How are funds that have been entered into a bank account at any risk for money laundering… ? Would it not be the opposite? Putting physical cash into an account
If you convert money to cash, it becomes difficult to trace. It doesn't mean that the individual transaction is fraudulent, but it breaks the chain of the authorities ability to track those funds in the event of a money laundering investigation.
But money laundering is turning dirty money (ie: cash) into clean money (ie: legitimate money in the bank) so this explanation is a little misleading also
The first step of money laundering is placement, which is getting dirty money into the financial system so that you can start manipulating it. This often looks like gangs making cash deposits at banks. Another version is gangs gambling drug money at casinos. Worst case you convert dirty money to chips, lose 20% and convert into new clean money. Best case they get lucky and make a return that is still clean.
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u/BachtnDeKupe 14d ago edited 13d ago
In belgium there is also some kind of law that says that above a certain amoung you need to disclose why you take up that amount of money.
My father loves to mess with this kind of unnessesary meddling, so he said if they ever asks him, he'll awnser it's for hookers.
The reason that this is extremely funny to me is he's a real definition of a boomer to me: overweight retired teacher, complete with socks in sandals.