Money laundering is one of the most relevant global challenges, with significant repercussions on the economy and international security. Identifying suspicious transactions is a key element in the fight against the phenomenon, but the task is extremely complex due to the constant evolution of...

This study examines how financial sector development mediates the relationship between digital payments and money laundering. The current study relies on a sample of 120 countries, including both developed and developing economies, for the years 2014, 2017, and 2021. The findings reveal that...

The significance of digitalization due to technological advancements in the modern age is becoming increasingly apparent. However, as a result of the rapid global change, serious concerns arise regarding various aspects of proper digitalization, particularly how to leverage it while avoiding its...

As the global economy undergoes rapid digital transformation, cryptocurrencies have emerged as a prominent alternative class of financial assets. Their decentralized nature, pseudonymity, and lack of centralized oversight have attracted considerable interest among investors while simultaneously...

The issue of how the money laundering (ML) risk of countries is measured is not a merely technical problem. It has a strong impact on countries' development, in particular of the Global South. First, because official anti-money laundering (AML) blacklists and grey lists, which frequently include...

Based on a transnational case study of an informal value transfer system that UK law enforcement authorities were able to detect, this doctrinal and qualitative study explores the regulation, supervision and enforcement of unlicensed/unregistered hawala operators and similar service providers...

The 2024 report builds on the significant achievements and lessons learned in previous years, reflecting the EIB Group's unwavering dedication to combating fraud and corruption. The report gives an overview of the Investigations Division's work to prevent, detect, investigate and remedy...

Are sanctions bypassed by hiding money offshore? Using bilateral data on bank deposits, we compare how offshore deposits from sanctioned versus non-sanctioned countries develop after the U.S. and the EU impose financial sanctions. Sanctions targeting individuals increase offshore deposits, as...

This article delves into the transition from traditional tax havens to a new generation of digital jurisdictions powered by blockchain technology. It examines how blockchain wallets and decentralized exchanges are redefining financial sovereignty by offering anonymity, asset protection, and...

This study investigates the impact of corporate governance mechanism on money laundering operations in publicly listed firms in Nigeria, emphasising the efficacy of governance measures and the mediating function of internal audits. The study employed purposive sampling to analyse 177 firms...

Criminal finances, together with money laundering and asset recovery, are central to many forms of organised crime. In recognition of this, the priorities of the European Multidisciplinary Platform Against Criminal Threats (EMPACT)1 on fraud, and economic and financial crimes put emphasis on the...

The objective of anti-money laundering (AML) programs is to disrupt the financial infrastructure of criminal organizations, thereby seizing illicit assets and curbing the expansion of these criminal activities. This paper assesses the effectiveness of AML programs in curbing three distinct forms...

Environmental crime, ranked as the fourth-largest criminal enterprise after drug trafficking, counterfeiting, and human trafficking, encompasses illegal activities such as mineral extraction, land clearance, and waste trafficking. These crimes are closely linked to financial crimes due to their...

This paper analyses the legal frameworks in Kenya and Uganda, and the Financial Action Task Force (FATF) guidelines to ascertain if they are effective in minimising money laundering activities and keeping the countries off of FATF's grey list. The study implements the Two-Pillar methodology that...

The low conviction rate for money laundering, particularly in corruption cases, stems from the technical language of the ML law and the challenges of proving mens rea for ML perpetrators. This paper examines Indonesian corruption cases from 2017 to 2021 and finds that the conviction rate for ML...

In this paper, we investigate the impact of religion on the money laundering risk, focusing specifically on Protestantism compared to other religions. Protestantism is often associated with greater individual self-discipline and stronger institutional economic governance. Analysing data from 27...

The rapid evolution of global trade offers great productivity gains to participating countries but also raises the likelihood of losing domestic resources through trade-based money laundering. This paper empirically examined whether trade-based money laundering affects domestic resource...

Shell companies can be a legitimate entity but can also been used for illicit activities such as money laundering. Users of shell companies have included illegal arms dealers, drug cartels, terrorists and cyber-criminals, as well as legitimate businesses. To assist in distinguishing between...

This paper examines the role of anti-money laundering (AML) regulations and compliance in combating money laundering and terrorist financing (ML/TF) in Canada. AML regulations establish guidelines for financial institutions to identify, prevent, and report suspicious activities. However,...

The rise in the volume of Illicit Financial Flows (IFFs) across the world is triggering calls from the Global South to mitigate the deleterious consequences of both IFFs and tax abuse on their economies. Using a Third World Approaches to International Law lens, this article analyses the politics...

Africa is one of the fastest-growing crypto markets in the world, with its crypto transactions peaking at $20 billion per month in mid-2021, with Nigeria contributing to the world's third largest bitcoin-holding. Evidence continues to grow, showcasing criminals who seek to use cryptocurrencies...

The last five years have seen immense growth in the Nigerian financial services sphere, particularly with the introduction of innovative ways to make, trade and exchange money in a largely unregulated sphere. One of such developments is virtual assets which has opened up a lot of doors in the...

Approximately sixty percent of German goods exports are transported via sea freight. The international shipping industry is dominated by firms registered in offshore centers with little transparency. Criminals feel invited to abuse these opaque constructions for laundering their illegally...

The widespread adoption of cryptocurrencies has transformed the financial landscape by enabling swift, decentralised transactions. However, the pseudonymous nature of digital currencies has also fuelled illicit activities, such as money laundering. Criminals perform money laundering to access...

Debanking became a news story in 2023 when Nigel Farage alleged that Coutts had closed his account because its executives disapproved of his political opinions. A study by the Financial Conduct Authority (FCA) revealed that such ideologically motivated account closures are vanishingly rare....

This study aims to assess the feasibility of providing a unique access point for competent authorities involved in the fight against money laundering and tax evasion to relevant asset registers in the EU Member States. The study first defines a list of assets relevant for money laundering and...

This study assesses the feasibility of setting up a single access point to relevant asset registries in the EU Member States for competent authorities involved in the fight against money laundering and tax evasion. It first defines the relevant assets for money laundering and tax evasion, maps...

The 2023 Investigations Activity Report highlights our commitment to integrity and transparency in all our activities. The European Investment Bank Group (EIB) is dedicated to maintaining the highest standards of integrity and has a zero-tolerance policy for any prohibited conduct. The Group's...

The banking sector of three Baltic countries, i.e., Lithuania, Latvia and Estonia, was abused by money laundering scandals between 2018 and 2020. The Danske Bank scandal was the largest one and, combined with the other scandals, inevitably triggered a heavy critique of national anti-money...

Illicit Financial Flows (IFF) - such as corruption and money laundering - have a significant negative impact on the enjoyment of human rights. Combating IFF is an integral part of the 2030 Agenda for Sustainable Development. SDG 16 explicitly promulgates the relation between the rule of law,...

Money laundering and reverse money laundering, also known as terrorism financing, have emerged as critical issues in the 21st century, posing threats to security, economic stability, and the integrity of financial systems. This article explores the growing use of anonymous shell companies as a...

This paper uses the rare opportunity of the first ever criminal conviction in the UK of a bank for breaches of AML Regulations (NatWest) to examine the AML framework. The article investigates whether the current framework and enforcement are working in addressing the breaches. The article...

Indonesia has been actively developing anti-money laundering (AML) strategies for the past two decades, but a critical gap remains in the informal financial sector that has not received greater regulatory attention. Remarkably, this sector contributes to over half of Indonesia's GDP, with...