Federal Money Laundering Attorney

What Is Money Laundering?

The term “money laundering” is commonly used to refer to the process of turning “dirty” money into “clean” money. The UN Vienna 1988 Convention Article 3.1 describes Money Laundering as:

“the conversion or transfer of property, knowing that such property is derived from any offense(s), for the purpose of concealing or disguising the illicit origin of the property or of assisting any person who is involved in such offense(s) to evade the legal consequences of his actions”.

Schemes related to “laundering” money stem from the need to turn money derived from criminal activity into “clean” money that can be declared, deposited into a financial institution, and used in commerce. The U.S. federal government requires large cash deposits to be reported to the appropriate authorities. Other countries have similar laws along with laws requiring individuals to declare large sums of cash when crossing international borders.  Money laundering activities typically require ill-gotten funds to travel through several layers of financial transactions before the funds are “clean” enough to be integrated into commerce. For example, money derived from drug trafficking might be mixed in with the proceeds of several legitimate cash-heavy businesses, such as a nightclub or a laundromat. When the money is eventually paid out (usually at a discounted rate), it appears to have been legitimately earned and can be declared and spent.
 

What Are the Penalties for Money Laundering Crimes?

In the United States, most criminal offenses related to money laundering are governed by 18 U.S. Code §1956 and 18 U.S. Code §1957. Although money laundering is often viewed as a less serious “white crime,” the penalties for a money laundering conviction can be serious. Consider the following figures released by the U.S. Sentencing Commission:

• The average guideline minimum was 115 months in 2021.
• The average sentence for money laundering offenders was 69 months in 2021.
• 90.5 percent of defendants convicted were sentenced to prison.
• 30.9 percent were convicted of an offense carrying a mandatory minimum penalty.

Penalties associated with money laundering offenses can be aimed at financial institutions, businesses, and individuals. Given the ease with which money can now be electronically transmitted around the globe, it should come as no surprise that $10.4 billion in fines were imposed on global banks in 2020. If you are convicted of violating Section 1856 of the U.S. Code you could be sentenced to up to 20 years in prison plus a fine of up to $500,000 or twice the value of the property that was involved in the transaction, whichever amount is greater. A violation of Section 1857 carries similar penalties, including a prison sentence of up to ten years. In addition to fines and incarceration, you could also face the forfeiture of assets if you are convicted of money laundering.
 

What Is a Target Letter?

Unlike their state counterparts, federal authorities may alert a suspect that he/she is under investigation by sending out a “target letter.” Most often used in “white collar” criminal investigations, such as money laundering, a target letter may include:

• A statement notifying you that you are the target of a federal grand jury investigation.
• The nature of the criminal offense under investigation.
• A request to contact federal authorities.
• A request to produce documents or other evidence.
• Deadlines for responding to requests.

If you receive a target letter, it is imperative that you act immediately to protect yourself. Do not ignore the letter and do not attempt to destroy or hide evidence. Conversely, you should also not respond to requests in the letter before consulting with an experienced federal money laundering attorney.
 

What Defense Strategies Are Used in a Money Laundering Prosecution?

Federal money laundering investigations are usually complex in nature, often involving multiple law enforcement agencies and frequently crossing national borders. The defense strategies available if you are charged with money laundering will depend on the unique circumstances of your case; however, common defense strategies include:

• Proving that the source of the funds was a legitimate, legal source.
• Proving that you lacked the knowledge and intent required to convict you of money laundering.
• Relying on the government’s failure to prove its case beyond a reasonable doubt.
• Providing substantial assistance to the government to reduce your charges or sentence if a conviction appears unavoidable.

Get Help from an Experienced Federal Money Laundering Attorney

When federal law enforcement authorities are investigating a suspected money laundering operation, there is an excellent chance that the investigation involves multiple agencies with virtually unlimited resources. The time to protect yourself is the moment you have reason to believe you are part of a money laundering investigation. Often, an experienced federal money laundering attorney can intervene and resolve the situation before criminal charges are even filed against you.

As a former state and federal prosecuting attorney, attorney David Haas has invaluable first-hand experience with the procedures and tactics used during federal investigations. Let the team at Haas Law put that knowledge and experience to work protecting and defending you if you are being investigated for or have been charged with a federal money laundering offense.

Call us at 407-755-7675, chat with us online, or submit our online form today. Because we understand that time is of the essence when federal law enforcement authorities are investigating you, our calls are answered 24 hours a day, allowing you to schedule an appointment as soon as possible to discuss your legal options.