NCJ Number
123771
Journal
FBI Law Enforcement Bulletin Volume: 59 Issue: 4 Dated: (April 1990) Pages: 22-25
Date Published
1990
Length
4 pages
Annotation
Money laundering is perceived by law enforcement to be the most difficult area of drug trafficking to understand and penetrate using traditional investigative tools.
Abstract
Even so, recent investigations successfully penetrated and dismantled several Colombian money laundering organizations. In Operation CASHWEB (Federal Bureau of Investigation) and Operation PISCES (Drug Enforcement Agency), agents infiltrated the highest levels of Colombian drug traffickers and money launderers operating in the United States, Canada, Mexico, Panama, Colombia, and certain Caribbean Islands. Operation C-CHASE, a U.S. Customs investigation, resulted in the indictment of 85 individuals, including several officials affiliated with international banks. Drug trafficking revenues are estimated to be as high as $300 billion annually worldwide, with one-third collected in the United States. Many Colombian money launderers have legitimate businesses involved in the flow of cash between the United States and Colombia, making them natural conduits for drug traffickers to use. Money launderers make every effort to separate the two worlds of drug trafficking and money laundering. Money laundering is a three-step process: (1) illicit money is generated from the distribution and sale of drugs; (2) money is turned over to a money launderer for transfer out of the United States; and (3) money is moved out of the country into international channels by wire transfers, conversion, or smuggling. A good money laundering organization can easily handle $100 million or more each year. 7 references.