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Anti-Money Laundering (AML) Lawyer

The use of companies and enterprises for laundering illegally obtained money is considered one of the main threats to national security in many developed countries. Congress has passed numerous laws aimed at preventing, detecting, and punishing American organizations that act as intermediaries for laundering illegally obtained funds.

AML is deeply integrated into the federal law enforcement system. Anti-money laundering laws require businesses to implement stringent control measures and regular reporting. Failure to comply with these requirements can lead to significant fines, asset freezing, and even long-term imprisonment. In such circumstances, the assistance of a professional AML lawyer becomes an essential part of protecting a company’s interests. Our team sanction lawyers will help businesses implement effective AML (Anti-Money Laundering) control measures, comply with international and national laws, prepare reports, and minimise potential legal and financial risks.

What is Money Laundering?

Money laundering is the process through which criminals attempt to disguise the illegal origins of money by making it appear as though it comes from legitimate sources. The aim of money laundering is to integrate “dirty” money, acquired from unlawful activities (such as drug trafficking, corruption, fraud, or other crimes) into the legal financial system. It’s a serious crime that undermines the economic stability of countries, facilitates the financing of terrorism, and supports organised crime.

The process of money laundering typically goes through three main stages:

Placement: the introduction of illegally obtained funds into the financial system. This can occur through depositing cash into bank accounts, purchasing securities or other assets.
Layering: the creation of a complex network of financial transactions to obscure the origins of funds. This involves numerous transfers between accounts, utilising offshore companies and accounts.
Integration refers to the process of reintroducing funds into the economy as legitimate assets. Money is invested in property, businesses, or other legal enterprises, creating an illusion of the legality of their origins.

Main methods of money laundering:

Structuring (Smurfing): the process of breaking down a large sum of money into smaller transactions to avoid suspicion and mandatory reporting by financial institutions.
Utilising offshore accounts: transferring funds to jurisdictions with low levels of financial oversight and transparency.
Shell companies: the creation of front companies for conducting fictitious transactions and concealing actual financial flows.
Investments in movable and immovable property: purchasing expensive goods or real estate, which can then be sold or used to generate legal income.
Trade-based money laundering: the manipulation of the value of goods and services in international trade to move money across borders.

Money laundering is a criminal offence in many countries. Punishments can include lengthy prison sentences, substantial financial penalties and fines, confiscation of assets, damage to business reputation, loss of clients and partners, bans on certain types of activities, and restrictions on holding executive positions.

Why Choose Us?

Our company has many years of experience in the field of financial and economic crimes. We have successfully represented the interests of both private individuals and large corporate clients in complex and multi-level cases.

Our specialists offer a comprehensive range of legal services, providing full support in every aspect.

We meticulously examine all aspects of the situation, identify weaknesses and strengths, and develop an effective defence strategy.
We assist in gathering the necessary documents and information that can support your position.
We protect your rights and interests in court using all available legal tools.
We are engaging in dialogue with law enforcement and regulatory bodies to resolve the situation under conditions that are as favourable for you as possible.
We guarantee complete confidentiality and adherence to ethical standards in our work with clients.

Our team is comprised of highly qualified solicitors with years of practice. We respond swiftly to enquiries and actively work in the interests of our clients. We are capable of providing protection across various jurisdictions thanks to our international network of partners.

U.S. Anti-Money Laundering (AML) Laws

The United States has developed a comprehensive legal framework to combat money laundering.

The Bank Secrecy Act (BSA) of 1970 is a foundational document in the field of Anti-Money Laundering (AML). It requires financial institutions to keep records and report certain transactions that could be used for money laundering or financing illegal activities. There’s an obligation to inform the US Department of the Treasury about any cash transactions exceeding $10,000. Financial institutions must also file Suspicious Activity Reports (SARs) if they suspect a transaction is related to illegal activity.

