Background & Purpose
Criminal networks often exploit financial systems to launder money and finance illegal activities through poorly regulated channels. To combat this, the government proposed stricter controls on payment intermediaries.
The Decision
The Swedish parliament approved the government's proposal, meaning clearing companies and payment agents will face much stricter monitoring and reporting requirements.
Does this affect you?
- Payment agents and money remitters: Must undergo stricter vetting by Finansinspektionen to ensure their operations are not misused for financial crime.
- Clearing companies: Are now legally required to actively monitor transactions and report suspicious money flows to authorities.
In Practice
- Clearing companies must actively monitor financial transactions between banks.
- Suspicious transactions must be reported directly to banks and the police.
- Finansinspektionen gains stronger powers to vet payment agents, including those handling alternative systems like hawala.
- Around 1,200 payment agents in Sweden will be subject to stricter suitability checks.