France threatens Monaco over money laundering

France has threatened to take a range of legislative measures against the Mediterranean principality of Monaco unless it tightens its efforts against money laundering.

The banking system in Monaco is run by the French banking commission, but the principality has strict laws about what can be revealed to outsiders.

French government reports say Monaco has been hiding vital information about secret bank accounts and has accused the principality of casting a shadow over Europe's determination to fight illicit money transfers.

The government of Monaco denied it had been lax or that it had refused to co-operate with French authorities.

From the newsroom of the BBC World Service