Police: Don't deposit $$ from suspect sources

PEOPLE may be unwittingly committing money laundering if they are unaware of the source of cash from friends and relatives and try to exchange old $100 bills for the new polymer note.

Acting Supt Wendell Lucas of the Financial Investigations Bureau (FIB) issued this warning on Wednesday.

Speaking at the police media briefing, Lucas urged people to be vigilant, and reminded businesses and private citizens that money laundering could be defined by law as any attempt to convert, transfer, or disguise criminal property,such as cash, for use or storage.

He said as criminals seek alternative ways of getting the new $100 notes, they may recruit law-abiding citizens to do the exchange on their behalf.

"People may be recruiting others to structure deposits into financial institutions.

"We are paying attention to that, so people need to be careful.

"Do not accept money from anyone to deposit in any account. Anyone who possesses criminal property is subject to arrest, charge and possible conviction, irrespective of who does it.

"If you know you have reasonable cause to suspect that someone is laundering money, you have a duty to report that information to law enforcement and to the Financial Investigations Unit (FIU)."

Lucas also said there was a penalty for not reporting suspicious such transactions. On summary conviction those guilty of committing money laundering or being an accessory to it could face a fine of $250,000 or three years' imprisonment. State officials could face a fine of $500,000 or five years' imprisonment.

He also urged the public to exercise caution if they are making large cash transactions and were not able to exchange their old $100 bills.

"Ordering large sums of hardware material or buying aeroplane tickets to China for exorbitant sums, with a view of cancelling those orders so the businesses prefers a cheque onto them, so they can simply deposit that cheque – this is something we are looking at."

Acting director of the Financial Investigations Unit Nigel Stoddard also spoke at the briefing. He also encouraged the public to be wary of suspicious financial transactions and to report such cases to his unit or the police.