This essay will explore the many strategies used by law enforcement and government agencies that are used to combat money laundering performed by organized crime. I will discuss the effectiveness of certain strategies, and show which strategies produce the best results. The definition of money laundering is not clear cut or easily defined but it is commonly described as the handling of criminal profits, originating from criminal activities such as the illegal sale or buying of fire arms, drug trading, human trafficking illegal gambling, et, to cover up their illegal origin. This is the process of hiding the illegal origins of money deriving from crime and illegal activities. The process itself is the most crucial step as it allows criminal organizations to keep their profits without putting their source at risk (Danis, Module 9, Slide 1)
Most of the illegal profits generated by organized crime commonly derive from the drug trade, financial crimes and especially fraud. It is estimated that approximately $900 billion to $2.25 trillion has been illegally laundered which is almost 4% of the worlds GDP. Money laundering is major criminal activity in Canada and is one of the most important factors in keeping organized crime groups afloat and profitable. In order to efficiently and properly eliminate money laundering we must first find the source and stop it. According to Commission on Narcotics Drugs (CND), the drug trade in Canada can possibly generate $3 billion at the wholesale level and close to $13 billion when sold on the street, and most of this money will be laundered. (Danis, Module 9, Slide 1) Canadian law enforcement agencies have allocated a large amount of funds and resources to try and eliminated and eradicate the drug trade which will eventually lead to the slowdown of money laundering. There have been many legislative programs put in place by the Canadian government and law enforcement agencies to stop money laundering. The RCMP created the...
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