Austria

New Documents

The Financial Market Authority of Austria published its 2021 annual report, highlighting supervision and supervision priorities related to minimizing the consequences of the COVID-19 pandemic, curbing the risks of climate change, and preventing money laundering and terrorist financing.

The Council of Europe’s Group of States against Corruption published a second interim compliance report on Austria’s corruption prevention efforts with respect to members of parliament, judges, and prosecutors.

News

Enforcement Actions

The Financial Market Authority of Austria imposed a €100,000 fine on the Pongau, Austria-based bank for two breaches of anti-money laundering and counterterrorist financing obligations.

The Austrian Financial Market Authority announced that it revoked the license of the Vienna-based virtual asset services provider.


Important Facts

  • The U.S. State Department classifies Austria as a jurisdiction of primary concern because it is a major financial center. Austrian banking groups control significant shares of the banking markets in Central, Eastern and Southeastern Europe. Money laundering occurs to some extent within the Austrian banking system as well as in nonbank financial institutions and businesses. Organized crime groups typically launder proceeds derived from fraud, smuggling, corruption, narcotics trafficking and human trafficking. Austrian conviction and investigation statistics reveal that theft, drug trafficking and fraud are the main predicate crimes in the country. Casinos and gambling are legal; casinos must comply with their anti-money laundering and combating the financing of terrorism obligations. Migrant workers in Austria send money home via all available channels, including regular bank transfers, money transmitters, as well as informal and illegal remittance systems. However, there is no evidence to prove that money is being laundered through these channels.
  • KYC Covered Entities: Banks and credit institutions; domestic financial institutions authorized to conduct financial leasing, safe custody, portfolio and capital consulting, credit reporting, and mergers and acquisitions services; brokers and securities firms; money transmitters and exchanges; insurance companies and intermediaries; casinos; all goods dealers; auctioneers and real estate agents; lawyers, notaries, certified public accountants, and auditors
  • STR Covered Entities: Banks and credit institutions; domestic financial institutions authorized to conduct financial leasing, safe custody, portfolio and capital consulting, credit reporting, and mergers and acquisitions services; brokers and securities firms; money transmitters and exchanges; insurance companies and intermediaries; casinos; all goods dealers; auctioneers and real estate agents; lawyers, notaries, certified public accountants, auditors, and customs officials
  • Enhanced Due Diligence Procedures for PEPs: Foreign: Yes; Domestic: No
  • Money Laundering Criminal Prosecutions/Convictions: Prosecutions: 336 (2013); Convictions: 8 (2013)
-Source: 2016 International Narcotics Control Strategy Report (INCSR)

Rankings

FATF i | 2013 methodology

Technical Effectiveness
Compliant : 18 High : 0
Largely Compliant : 18 Substantial : 3
Partially Compliant : 4 Moderate : 6
Non-Compliant : 0 Low : 2

Austria's technical compliance was re-rated in a Nov. 22, 2018 follow-up report.

BASEL i

Rank : 23/110
Score : 4.42/10

TRANSPARENCY INTERNATIONAL i

Rank : 15/180
Score : 76/100

Tax Justice Network i

Rank : 36/133
Score : 56/100