Dirty money in clean systems

Abstract

It is said that the laundering of the proceeds of crime is the third biggest industry by value worldwide. In the USA a survey stated that 90% of notes in circulation are tainted with narcotics. Governments all over the world are falling into line and drawing up legislation to control the movement of proceeds of crime. The EC (as it was) in 1991 accepted that it was not possible to control crime by targeting the criminal and that the only way of reducing crime seemed to be try to prevent criminals profiting from their labours. And of course, to profit, the criminal needs to spend money and, wherever money is spent, it sooner or later finds its way into the financial services industry through banking or investments.