Locating hidden assets can be especially difficult if underground banks/informal banking systems like hawala have been utilized. “The Hawala Alternative Remittance System and its Role in Money Laundering”¹ explains that hawaladars, (a.k.a hawala operators), secretly transfer funds to financial accounts maintained in Switzerland, Dubai, the United Kingdom &/or other international financial centers. The money laundering typology² shown below describes how one hawaladar secretly transferred money in a possible terrorist financing scheme. Governmental authorities can search for these assets by focusing on wire transfers & suspicious activity at foreign bank accounts:
¹The Hawala Alternative Remittance System and its Role in Money Laundering, Courtesy of FinCEN.
²Money Laundering Typology / Case Ref: 06060, Courtesy of The Egmont Group.
Image of man digging: JrCasas/Shutterstock.com
Copyright 2013-2016 Fred L. Abrams