Money Laundering Prevention: Deterring, Detecting, and Resolving Financial Fraud

Chapter 11

Conclusion

That money laundering is illegal has done nothing to curb its spread. The evolution of global standards is helping the financial world catch up with the trading world. Because of regional accords, such as the North American Free Trade Agreement (NAFTA), emerging markets, such as India and China, and especially the creation of the World Wide Web, the world is smaller and money laundering has now become an occupation, not just a footnote in the compliance manual. Estimates of the size and pace of money laundering vary, but all agree that the advent of new digital currencies will position the financial sector for a significant change in method and approach to controlling money laundering. Learning methods and technology have expanded through banks and other businesses, permitting regulators and law enforcement to reduce and prevent the laundering of illegal funds. Nevertheless, just around the corner, money laundering can adapt to leap past the established control processes as banking services via electronic networks and other technologies evolve.

Historically, combating money laundering has been a cat-and-mouse game. From required paper records to the dawn of the cashless era, and with the regulators increasing requirements steadily, money launderers respond with more inventive schemes and abuses of technology. With the Patriot Act, the focus shifted from the prosecution of narcotics traffickers to the suppression of terror financing. Since both use the same ...