Introduction

Denmark, known for its prosperity and development within Europe, is not immune to financial crimes, especially money laundering. Understanding the fundamental aspects of these offenses is crucial for businesses and individuals navigating the Danish market.

Money Laundering - A Growing Concern

Money laundering, defined as the process of disguising the proceeds of illegal activities as legitimate money or assets, poses a significant threat to Danish authorities. The Danish Criminal Code outlines the legislative framework for money laundering offenses.

Qualifying Assets and Transactions

According to the Danish Anti-Money Laundering Law, certain transactions and assets are subject to scrutiny:

• Cash transactions: Above DKK 12,000 (approx. €1,600)
• Valuable goods and real estate

Predicate Offenses

Money laundering offenses in Denmark usually necessitate a predicate offense, which generates proceeds destined for laundering. Predicate offenses can involve various activities, such as:

• Tax evasion
• Fraud
• Drug trafficking

Defenses and Sanctions

Danish law acknowledges several defenses against money laundering charges. One such defense is the “good faith” defense, which applies to individuals unknowingly participating in money laundering activities. However, sanctions for money laundering are severe. Convictions can result in:

• Fines
• Imprisonment
• Confiscation of ill-gotten assets

Case in Point

A 2019 Danish businessman was sentenced to five years in prison for money laundering and tax evasion. He had transferred more than DKK 160 million (approx. €21 million) through various companies and accounts. This case serves as a reminder of the severe consequences of engaging in financial crimes in Denmark.

Conclusion

Denmark’s stance towards financial crimes remains firm, with authorities continually adapting legislative measures to counteract money laundering. Therefore, individuals and businesses must be aware of the risks and regulatory framework governing these illicit activities.