Tainted money : are we losing the war on money laundering and terrorism financing?

232 Pages·2009·19.849 MB·English

by  Jorisch, Avi, 1975-

Digitized by the Internet Arcinive
2010
in
http://www.archive.org/details/taintedmoneyarewOOjori

More Praise for Tainted Money
Reflecting his long experience in uncovering and analyzing the financial net-
works and business practices ofterrorist organizations, Jorisch has distilled the
essentialsofboth intoawellorganized and lucid presentation. His bookcan help
in developing strategies and designing tools to disruptthefinancial activities of
terroristandothercriminalgroups.Itshouldthereforebeontherequiredreading
list for any law enforcement, intelligence, or military personnel who investigate
the financial networks ofcriminals and terrorists, as well as banking compliance
groupsand business intelligencecompanies.
—
Dr.Jeffrey Starr,formerdeputyassistantsecretaryofdefenseand
senioradvisorforspecialoperationsandtiireatfinanceattinePentagon;
formervicepresidentofbusinessintelligence, GoldmanSachs
Jorisch asks the question that policymakers are afraid to confront. Eight years
after9/1 1,thereisincreasing evidencethatwehavespentan inordinateamount
of resources attempting to identify illicit finance in many ofthe wrong places,
andthatwepersistintheuseofcountermeasuresdevelopedinaneraverydiffer-
entfrom the challenges oftoday.Jorisch brings impeccable credentials and per-
sonal passion to this well-researched and reasoned book. TaintedMoneyshould
serve as a wake-up call for policymakers, national security bureaucracies, and
concerned citizens.
—
John Cassara,formerU.S. TreasuryspecialagentandauthorofHide&Seek:
Intelligence, Law Enforcement,and the StalledWaronTerrorist Finance
TaintedMoney provides the nuts-and-bolts knowledge that prosecutors world-
wide need in order to build cases against terrorists—and secure convictions.
These groups cannot sustain theiractivities without steadyfunding, and Jorisch
haslaidouttheblueprintforcuttingoffthatflowintheUnitedStatesandabroad.
—
Dr.Alberto Nisman,chiefArgentineanstateprosecutor,
1994AMIAbombingcase

Money
Tainted
Are We Losing the War
on Money Laundering
and Terrorism Financing?
Avi Jorisch
redeel
I
INTELLIGENCEGROUP
Red Cell Intelligence Group
Washington, DC
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Table of Contents
Acknowledgments vii
ExecutiveSummary ix
Introduction 1
Part I. The Big Picture
Chapter 1.WhyShouldWeCare? 9
Chapter2.HowCriminalsRaiseandMoveMoney 19
Chapter3.LiternationalMonitoringandEnforcement 33
Part II. Moving Money
Chapter4.BreakingtheBank 49
Chapter5.NoQuestionsAsked:HawalaandtheInformalFinancialSector 69
Chapter6.Hide-and-SeekThroughCashSmuggling 83
Chapter7.Trade-BasedMoneyLaundering 95
Chapter8.DonorBeware: TerroristsandtheCharitableSector 105
Part III. Enforcement
Chapter9. CriminalizationofMoneyLaunderingandTerrorismFinancing 125
Chapter 10.TargetedEconomicSanctions 137
Chapter 11.GlobalAssessmentRegime 153
Part IV. Conclusions
Chapter 12.TurningtheTide: ImphcationsandPohcyRecommendations 159
Glossary 167
Notes 173
AbouttheAuthor 207
AboutRedCellIntelUgenceGroup 209