Financial Crime World

Gibraltar Financial Intelligence Unit Uncovers Truth About Money Laundering

What is Money Laundering?

Money laundering, a criminal activity that has been on the rise globally, has become a significant concern for authorities in Gibraltar. So, what exactly is money laundering? According to experts, it refers to the process by which criminals attempt to disguise the origin of their illegal proceeds, making them appear legitimate.

GFIU Definition

The Gibraltar Financial Intelligence Unit (GFIU) defines money laundering as any act that constitutes an offence under the Proceeds of Crimes Act 2015, the Terrorism Act 2018, or any other enactment that relates to terrorism or financing of terrorism. In practice, this means that criminals will often go through three distinct stages to conceal their illegal activities:

  • Placement: Criminal property is placed into the financial system by depositing large cash sums in banks and financial institutions.
  • Layering: The deposited cash is dispersed through various means to conceal its origin.
  • Integration: The successful completion of the cycle, with the criminal property returning to the financial system as legitimate funds.

Combating Money Laundering

Gibraltar authorities have been working tirelessly to combat money laundering, but it is crucial for individuals and businesses to be aware of this illegal activity and report any suspicious transactions to the authorities. The GFIU has reported that many cases of money laundering are often linked to other serious crimes such as:

  • Fraud
  • Terrorism financing
  • Proliferation financing
  • Human trafficking
  • Online child sexual abuse and exploitation

Reporting Suspicious Activity

If you suspect that you have been a victim of fraud or have information about money laundering activities in Gibraltar, it is essential to report this to the Royal Gibraltar Police. The GFIU can provide assistance with reporting suspicious activity and helping to bring criminals to justice.

Remember, if you see something, say something! Report any suspected money laundering activity to the authorities and help keep your community safe.