Austrian anti-money laundering law not EU-compliant
Luxembourg (APA) – According to a ruling by the European Court of Justice (ECJ), the provisions of Austrian law on the liability of legal persons for violations of anti-money laundering regulations and on specified limitation periods are only partially compatible with EU law. The court sees no contradictions with the EU Anti-Money Laundering Directive regarding the limitation periods, but it does regarding the liability of legal persons, according to the judgment delivered on Thursday (Case C 291/24).
The background to the ruling is that the Austrian Financial Market Authority (FMA) imposed a sanction on Steiermärkische Bank und Sparkassen AG for breaches of due diligence obligations. Steiermärkische Bank then lodged a complaint together with two natural persons with the Austrian Federal Administrative Court (BVwG).
The Austrian Federal Administrative Court had doubts as to whether the requirements laid down in the Financial Markets Anti-Money Laundering Act, which link the liability of a legal person to the liability of an identified natural person, violate EU rules on combating money laundering. In addition, it was uncertain whether the limitation periods laid down in the Financial Markets Anti-Money Laundering Act were compatible with EU law.
Liability provisions for legal persons contrary to EU law
The ECJ takes the view that, in the event of an infringement by a legal person, it is not strictly necessary for a natural person to have previously been granted formal party status as an accused. The judgment states: “Rather, under national law, the liability of natural persons is only accessory and supplements the liability of the legal person concerned.” Nor does the natural person have to be named as the responsible party. The national law therefore runs counter to the EU directive.
The decision goes against the opinion of Advocate General Tamara Ćapeta. In July 2025, she had not yet seen any conflict between the national provisions and EU law.
The ECJ, on the other hand, sees no problems with the limitation periods laid down in Austrian law. National law provides for a limitation period for prosecution of three years after the end of the infringement and a limitation period for punishability of five years. (29.01.2026)
