An Overview of Modern Money Laundering

Money laundering is a complex financial crime in which criminals disguise the illicit origins of their wealth by moving funds through a variety of legal channels. The process typically unfolds in three distinct stages: placement, layering, and integration. Each stage provides money launderers a chance to obscure the source and ownership of the funds – but also presents opportunities for financial institutions and law enforcement to detect and prevent these illegal activities. Understanding the mechanics of these stages is critical for combating this type of financial crime.