Money Laundering: Suspicious Activity Reports Exploded

The number of suspicious activity reports in the area of money laundering rose significantly last year. While a little over 6,000 suspicious cases were registered in 2023, there were already nearly 11,000 in 2024, the Financial Market Authority (FMA) announced to journalists on Tuesday evening. FMA board member Eduard Müller interprets the results primarily as a sign of stronger reporting discipline.

"Pursuing a Zero-Tolerance Policy in Money Laundering Prevention"

"The numbers show that awareness of the issue of money laundering has reached the financial sector," said Müller. If violations in money laundering control are nevertheless detected at the financial institutions supervised by the FMA, the authorities act rigorously: in 2024, fines amounting to almost 4.5 million were imposed, compared to just under one million the year before. The increase is due to two cases where deficiencies related to correspondent banks were identified. "We pursue a zero-tolerance policy in the prevention of money laundering," emphasized Müller.

As revealed in the FMA's money laundering report for 2024 presented on Tuesday, the authority initiated 78 investigations last year (2023: 39). There was no increase compared to 2023 in on-site inspections (20) and Fit & Proper tests (11), where those responsible for money laundering prevention at various institutions are tested on their knowledge.

Austria Currently on "White List"

An important topic for the FMA is currently an ongoing review by the anti-money laundering unit FATF. The organization, based at the OECD, scrutinizes countries and their institutions, including companies, banks, and authorities. Among other things, it examines whether the respective country complies with global standards in combating money laundering and shows international cooperation. On-site inspections are also scheduled soon in Austria.

The results are evaluated and categorized via publicly accessible lists. If a state lands on the so-called "grey list" of countries with significant deficiencies in combating money laundering, this is usually associated with restrictions in international financial transactions and significant economic damage: For Austria - currently on the "white list" - the extent would be estimated to be in the high double-digit billion range. However, the FMA does not have concerns that this scenario could occur, at least for its own area. In the financial market, significant progress has been seen in recent times, FMA board member Helmut Ettl expressed confidence.

Start for Anti-Money Laundering Unit

The FMA leadership places high expectations on the EU Anti-Money Laundering Agency AMLA, which began its activities this year, in terms of combating money laundering. By the end of the year, it is expected to employ around 80 to 100 staff, and in the medium term, around 400 people will be deployed in the fight against money laundering. They are to identify new criminal patterns and threats and strengthen cross-border cooperation. Vienna also applied to host the AMLA, but ultimately Frankfurt won the bid - to the regret of the local authority, which had itself contributed to the establishment and would have liked to see the agency's headquarters in the Austrian capital.

(APA/Red)

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