The Money Laundering Control Act of 1986 was the first to define money laundering as a federal crime and prohibited certain financial transactions associated with proceeds from criminal activity. Money laundering became a separate offence, independent of the underlying crime.

The USA PATRIOT Act of 2001, enacted following the events of September 11th, expanded the capabilities of law enforcement agencies in combating terrorism and money laundering. The requirements for customer identification (Customer Identification Programs, CIP) were strengthened. The scope of Anti-Money Laundering (AML) measures was broadened to include non-banking financial institutions (brokers, dealers, and others).

The Anti-Money Laundering Act of 2020 is part of the National Defense Authorization Act and represents the most significant update to AML legislation in recent decades. It introduced requirements for companies to report information about their beneficial owners to the Financial Crimes Enforcement Network (FinCEN). Additionally, the penalties for violating AML legislation have been increased.

Issues During Anti-Money Laundering Investigations

The scale of the federal legislative framework for combating money laundering raises numerous questions that could lead to investigations by the Justice Department, FBI, and FinCEN.

The first issue lies in the complexity of tracking international financial flows. Funds obtained through illicit means are often moved across numerous networks of international transactions, including offshore accounts, shell companies, and various financial institutions. Unravelling such schemes requires significant effort because jurisdictions with a high level of confidentiality in financial operations hinder access to information. As a result, law enforcement agencies can’t always effectively monitor the movement of funds and prove their criminal origin.

The next issue is the lack of resources and specialists. Investigating financial crimes requires significant resources and specialised knowledge in finance, accounting, and data analysis. Unfortunately, not all countries can afford to train qualified specialists and invest in new technologies for processing vast amounts of information. The shortage of resources is particularly noticeable in developing countries, making them vulnerable to money laundering through local financial structures.

Another challenge is the use of cryptocurrencies and anonymous transactions. With the advancement of digital technologies and cryptocurrencies, new methods for concealing the origin of funds have emerged, making it difficult to track transactions. Such operations are virtually untraceable and can be conducted without the intermediation of financial institutions.

Why your Business Can be Targeted in an Anti-Money Laundering Investigation?

Transactions involving large sums or unusual transactions. If your business frequently conducts large financial operations, it may attract the attention of law enforcement agencies. Transactions that do not match the typical profile may be perceived as an attempt to conceal illegal income.

The absence or insufficiency of AML compliance programs. If your business fails to adhere to AML standards, you risk attracting the attention of regulators. For instance, the lack of a system for monitoring suspicious transactions, conducting KYC (Know Your Customer) checks, and internal control can become a reason for initiating an investigation. Companies without proper AML procedures are viewed as potential venues for money laundering.

Working in a high-risk sector. Real estate, jewellery, art trading, casinos, fintech, and other markets are considered areas with an increased risk of money laundering. If your business falls into one of these sectors, the likelihood of being audited increases.

Partnerships with companies in offshore locations. Offshore jurisdictions and countries with minimal financial oversight are often used to conceal income sources. Collaborating with such companies could lead to Anti-Money Laundering (AML) checks and investigations.

Suspicious customer behaviour. If customers engage in suspicious activities (regular transfers of large sums or refusal to undergo identification), this can also be grounds for checks.

Consequences of Non-Compliance

Ignoring AML (Anti-Money Laundering) requirements or insufficient control measures can lead to serious legal consequences for the company, its management, and employees.

One of the most common forms of punishment for failing to comply with Anti-Money Laundering (AML) legislation is fines. The amounts can reach tens or even hundreds of millions of dollars, depending on the scale of the breach and the size of the company. Financial penalties can be imposed on both the organisation itself and its leadership, making them a significant financial burden and undermining the company’s reputation.

In some countries, failing to comply with AML (Anti-Money Laundering) regulations can lead to criminal prosecution. The penalties vary from substantial fines to imprisonment for several years.

In the event of a serious breach of AML (Anti-Money Laundering) legislation, a company may be prohibited from continuing its operations. This could include a temporary suspension of activities, revocation of its licence, or the blocking of certain transactions. In some cases, companies are stripped of the right to conduct business in the financial sector or related fields.

