ROLE OF LEGISLATION AND AUTHORITIES IN TACKLING MONEY LAUNDERING OFFENCES IN NSW
Money laundering is a serious criminal offence and a form of white-collar crime. It refers to the action and process of ‘cleaning’ illegal money and attempting to make the money appear legitimate and legally obtained by filtering the money through what otherwise may seem to be legal means.
Criminal gangs often use shell companies, which are otherwise legal companies albeit set up not for the genuine purpose of conducting the business which they appear to be set up for, but rather for the ulterior and illegal motive of committing the money laundering offence. These criminal gangs also attempt to launder money through pubs, clubs and casinos, by passing off the illegally obtained money as genuine gambling winnings. Gaming venues who suspect a money laundering offence is occurring on their premises have an obligation under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006 (Cth) to report this to AUSTRAC (Australian Transaction Reports and Analysis Centre).
The advancements of digital currency, in particular cryptocurrency, and society’s increasing usage of it as a means of investment and to transact, has also provided a further method for individuals and syndicates to commit money laundering offences.
Being convicted of the criminal offence of money laundering attracts severe penalties. If you or someone you know has been accused or charged with a money laundering offence, contact Criminal Lawyers Group immediately for a free consultation with our expert criminal lawyers.
Â
AUSTRAC INDICATORS OF MONEY LAUNDERING OFFENCES
AUSTRAC is Australia’s financial intelligence unit and anti-money laundering and counter-terrorism financing (AML/CTF) regulator. They collect and analyse financial reports and information to generate financial intelligence that contributes to law enforcement and national security investigations.
AUSTRAC’s indicators that assist in alerting to the likelihood of money laundering and terrorism offences include but are not limited to; deposit of gambling proceeds into a foreign bank account, cash deposited domestically with the funds subsequently withdrawn from ATMs offshore, frequent transfers indicated as loans sent from relatives and large cash deposits into company accounts. The existence of these factors doesn’t necessarily mean that the money laundering offences are in fact being committed, although are considered potential red flags for authorities and investigating agencies.
THE EFFECT OF MONEY LAUNDERING OFFENCES IN OUR SOCIETY
Money is naturally the central component that drives a large proportion of criminal activity, so it is clear that the ability to conceal the illegality and sources of such money enables financially driven criminal activity to occur and flourish. Research conducted by the Australian Institute of Criminology, in collaboration with AUSTRAC, found that criminal syndicates committing money laundering offences are responsible for more than twice as much crime-related harm as groups not involved in money laundering. Their research also estimated that each year a criminal syndicate is able to commit the criminal offence of money laundering, the crime related harm they cause to the community increases by 49%.
It is therefore a natural response that Governments, agencies and authorities devote considerable resources towards preventing, catching and prosecuting individuals and groups committing money laundering offences, with those convicted at risk of significant penalties.
WHAT DOES THE LEGISLATION SAY ABOUT MONEY LAUNDERING OFFENCES?
At the Commonwealth level, a person committing the offence of money laundering would be in breach of Part 10.2 of the Criminal Code Act 1995 (Cth), which deals with a variety of offences relating to property that is used in connection with serious crime. Within this part of the legislation, Division 400 specifically prohibits the offences which are constituted as money laundering. If you are convicted of any of the offences of money laundering through this federal legislation, you may face maximum penalties between 12 months imprisonment and life imprisonment, depending on the specific money laundering offence.
At the NSW state level, money laundering offences are illegal pursuant to Part 4AC of the Crimes Act 1900Â (NSW). Maximum penalties range from 3 years imprisonment to 20 years imprisonment, depending on the specific money laundering offence.
Â
CONTACT US NOW
Our team of specialised criminal lawyers are proven to obtain the best possible results for clients charged with money laundering offences. Contact Criminal Lawyers Group for a free consultation now so that we can fight your case and achieve the best outcome.