S. Department of Justice Press Release, 2007). Hiding money in banks of small island nations is a popular form of money laundering, hence the term 'off-shore' companies for the use of concealing funds as well as creating the off-shore gambling facilities themselves.
Relationship between Illegal Drugs and Gambling
The illegal drug trade and illegal gambling often exhibit a symbiotic relationship in the case of money laundering. Casinos have also been used as ways for drug traffickers to launder money as criminals, including drug traffickers, cash in the 'chips' of their winnings -- the purchase of the original chips may have been bought with illegally obtained funds, but by cashing in the chips the funds now appear to be 'earned' through gambling. Even the state lottery has been implicated in money laundering schemes. Members of a cocaine ring engaged in one scheme whereby they would "purchase winning four-digit State of Michigan lottery tickets with drug proceeds from an individual who obtained them from the true winners in cash. These winning tickets, valued at over $1 million, would be redeemed with the State of Michigan's lottery bureau and used to purchase homes, make mortgage payments, and purchase vehicles, hiding the fact that the true source of the money were derived from... drug organization cocaine sales" ("16 Additional People Indicted in Large Scale Drug and Money Laundering Case," U.S. Drug Administration Press Release, 2007).
Changes in the Law
Recently, the U.S. Supreme Court made it more difficult for the federal government to prosecute money-laundering cases. Two cases, one involving a drug courier driving across the border to Mexico border with $81,000 in cash in his car, the other a long-running illegal lottery that operated in bars and restaurants in northwestern Indiana, revolved around the 1986 Money Laundering Control Act. The Act defines money laundering as a financial transaction that "represents the proceeds of some form of unlawful activity" (Greenhouse 2008). The question regarding the illegal lottery "was whether [the term] 'proceeds' referred to the total receipts of the activity or only the net profits. The man accused of running the operation, Efrain Santos, was charged with money laundering based on the payments he made to his runners, collectors and winners. He argued that these payments were made from his receipts, not his profits, and so could not be prosecuted as money laundering" and because of the ambiguity in the law's wording, the court found for the defendant (Greenhouse 2008)....
Under the Annunzio-Wylie Act, the U.S. Treasury is authorized to require financial institutions to adopt anti-money laundering programs that include: (a) internal policies, procedures, and controls; (b) designation of a compliance officer; - continuation of an ongoing employee training program; and (d) an independent audit function to test the adequacy of the program. Source: Zagaris, 1999, p. 1023. Therefore, building a case against sophisticated money-laundering schemes begins with recognizing when a
Illicit finance has come to be a significant issue not only locally, but also internationally. There are numerous delineations of illicit finance, but fundamentally it comes about from the practices, approaches and crimes targeting to transfer financial capital within and out of a nation in violation of national and global laws. Across the world, government administrations are working in tandem and joining forces to combat different illicit financial flows, which
Luijerink & Maguire (2013), Australia's money laundering laws are among the world's toughest, particularly with regards to reporting requirements. Regulated entities are required to report all international electronic funds transfers, regardless of size (Luijerink & Maguire, 2013). Recent anti-money laundering legislation like the Anti-Money Laundering and Counter Terrorism Financing Act of 2006 have been severely criticized for their contradictory ability to glean more information but result in minimal increases
economic crisis in Europe and the increasing costs for European countries to borrow money and bail out other Euro countries in financial distress. The EU nations that use the Euro have experienced a crisis among certain countries with high debt requiring bailouts for Greece and Ireland and the likelihood that Portugal and Spain may also need a bailout. Postponing the restructuring of high interest debts has led to further
Grant Thorton Overview Grant Thornton International is a multinational firm that specializes in a network of independent accounting and consulting firms that provide tax, fiscal advisory services, and assurance to numerous public and private entities. The company is a non-profit, non-practicing global umbrella organization that requires membership and is organized as a private company, incorporated in the United Kingdom, and has no shares of capital stock. In 2012, the organization posted
Business Ethics Company Overview Ethics and Code of Conduct Guiding Principles Our Ideology; Our Objectives; Our Core Values that shape us; As a part of my Business Ethics lesson I have a task to criticize and improve my company's code of ethics, before doing that I want to briefly explain about my company; MLS Holding and what we do? The most effective statements in regard to business ethics are rooted in the strategic vision of an organization
Our semester plans gives you unlimited, unrestricted access to our entire library of resources —writing tools, guides, example essays, tutorials, class notes, and more.
Get Started Now