Money Laundering Should Be Illegal

Money laundering is the process of taking the proceeds of criminal activity and making them appear legal. Laundering allows criminals to transform illegally obtained funds and make them appear as seemingly legitimate funds. Those who commit the criminal activity may attempt to wire the money themselves, but a new class of criminals performs the laundering services to Organized Crime. This new class consists of lawyers, bankers, and accountants. It is a common question as to why criminals launder money. It allows them to move freely throughout society without fear that the funds will be traced back to criminal actions. Laundering also protects the funds from being confiscated by police. (1) There are three parts to money laundering: placement, layering, and integration. The most difficult step in the process would be placement. Placement is the depositing of funds in financial institutions. Under the Federal Bank …show more content…
Congress also enacted the Money Laundering Control Act of 1986 (MLCA). This criminalized money laundering itself. Another aspect of the Act is that it centers its attention on the criminals and conspirators who seek to launder the proceeds of illegal activity, including bankers and members of the professions who assist criminals with money laundering. It also allows the government to confiscate all property that is traceable to violations of laws against money laundering. After 9/11, the federal government began to look more closely at the connection between terrorism and the sale of illegal drugs. According to President George W. Bush, "Terrorists use drug profits to fund their cells to commit acts of murder. If you quit drugs, you join the fight against terror in America." Terrorists have laundered money through countries such as Columbia and Afghanistan.