top of page
Rechercher
  • Photo du rédacteurFlaminem KYC

Anti-money laundering and terrorist financing Q&A: (Part I)


1. What are money laundering operations?


The process by which the criminals legitimize the proceeds of criminal activities.


2. What is the economic and social impact of money laundering operations?


Money laundering crimes pose a serious threat to the economic and social side in any country, especially those that suffer from weak standards taken to combat these crimes. Money laundering operations contribute to creating an economic and social gap between members of society, and increasing poverty rates.


3. What are the potential economic effects of money laundering operations on the national economy?


Money laundering operations in any country may lead to the spread of the shadow economy or commercial concealment, which results in a decline in economic growth, in addition to what causes in high inflation rates that result in higher price levels.



4. What are the most prominent methods of money laundering? And what should the individual do to avoid being exploited in passing money laundering operations?


Money transfers are among the most prominent channels that are used to do money laundering operations, so you should be careful when someone requests to transfer a sum of money from your account to an unknown person under any pretext, as this person may be suspected by the relevant agencies. So, beware of transferring money to unknown people, as this may be a contribution to a money laundering operation.


5. How is money laundering done?


Money laundering operations are carried out by complex methods, including the exploitation of services and products of financial and non-financial institutions, and the individual may be vulnerable to it because of excessive confidence in enabling money launderers to use them.


6. Are money laundering operations limited to cash transactions?


The money whose true origin is intended to be concealed (laundered) is not limited to cash, but rather includes assets, property and financial resources of whatever value, type, or method of possession. Therefore, money launderers tend to sell assets from illegal sources at prices lower than their real price, which is harmful to competition, and negatively affects other commercial activities.




About Flaminem

Flaminem is a software company, which offers a cloud-based platform to digitize the KYC processes of your customers and / or suppliers.




Comments


bottom of page