Enforcement of breaches of obligations relating to the freezing of funds and economic resources pursuant to international economic sanctions (Sovereign Order No. 11.818 of 12 March 2026 amending Sovereign Order No. 8.664)

Sovereign Order No. 11.818 of 12 March 2026 (JDM No. 8791 of 20 March 2026) replaces Article 12 of Sovereign Order No. 8.664 of 26 May 2021 on procedures for the freezing of funds and economic resources in application of international economic sanctions, as amended.

This update stems from the fact that the Criminal Code ("CP") now punishes breaches of procedures for the freezing of funds and economic resources under Articles 219-1 to 219-4, following the MONEYVAL Law No. 1.559 of 29 February 2024 (Part IV).

Article 12 of Sovereign Order No. 8791 originally provided that “Any failure to comply with the provisions of this Order shall be punishable by the penalties provided for in paragraph 4 of Article 26 of the Criminal Code”, namely a fine of between 18,000 and 90,000 euros.

It now provides that “Breaches of the obligations prescribed by this Order shall be punished in accordance with the provisions of Articles 219-1 to 219-4 of the Criminal Code”, namely:

Article 219-1 CP:

Prison sentence of five years and a fine of between 18,000 and 90,000 euros (subject to authorisations to release or use frozen funds or economic resources issued by decision of the Minister of State) for the following offence:

• I) (any person) failing to freeze funds and economic resources without delay and without prior notification;
• II) (any person) who, directly or indirectly, wholly or in part, in any manner whatsoever, makes funds or economic resources available to the natural or legal persons, entities or bodies referred to; or uses funds or economic resources for the benefit of the natural or legal persons, entities or bodies referred to;
• III) (any person) to provide or continue to provide services that contravene paragraphs I) and II) to the designated natural or legal persons, entities or bodies.

Prison sentence of five to ten years and a fine of between 18,000 and 90,000 euros (subject to authorisations to release or use frozen funds or economic resources issued by decision of the Minister of State) for the following offence:

• IV) (any person) carrying out or participating in transactions intended to, or having the effect of, circumventing, directly or indirectly, the freezing obligation referred to in paragraph I) and the prohibitions on making available and providing services referred to in paragraphs II) and III); (natural persons designated by the Minister of State pursuant to the restrictive measures adopted by the United Nations or the European Union, in view of actions compromising or threatening the territorial integrity, the sovereignty and independence of a State) from declaring to the Budget and Treasury Department (DBT), using the form available on the Prince’s Government website dedicated to the freezing of funds and economic resources, within six weeks of the date of designation, funds or economic resources belonging to them or which they own, hold or control within the territory of the Principality, and not to cooperate with the DBT for the purposes of verifying this information, nor to provide any information or documents requested by the DBT for this purpose.

V) An attempt to commit the offences referred to in this article is punishable by the same penalties.

Article 219‑2 CP:

Double fine of between 18,000 and 90,000 euros for the following offence:

• (any person) failing to inform the DBT without delay of the implementation of the freezing measures provided for in paragraph I) of Article 219-1, and to provide it, for that purpose, with information on the funds and economic resources subject to a freezing measure;
• (any person) failing to provide the DBT, without delay, with all information likely to facilitate the implementation of the freezing measures on funds or economic resources adopted by the Minister of State for the application of restrictive measures adopted by the United Nations or the European Union, in respect of actions compromising or threatening the territorial integrity, the sovereignty and independence of a State;
• (any person) who fails to cooperate with the DBT for the purposes of verifying such information and who fails to provide it, upon request and without legitimate reason, with any information or document within the time limits it sets.

Article 219‑3 CP:

Fine increased tenfold, from €18,000 to €90,000, for the following offence:

• (financial or credit institution) failing to inform, without delay, the supervisory department of the Monegasque Financial Security Authority (AMSF) of any interest payments, other remuneration or payments made to frozen accounts, and of any sums credited to such accounts.

Article 219‑4 CP:

• Without prejudice to the provisions of Article 4-4, any legal person, other than the State, a local authority or a public body, shall be criminally liable as a principal offender or an accomplice for any offence provided for in Articles 219-1 to 219-3, where a lack of supervision or control on the part of a body or representative has enabled the offence to be committed, on behalf of the legal person, by a natural person subject to its authority.
• The criminal liability of the legal person does not exclude that of the natural persons who committed the said offences.