Money Laundering Techniques Thrive in Albania’s Construction Sector

A Lucrative Avenue for Criminals

Investing in construction has become a popular way for organized crime groups to launder their illicit earnings in Albania. According to high-ranking officials at the Albanian State Police, this practice has become increasingly prevalent over the years.

The Exploitation of Loopholes in the Industry

Chair of the Economic Crime department, Lutfi Minxhozi, revealed on Euronews Albania’s investigative documentary series “Unpublished” that the construction sector is a primary avenue for money laundering. Organized crime groups have been exploiting loopholes in the industry to legitimize their activities and conceal their illicit funds.

The Scale of the Issue

Data from the Bank of Albania indicates that Albania poses a significant risk in terms of money laundering practices, earning the country a gray-list designation. Between 2013 and 2020, authorities seized an estimated €320 million in earnings derived from criminal activities.

Numerous Busts Highlight the Extent of the Problem

The Albanian State Police has reported numerous busts during this period, highlighting the scale of the issue:

• €320 million seized: Authorities have confiscated millions of euros in illicit earnings between 2013 and 2020.
• Ongoing trend: Money laundering in the construction sector has been ongoing for several years, with crime groups adapting to loopholes and exploiting weaknesses.

Addressing Systemic Weaknesses

As Albania grapples with these challenges, officials must address the systemic weaknesses that allow money laundering to thrive in the construction sector. This requires a collaborative effort from law enforcement agencies, regulatory bodies, and industry stakeholders to implement effective measures against money laundering and ensure the integrity of the construction sector.

Combating Money Laundering in Albania’s Construction Sector: A Collective Effort

To combat money laundering in Albania’s construction sector, all parties involved must work together to identify and address systemic weaknesses. This includes:

• Implementing robust regulations: Strengthening laws and regulations to prevent money laundering and ensure compliance.
• Enhancing law enforcement capabilities: Improving investigative techniques and intelligence gathering to detect and prosecute money laundering cases.
• Promoting industry transparency: Encouraging construction companies to adopt transparent business practices and disclose financial information.
• Raising public awareness: Educating the public about the risks of money laundering and the importance of reporting suspicious activities.