Questions tagged [money-laundering]
Disguising the illegal source of money.
What happens with seized money?
Daniel the drug dealer was caught with 20.000€ of illegaly earned money while crossing the border into Switzerland. The money was covered in traces of all kinds of drugs, so the court did not believe ...
Anti Money Laundering (AML) information on the beneficial owner for clients of a custodian
A custodian bank has a client which is an investment arranger. The funds of the investment arranger's clients are held at the custodian. The custodian has flagged one of the investment arranger's ...
What features are used to distingish between investing and running a money transmitting business?
This question about the risk of money laundering prosecution one could face using decentralized cryptocurrency exchanges is answered by "Generally, local laws will define concepts like "...
Is it possible for an individual to commit money laundering like a bank?
In the classic example of money laundering, Charlie the Criminal would take his dirty money to Bob the Banker and get it in some form that is spendable and transferable. In this situation it would be ...
Is this laundering money?
Arnie is a registered entrepreneur who sells raw wood. He was contacted by Bob. Bob works in a state organization (not private), and was tasked with building several garages on one of the streets of a ...
Recourse to recover funds in a frozen account
Under anti money laundering laws if a bank has grounds for suspicion of money laundering by a customer then they may submit a SAR (suspicious activity report) to the NCA (National Crime Agency) and ...
Charities in the US and money laundering
What regulations apply to charities regarding money laundering? Do they have any equivalent to 'know your client', like 'know your donor'? Do they have a duty to report suspicious transactions? Are ...
Why hasn't Vijay Mallya been extradited yet?
Vijay Mallya is an Indian businessman at present fighting extradition from the UK. Mallya, who owes 17 Indian banks an estimated Rs 9,000 crore. Mallya inherited UB Spirits, known for the Kingfisher ...
Can a business which only loses money be a "money laundering" method?
Let's say a criminal opens a business (a restaurant) which only loses money, there are basically no customers at all or there are very few in a way which is certainly non profitable in a given time ...
Can you buy a luxury car with cash?
Let's say, hypothetically, you try buying a luxury car or expensive jewelry using cash (100 dollar bills in a bag!). Would that be legal? Will IRS or FBI or anybody come knocking on the door asking ...
On the legality of replacing international transfers with intranational ones
Here is a fictional story based on this question. Andrey is a Russian programmer residing in Germany who makes regular wire transfers to his father, Boris, who resides in Russia. Chris & Dasha, a ...
Legality of Chaumian e-cash
In the 1980s, David Chaum, a cryptographer, came up with micropayment system that would achieve cryptographic transaction privacy. Later, in the 1990s, he attempted to build this system, but it did ...
In Canada, is there a requirement of when a Money Services Business (MSB) and their client entity must enter into a service agreement?
I hope the question in the title lends itself to an answer. In case more clarification is required, please do not hesitate to comment below. Some background: In Canada, an MSB is required to verify ...
Could you explain the concept of money laundering in simple terms?
launder 2 informal Conceal the origins of (money obtained illegally), typically by transfers involving foreign banks or legitimate businesses. (from here) Suppose, I have illegally obtained ...
Is it legal to trade bitcoin for cash in Virginia, USA?
I was wondering if trading bitcoin for cash (for example payments on Apple Cash, Venmo or Zelle) is legal in Virginia (USA) or not. I would like to know before I start selling some of my bitcoins.
Can an Australian freelancing platform refuse to pay money to the freelancer?
I was hired as a freelancer via an Australian freelancing platform, did the job and got money credited into my account. However, they suspected that my client made a fraudulent transaction and does ...
Transferring Paypal money to sons friend
I said my son is in prison and his friend. My sons friend has a girlfriend that sends money alot to him and it has to be sent through an approved account so she sends it to me. And the friend has a ...
Can I cashout 25 BTC without proof of provenance?
Back when Bitcoin was worth under 10 USD, a friend sent me 25 BTC as a gift. Since that time, I moved them around different wallets and don't believe I still have the original wallet where I received ...
Would a bitcoin "cleaning" service be legal in New Zealand?
I'd like to create a piece of software or service which takes someone's Bitcoin, goes through a process of "cleaning" it (making it untraceable) and then returning it. Provided the purpose ...
When does it become illegal to exchange bitcoin for cash?
I've read several "stings" and raids for running unlicensed money transfer businesses for people buying and selling bitcoin on localbitcoins. All of the articles are extremely vague and don't explain ...
Legality of Virtual Currency to Purchase Real World Items
A while ago, I saw a company called Listia which would permit users to sign up and attain some amount of Credits. These Credits could then be used to purchase real-world items on the site, such as ...
Is it tax fraud for an individual to declare non-taxable revenue as taxable income? (US tax laws)
Hypothetically, A wants to pay B a considerable amount of money. In order to reduce the paper trail, A pays me the money and I transfer it to B. To further obscure the paper trail, I declare the ...
Why is Silk Road criminal but not LocalBitcoins?
How are the Localbitcoins.com founders safe from money laundering laws? LocalBitcoins says its purpose is to connect buyers and sellers. That legalese makes it escape criminal laws. What about Silk ...
Are charities prevented from paying money to other charities?
I was recently a participant in a group study, in which there was an option for participants to donate the gratuity offered to a charity. However, I received a message from a researcher today saying ...
Cash deposits and money laundering in the UK
In the United Kingdom (UK), the Financial Conduct Authority (FCA) requires that banks have "adequate policies and procedures sufficient to counter the risk that they might be used to further ...
If I pay someone to place a sports bet that wins, have I committed money laundering?
It is my understanding if a private individual sells a chip that is money laundering. Say I pay someone $100 to place a $10000 sports bet that wins. If it wins, I cash the ticket. Have I committed ...
How are the Localbitcoins.com founders safe from money laundering laws?
There are lots of news regarding localbitcoins.com seller arrest against money laundering laws. I know it is seller or buyers responsibilities to follow their local AML laws. But how localbitcoins ...
Are identifiable cryptocurrency miners helping crime?
Say there is a cryptocurrency whose issuers use electronic signatures issued by the government to prevent Sybil attacks (identity forging) to the voting mechanism when new currency units are created. ...
If all the money that comes in and out of my account are by means of cheques and credit cards, can I still commit money laundering?
If I'm not mistaken, paper trail is proof of innocence.
How does the Bank Secrecy Act affect normal law-abiding citizens?
The Bank Secrecy Act of 1970 was designed to detect money laundering by organized criminals. Among other things, it requires banks to report large currency transactions in excess of $10,000 to the ...
In Germany, is there a reward for reporting possible tax fraudsters or money launderers to the authorities?
I could well be wrong and I don't want to go into specifics here, but... Let's assume I know of a business that in reality generates a few hundred thousand euros in revenue and yet shows a P+L with ...
Making bad movies as money laundering scheme?
There is this youtube channel called I Hate Everything in which, among other things, this youtuber reviews Imdb's 100 lowest ranked movies in search for the worst movie: https://www.youtube.com/...
Borrowing from a relative or friend without documentary evidence — is it money laundering?
Suppose a person borrows money from a relative or friend, say, 10 million USD, without documentary evidence — the transaction is purely based on trust and cultural norms. If the borrower invests the ...