Failing to adhere to AML (Anti-Money Laundering) regulations can severely damage a company’s business reputation. Suspicions of money laundering deter customers, investors, and business partners, complicating further business operations. Reputational losses can lead to a decrease in market value, worsened financing conditions, and a loss of trust in the market.

Potential Defenses to Anti-Money Laundering Allegations

One of the primary methods of defending against accusations of money laundering is to have transparent and comprehensive documentation that verifies the legality of income sources. It’s essential to provide financial statements and tax returns, contracts with clients and partners, bank transaction records, and other documents. Proper documentation and storage will help convince the court of the legitimacy of the funds and protect you from accusations.

If a business strictly adheres to compliance rules, including customer identification (KYC) procedures, transaction monitoring, and the detection of suspicious activities, it serves as a strong argument in defence. A compliance programme demonstrates that the company is taking active steps to prevent money laundering, which can significantly strengthen your position in court.

Engaging independent experts to analyse financial activities and assess suspicious transactions can become a crucial part of protection. Expert opinions will help explain the nature of the operations and prove that the transactions were in line with the company’s business objectives. The views of financial analysts, auditors, and other specialists can strengthen confidence in your position.

In some instances, charges may be based on insufficient or improperly gathered evidence. An experienced solicitor can assess whether procedures and rules were followed when collecting information and, if necessary, challenge the admissibility of the evidence. If the investigation was conducted in violation of the suspect’s rights, this could be grounds for excluding certain pieces of evidence from the case, thereby weakening the prosecution’s position.

Key Services

Our company offers comprehensive services for the prevention and detection of financial crimes, supporting clients at every stage – from strategy development to representation in legal proceedings.

Our services in the AML (Anti-Money Laundering) sector:

Consultation on legal and regulatory issues: our specialists assist in navigating compliance requirements, understanding current regulatory changes, and identifying necessary measures to minimize risks. We develop strategic recommendations that will enable your business to comply with legislative norms and avoid fines and sanctions.

Development of compliance programmes: We assist in developing and implementing a compliance system, including procedures for identifying suspicious transactions, transaction monitoring, and adhering to AML standards.

Policy and Procedure Development: The team develops policies and procedures, including Customer Identification Programmes (CIP), Customer Due Diligence (CDD), and Enhanced Due Diligence (EDD), to ensure compliance with requirements for reporting suspicious activities and currency transactions, as well as requirements for electronic transfers and other types of record-keeping.

Support during regulatory audits: We assist financial institutions in responding to regulatory inspections and addressing critical remarks from federal and state bodies, including the New York State Department of Financial Services (DFS), FinCEN, IRS, SEC, FINRA, and the Nevada Gaming Commission.

Representation in court and administrative proceedings: We will develop an effective defence strategy, challenge the prosecution’s evidence, and do everything possible to protect your business and reputation. Our company has extensive experience in financial crime cases and is ready to defend you on an international level.

Conducting internal investigations: analysing financial documentation, examining transactions, and providing a comprehensive report on potential risks.

Due Diligence: Checking the financial status, reputation, and legal integrity of partners to minimise the risk of collaborating with individuals or organisations involved in illegal activities.

Looking for Anti-Money Laundering Lawyer?

If you require assistance in protecting your business from AML-related risks, it’s crucial to seek legal support from an experienced and reliable solicitor as soon as possible. Our lawyers have specialised knowledge in the field of AML and international law. We take into account the specific characteristics of your business and develop a strategy that maximally protects your interests.

Our lawyers possess extensive knowledge and significant experience in the field of AML/CFT. We collaborate with the US Department of the Treasury, the Department of Justice, the Securities and Exchange Commission, and the US Attorney’s Office. Thanks to such diverse experience, our team has a deep understanding of regulatory expectations and law enforcement practices.