Monaco – The right to a bank account will come into force as of 17 October 2020
Legal news │ Monaco – Banking – Credit institution – Natural person – Legal entity
07.2020
Law No. 1.492 of 8 July 2020 relating to the introduction of the right to a bank account (Journal de Monaco N° 8495 of 17 July 2020) stems from Bill No. 991 relating to the introduction of a right to a bank account voted in the Public Session of 30 June 2020, which is the result of the transformation of Bill No. 232 adopted on 24 October 2017.
The text introduces the right to a bank account (access to basic banking services), and also provides for the obligation to open a bank account in a credit institution in Monaco for any natural person exercising a professional, craft, commercial or industrial activity (for the exercise of his/her professional activity), as well as for any any public limited company, general partnership, limited partnership, limited partnership with shares or limited liability company [société anonyme, société en nom collectif, société en commandite simple, société en commandite par actions, société à responsabilité limitée] (exclusively for the exercise of his/her professional activity).
Law No. 1.492 is to be supplemented by Ministerial Order, which will set out the list of documents to be provided to the credit institution in order to open the account.
The following persons without a deposit account are entitled to open a deposit account in a credit institution in the Principality, in compliance with the legislation and regulations on the fight against money laundering, corruption and the financing of terrorism :
• Any natural person of Monegasque nationality;
• Any natural or legal person domiciled in Monaco within the meaning of Article 2 of the Code of Private International Law (A person of foreign nationality holding a residence permit is presumed, in the absence of proof to the contrary, to be domiciled in the Principality. Legal entities having their registered office in the Principality are deemed to be domiciled there).
• Any natural person who is in the process of settling there and who, in this respect, holds the receipt for the corresponding administrative authorisation application;
• Any legal entity being set up in Monaco and which can justify the completion of the administrative formalities required for this purpose;
• Any financial agent appointed by the candidate(s) for election pursuant to Article 11 of Law n° 1.389 of 2 July 2012, for the purposes of carrying out the missions assigned to him/her in application of the provisions of this text.
Also benefits from the right to open a bank account, by way of derogation :
• Natural person acting in the framework of the professional activities or as a financial agent for the needs of each of his/her professional activities or the electoral campaign, even if he/she already holds such an account for his/her personal needs.
• Legal entity holding the authorisation to ICO/STO as referred to in Article 2 of Law n° 1.491 of 23 June 2020 on ICO/STO [See our publication: Monaco adopts Legislation on Initial Coin Offerings (ICO) and Security Token Offerings (STO) “OFFRES DE JETONS”] for the opening of a deposit account specifically dedicated to this offering, even if it already holds such an account for the needs linked to its constitution or the exercise of its professional activity.
In the event of acceptance by the chosen credit institution, the bank account shall be opened no later than 15 working days from receipt of all the documents required (set by Ministerial Order).
If the chosen credit institution refuses to open the account, the Budget and Treasury Department may be asked to designate a credit institution providing deposit and payment account services within 15 working days of receiving the required documents (set by Ministerial Order).