What is an example of structuring in money laundering?
An example of structuring would be a business with cash of $17,000 to deposit, breaking it into two deposits, one of $9,000 and the other of $8,000, with specific intent to evade the bank’s currency transaction reporting requirement. It is not enough that a depositor arranges cash deposits in amounts less than $10,000.
What is structuring in anti money laundering?
In one common form of money laundering, called smurfing (also known as “structuring”), the criminal breaks up large chunks of cash into multiple small deposits, often spreading them over many different accounts, to avoid detection.
Is structuring a federal crime?
Money laundering, extortion, and many other white collar crimes may be charged at the state level, but are often prosecuted in federal court. If you have been accused of money laundering or structuring, you need an attorney that is experienced in negotiating with federal prosecutors on your behalf.
What kind of case is money laundering?
Now, in federal court, we see money laundering charges usually in cases involving some type of underlying financial crime. It can be a drug crime. It can also be a fraud or embezzlement crime. It can be a racketeering/RICO Act-type of crime.
What are the consequences of money laundering?
What Are The Negative Effects of Money Laundering on The Economy? Money laundering damages financial sector institutions that are critical for economic growth, promoting crime and corruption that slow economic growth, reducing efficiency in the real sector of the economy.
Why is structuring illegal?
Why are Structuring Transactions considered illegal? Because you are intentionally evading reporting transactions to the U.S. Government by “structuring” financial transactions to be below reporting thresholds (typically $10,000).
Who investigates money laundering?
The United States Department of the Treasury
The United States Department of the Treasury is fully dedicated to combating all aspects of money laundering at home and abroad, through the mission of the Office of Terrorism and Financial Intelligence (TFI).
Why laundering money is bad?
Because money laundering allows criminals to evade economic institutions, it can impact both exchange rates and interest rates. When these rates are negatively affected it can lead to increased inflation and unemployment rates. In turn, this can destabilize an entire economy.