LIECHTENSTEIN Law and Practice Contributed by: Simon Ott, Andreas Vogel, Husmira Halis and Felix Bayer, Schurti Partners Attorneys at Law Ltd
• if there is a risk emanating from the legal entity that an offence with serious consequences, and for which the legal entity might be responsible, will be committed; • in order to discourage the commission of acts by other entities; or • because of any other particular public interest. 2.7 Deferred Prosecution Liechtenstein criminal law does not provide for deferred prosecution agreements, non-prosecution agreements, or any equivalent thereto. However, the Liechtenstein Criminal Procedure Code stipulates the possibility of withdrawal from the pros - ecution of misdemeanours and other minor offences (with not more than a three-year prison sentence) – “diversion” – if: • the suspect’s culpability is not to be considered serious; • the facts are sufficiently clear; • no general or special preventive reasons require a conviction; and • the offence has not caused a person’s death. If these prerequisites are met, the prosecution will be withdrawn upon payment of a certain amount of money, an out-of-court settlement with the possible victims, or performance of community service. “Diversion” is available for both natural and legal per - sons in criminal proceedings if the prerequisites are met. 3. White-Collar Offences 3.1 Criminal Company Law and Corporate Fraud Liechtenstein criminal law does not provide for spe - cific criminal company law and corporate fraud provi - sions. The most relevant offences in the Liechtenstein Criminal Code in a corporate context are as follows. Fraud The offence of fraud is committed by any person who, with the intent of unlawfully enriching themselves or a
third party through the conduct of the deceived per - son, induces someone to commit an act, to acquiesce in, or refrain from committing an act which damages their assets or those of another person by deception of facts. The sentence for the commission of fraud is imprisonment of up to six months or a monetary penalty of up to 360 daily rates. The qualified form of fraud (ie, severe fraud) is committed by anyone who, for example, uses falsified or forged documents to deceive or causes financial damage of more than CHF7,500. The offence of severe fraud is punished with a sentence of up to three years of imprisonment. The commission of fraud causing financial damage exceeding CHF300,000 is punished with a sentence of imprisonment of one to ten years. Embezzlement The offence of embezzlement is committed by any person who knowingly abuses their authorisation to make dispositions in respect of assets belonging to another person or to bind that other person and there - by causes damage to the assets of that other person. The sentence for the commission of embezzlement is imprisonment of up to six months or a monetary penalty of up to 360 daily rates. If the financial damage caused exceeds CHF7,500, the offence is punishable with imprisonment of up to three years. In the case of the caused financial damage exceeding CHF300,000, the sentence is imprisonment of one to ten years. Fraudulent Bankruptcy The offence of fraudulent bankruptcy is committed by any person who conceals, disguises, sells, or causes damage to a component of their assets, purports the existence of or recognises a non-existent liability, or otherwise actually or in pretence decreases their assets, and thereby frustrates or reduces satisfaction of the claims of their creditors or of at least one of them. The sentence for the commission of fraudu - lent bankruptcy is imprisonment of six months to five years. In the case of the financial damage caused exceeding CHF300,000, the sentence is imprisonment of one to ten years. Both private and legal persons can be liable for the commission of these offences (see 1.5 Corporate and Personal Liability ).
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