POLI 219 Lecture 8: Module 8.docx

• School: Concordia University
• Department: Political Sc
• Course: POLI 219
• Professor: Marcel Danis

Document Summary

When criminals move the dirty money out of the country, they have a choice of using financial institutions or non financial institutions. If they do decide to use financial institutions, in order to avoid the reporting requirement, they can either get on the exemption list, they can use smurfs, or they can bribe employees. If the criminals decide not to use financial institutions, they can carry out the cash, they can use foreign currency exchange houses, professional couriers, the small service industry, precious gems and metals, high value collection items or any other object that is easier to hide, or they can use diplomatic passports or the informal banking system (also called the underground banking system, which will be discussed later). It is important to note, however, that the layering stage is especially prevalent in jurisdictions that do not cooperate in anti money laundering investigations.