Money Laundering in Belgium: Understanding the Law and Its Criminal Activities
Brussels, Belgium - Money laundering is a significant concern for law enforcement agencies and governments worldwide. In Belgium, the fight against this financial crime is embodied in the Law of 18 September 2017. This article provides a brief overview of Belgium’s financial crime definition as outlined in the legislation.
Money Laundering: Under the Law
The Law of 18 September 2017 defines money laundering as follows:
- Conversion or transfer of property: Knowingly dealing with property derived from criminal activity with the intention to conceal or disguise its illegal origin.
- Concealment or disguise: Hiding the true nature, source, location, disposition, movement, ownership, or rights regarding money or property, knowing it originates from criminal activity.
- Acquiring, possessing, or using: Receiving, holding, or utilizing money or property knowing it is derived from an illegal source.
- Participation: Providing assistance or counsel in committing any of the above actions.
Money laundering is considered to have occurred regardless of where the offending actions took place, within or outside the European Union.
Criminal Activities: A Wide-ranging Definition
The legislation defines criminal activity as any involvement in commissioning offenses connected to a broad spectrum of serious crimes, including:
- Terrorism and terrorist financing: Financing or aiding terrorist acts and organizations.
- Organized crime: Participating in or benefiting from organized criminal groups.
- Illicit trafficking: Engaging in illegal trade of narcotics, psychotropic substances, weapons, goods, or human beings.
- Fraud: Committing acts of deceit to secure a financial gain or infringement of Belgian fiscal laws.
- Corruption, embezzlement, and misappropriation: Involvement in activities related to bribery, embezzlement, or misappropriation of public funds.
- Environmental crime: Violating environmental protection laws.
- Currency or product counterfeiting: Illegally manufacturing, selling, or possessing counterfeit currency or products.
- Piracy: Engaging in or facilitating the production, sale, or distribution of pirated material.
- Stock market offenses: Violating laws related to securities and stock exchanges.
- Banking laws infringements: Committing offenses related to banking regulations.
- Other regulatory violations: Disregarding other financial regulations or professional codes of conduct.
This definition covers nearly all offenses punishable by a prison sentence of at least six months under Belgian law.
The Role of Disclosing Entities
It’s essential to note that the legislation does not mandate Disclosing Entities to determine the predicate offense for suspected money laundering cases. Instead, this responsibility falls under law enforcement and regulatory agencies.
A Comprehensive Approach
The Belgian legislation encompasses a wide range of criminal activities, ensuring a comprehensive effort to dismantle the entire money laundering process. This approach makes Belgium’s financial sector a safer place and reduces its appeal to criminal organizations.