Describe the private banking confidentiality obligations.
Managers and employees of financial institutions operating in Monaco are bound by the rules of professional secrecy. The professional secrecy covers any personal information obtained during the exercise of the professional activity. Violating those rules may lead to prosecution under the provisions of article 308 of the Criminal Code.Scope
What information and documents are within the scope of confidentiality?
The scope of confidentiality covers all information regarding operations carried out on the accounts, the existence of accounts in the name of a person and the nature of these accounts, and the identity of agents or guarantors, as well as information relating to business secrets or privacy.
Precise and non-public information, collected in the privacy of professional relationships with clients, are covered by professional secrecy.Expectations and limitations
What are the exceptions and limitations to the duty of confidentiality?
As in all countries with an organised financial system, the professional secrecy does not apply to information requested by the financial industry’s supervisory and money laundering authorities, which themselves are bound by secrecy rules, or requested by local legal authorities for the purpose of a criminal investigation.
Pursuant to the 1963 Tax Treaty between France and Monaco, the other exception to professional secrecy concerns persons who have their tax domicile in France.Breach
What is the liability for breach of confidentiality?
Article 308 of the Criminal Code provides that any person who, by his or her position or profession, is the depositary of the secret entrusted to him or her, and who discloses that secret, other than in cases where the law obliges or permits him or her to do so, shall be punished by six months to one year’s imprisonment and by a fine from €8,000 to €18,000, or one of these penalties.
In addition, the client may file a civil claim for damages against the company in relation to the violation of the duty of professional secrecy.
Law stated dateCorrect on
Give the date on which the information above is accurate.
27 May 2020.