Prevention of money laundering and terrorist financing
The European Parliament and of the Council have adopted directives that call on credit and financial institutions to combat money laundering. The Austrian Banking Act obliges credit institutions to conduct customer due diligence for all transactions to prevent money laundering and terrorist financing.
Sanctions can be imposed through three different channels:
1) Measures of the United Nations (UN) by way of resolutions (after implementation into national law).
2) Measures of the European Union (EU).
3) Exterritorial measures by third countries.
All natural and legal persons in Austria must comply with the measures cited under items 1 and 2.
Embargo compliance at the OeNB
In line with its financial stability mandate, the OeNB has decided to support Austrian banks in combating money laundering and terrorist financing. Since the beginning of 2005, domestic and international payment transactions processed via OeNB accounting systems are automatically checked by a transaction monitoring system designed to ensure compliance with embargo guidelines on listed individuals and entities.