Money Laundering: Risks and Countermeasures (From Money Laundering in the 21st Century: Risks and Countermeasures: Seminar Held in Canberra, Australia, February 7, 1996, P 1-11, 1996, Adam Graycar and Peter Grabosky, eds. - See NCJ-169192)

• NCJ Number: 169193
• Author(s): M Levi
• Date Published: 1996
• Length: 11 pages
• Sale Source: Australian Institute of Criminology
• Publication Type: Report (Technical Assistance)
• Language: English
• Country: Australia

Annotation

This paper discusses countermeasures for money laundering in terms of the strategic objectives of money-laundering reporting systems, the issues that regulators must address regulators, and the system used by the United Kingdom.

Abstract

The final objectives of money-laundering regulations include crime reduction and increased revenue from tax collection that might otherwise have been evaded. The intermediate objectives of money-laundering reporting systems include generation of new investigations, assistance in investigations into known or suspected offenders, providing early intelligence to stop the proceeds of domestic or foreign crime from being transferred out of the jurisdiction, and deterring crime. These objectives are all difficult to measure. Central issues for regulators are the adequacy of communication between regulators in different countries, the adequacy of regulation within countries, the effectiveness of communication within financial institutions, and the adequacy of efforts by frontline staff in financial institutions to identify money laundering. The English Criminal Justice Act 1993 makes it a crime for financial institutions to fail to report drug money laundering. The British disclosure system's strength is the nature of the working relationship between law enforcement and financial institutions. Among the remaining issues are how to generate the resources needed to follow up on reports and how to regulate the underground banking system or at least monitor its impact. 5 references