Key facts about Swiss anti-money laundering legislation

While Switzerland is sometimes still seen as a financial market place that is shrowded in banking secrecy and characaterised by lax attitudes, the country has in fact very strict and comprehensive legislation against money laundering.

While Switzerland is sometimes still seen as a financial market place that is shrowded in banking secrecy and characaterised by lax attitudes, the country has in fact very strict and comprehensive legislation against money laundering.

Following are some key facts about the laws:

— The legislation affects all so-called financial intermediaries. These are defined as banks, insurance companies, brokers or other individuals who professionally invest or administer assets.

— Intermediaries who suspect illegal activities must establish the purpose of a transaction and the business context within which the transaction takes place.

— Intermediaries must take measures when they suspect that the money they are working with belongs to a criminal organisation or stems from a criminal act.

— Intermediaries who suspect foul play must report their findings to the government’s Money Laundering Reporting Office.

— Intermediaries must freeze suspicious accounts and assets until further notification by the justice authorities. Intermediaries are not allowed to inform those affected by the move.