Crime in Cyprus

One of the most prominent cases involving Cyprus is the Magnitsky Scandal, where a significant portion of a $230 million Russian tax fraud was laundered through Cypriot banks.

This case gained international attention after Sergei Magnitsky, a Moscow-based lawyer, exposed the fraud and subsequently died in a Russian prison.

[7] In 2023 Cyprus has been implicated in a major money laundering investigation involving BNP Paribas and a Cypriot brokerage firm, with suspicious financial flows amounting to over €220 million between 2019 and 2021.

[8] The 2022 Council of Europe's Moneyval report highlights that while Cyprus has made progress in combating money laundering and terrorism financing, several challenges remain.

The country has improved its compliance with Financial Action Task Force (FATF) standards, but further efforts are needed to fully implement measures, particularly in the non-profit and virtual asset service provider sectors.

[10] An inquiry led by former judge Myron Nicolatos found that the government had illegally granted over half of the 6,779 passports issued between 2007 and 2020, often bypassing due diligence procedures.

This includes the ability to transfer to open prisons and be considered for early release, adhering to the principle of non-discrimination in line with international standards.