Money Laundering

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According to Hopton (2009), money laundering tends to allocate dirty money around the world on the basis of avoiding national controls and therefore tainted money tends to flow to countries with less stringent controls. Money laundering has a major affect on the businesses that were used for the crime. The integrity of the bank and their financial services are depended heavily on professionalism and ethical standards. A reputation of integrity is one of the most valuable assets of any financial business. People want to be able to trust the place of business where they are conducting their own personal business. If a business is manipulated through money laundering schemes, then the business itself is used by criminals and has become part of the criminal network. This could be very damaging to how other financial institutions view the business, as well as the customers who do business there. They many now look at this business as untrustworthy and this will cause the business to lose money and customers because no one will ever want to do business there again. Money laundering rewards corruption and crime and damages the integrity of the society and undermines democracy and the rule of law (Hopton, 2009). There have been many anti money laundering assessments implemented to try to prevent the act of money laundering. One of the first ways was to put into action some legal acts that would enforce the financial businesses and banks to cooperate with the crime by reporting things that became suspicious. That is when the Bank Secrecy Act was passed. This was meant for all managers and employees to report any type of activities that they felt were not normal. There are prevention methods used to deter criminals accessing ... ... middle of paper ... ...money laundering? Crime school: money laundering: true crime meets the world of business and finance (pp.21-22). Buffalo, N.Y: Firefly Books. Perez, E., & Mollenkamp, C. (2010, March 18). Wachovia settles money-laundering case. The Wall Street Journal. Retrieved from http://online.wsj.com/article/SB10001424052748704059004575128062835484290.html Reuter, P. & Truman, E.M. (2004). The anti-money laundering regime. Chasing dirty money: the fight against money laundering (pp.46-48). Washington, D.C: Institute for International Economics. Statistical data – money laundering investigations. (2011). Retrieved March 20, 2011, from IRS website: http://www.irs.gov/compliance/enforcement/article/0,,id=113002,00.html Woods, B.F., (1998). The money laundering phenomenon. The art and science of money laundering (pp 1-4). Boulder, CO: Paladin Press.

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