CTF – Financial Treason & Crime

AUSTRAC issues know-your-customer, cuckoo smurfing warning

James Frost, 28 June 2021

The financial intelligence regulator has warned reporting entities to stay on top of their obligations, following recent changes to the AML-CTF Act that added clarity on know-your-customer requirements and banned certain types of correspondent banking.

AUSTRAC CEO Nicole Rose spoke of the growing awareness of the damage money laundering was doing to the community in a newsletter that reminded entities they needed to verify a customer before letting them make transactions and contained a guide on how to spot a form of money laundering known as “cuckoo smurfing”, which facilitates the transfer of funds overseas without alerting the authorities. Continue reading “Article: AUSTRAC issues know-your-customer, cuckoo smurfing warning”

China emerging as a global hub for money laundering operations

Vaishali Basu Sharma, 18 September 2020

The Income Tax Department conducted raids in the National Capital Region in August and found that some Chinese individuals, with fake Indian passports, were engaged in large scale money laundering operations. In July, China’s presidency of the Financial Action Task Force (FATF) expired. With nearly one trillion dollars’ worth illicit financial outflows over a decade, China was hardly in a position to set the agenda for international anti-money laundering. Around the globe, multiple money-laundering operations reveal the systemic involvement of Chinese individuals and entities. In a sophisticated attempt to target competitive economies, the rich in China are channelling illicit cash through anonymous shell companies. They are engaging in wholesale money laundering, drug-smuggling, sanctions-busting, and market-distorting schemes. China has, in fact, emerged as the global hub for money laundering, not just for the Chinese but for criminals around the world. Continue reading “Article: China emerging as a global hub for money laundering operations”