monaco's legal and regulatory framework has been regularly amended and, on several occasions, strengthened to take account of developments in international best practice.

Act no. 1.362 of 3 August 2009  completely overhauled the provisions that had previously been scattered across a number of different pieces of legislation and updated the standards in line with the FATF Recommendations.

In December 2022, ahead of the publication of the Moneyval report assessing anti-money laundering and countering the financing of terrorism (AML/CFT) measures in Monaco, five laws were passed, mainly with the aim of bringing the criminal procedural framework into line with international requirements.

Following the publication of this report in January 2023 and with a view to responding to the recommendations and observations, the Principality carried out an in-depth overhaul of its legislation and regulations, leading in particular to: 

• The transformation of the Service d'Information et de Contrôle sur les Circuits Financiers (SICCFIN) into an independent administrative authority called the Monegasque Financial Security Authority (AMSF)
• Strengthening measures to ensure greater transparency of data concerning legal entities
• Improving the efficiency of criminal proceedings and the deterrent effect of the criminal justice system, in particular by reducing procedural deadlines, extending the jurisdiction of Monegasque courts, and amending the seizure and extradition system
• And harmonising legislation on trusts

The desire to strengthen cooperation between all the competent authorities was also reflected in the publication in February 2023 of a Sovereign Order reinforcing the remit of the Committee for the Coordination and Monitoring of the National Strategy to Combat Money Laundering, the Financing of Terrorism, the Proliferation of Weapons of Mass Destruction and Corruption, which was set up in December 2021. 

The Committee is assisted by a Permanent Secretariat, an inter-ministerial unit reporting to the Minister of State, whose role is to ensure the coordination of departments, State bodies and independent administrative authorities with responsibilities in the area of anti-money laundering, participating in meetings and work of international bodies (including MONEYVAL and the FATF), preparing the work and meetings of the Coordination Committee, proposing a national strategy and action plan for the State in the fight against money laundering for approval by the Committee, and coordinating the national assessment of money laundering risks.

The Monegasque Financial Security Authority is one of the key links in the organisation set up in the Principality to combat money laundering and the financing of terrorism (amsf.mc ).

It is an independent administrative authority with a Board of Directors responsible for determining its strategic orientations. It is made up of three departments: the Financial Intelligence Unit, the Supervision Unit and the Sanctions Unit:

• The role of the Financial Intelligence Unit (FIU) is to receive, analyse and process the reports sent by the bodies and individuals covered by Act 1.362 of 3 August 2009 on the fight against money laundering, terrorist financing, the proliferation of weapons of mass destruction and corruption, as amended
• The supervisory function: is empowered to carry out off-site and on-site inspections in order to monitor institutions and verify that all the obligations and due diligence imposed on professionals by the legislator are being properly implemented
• The sanction function: responsible, where necessary, for defining the appropriate sanction in the event of breaches of the law, in accordance with the prerogatives described in the aforementioned law

Internationally, the AMSF regularly participates in the work of the MONEYVAL Committee of Experts and develops links and exchanges with its counterparts, both by sharing information under cooperation agreements (ACPR, FINMA, CSSF) and through the secure IT networks set up by FIUs. The AMSF is a member of the Egmont Group (an international organisation that brings together the operational FIUs of more than 140 countries).  

Through its legislative reforms and international commitments, the Monegasque Government is fully committed to the fight against money laundering and terrorist financing.

As part of its ongoing commitment to the fight against money laundering, terrorist financing and the proliferation of weapons of mass destruction, the Government of Monaco is offering training sessions for the private sector:

2 December 2024 (Rainier III Auditorium). A private sector briefing on the role of executives and directors in building a strong AML/CFT framework, monitoring (customer due diligence/enhanced due diligence, targeted financial sanctions and suspicious transaction reporting), understanding risks and a risk-based approach.