Corporate Crime
Money Laundering
Money laundering is a process whereby the original origin of money is concealed because it obtained by way of illegal activities. For example, drug trafficking or drug proceeds masked as legal money through a laundromat. Crimes committed of this nature are a form of fraud and usually tax evasion which is extremely serious.
Money laundering provides a financial advantage which would not have otherwise been obtained. Laundering of money is trackable through both bank records and financial records as the amount of money earnt does not always match the amount of money spent. It is an elaborate scheme to keep an operation going long term and it will usually require a company which turns over significant profit. This will keep the activity away from Australian securities oversight.
When running a scheme such as laundering, record keeping is the most important element. If the financial records and bank account records match then there will be no red flags but if they do not then an audit may be required. If an audit discovers discrepancies then those discrepancies need to be explained to satisfaction before the matter can be closed. It is an involved and necessary process to prevent criminal activity.
Insider Trading
Insider trading refers to a process whereby an individual buys or sells a public companies stock with personal or material knowledge about that stock from an individual inside that company. The transaction is considered illegal is the sale is based on information which is not publicly available. The process will obtain a financial advantage which would not have otherwise been obtained.
Insider trading is a serious offence and it is critical to ensure that all transactions are above board. The investments commission monitor transactions of this nature through an analysis centre to prevent money laundering.
Criminal Justice System?
White collar crime falls within criminal law and corporate crimes. This type of offending is monitored by the Australian Federal Police who work closely with the Australian tax office, government bodies and Australian securities to determine fraud offending. Criminal prosecution requires interdepartmental cooperation to lay criminal charges.
Interdepartmental cooperation is how anti money laundering laws are established to prevent white collar crime offences. Corporate governance prevents organized crime as criminal cartels cannot as easily operate. This governance includes Australian transaction reports, oversight of financial institutions, government entities, etc to avoid market manipulation or deceptive conduct.
Counter Terrorism Financing
Counter terrorism is one of the most serious white collar offences that can be committed given the significant tie it has to national or global terrorism. Filtering money through a terrorism organization is a matter which is of most interest to the Australian Federal Police. Terrorism financing is a criminal law offence and the effects can have global implications.
Counter terrorism is the support of mass murder, political tampering and usually serious crimes against humanity. If an individual is found guilty of supporting a terrorist organization then the consequences could be life imprisonment. The financing may be the filtering of money through off shore bank accounts tied to terrorism organizations or it could even be foreign aid donations which are gathered under the guise of public assistance.
It is not uncommon for donation based charities or websites to emerge online which in fact support terrorism. For example, a charity to support the implementation of clean drinking water in third world countries may be set up and donations routed into what looks to be a legitimate off shore bank account. In actual fact, that company could be a front for a terrorist organization which simply looks legitimate.
Legal Advice
It is essential that legal advice is obtained in relation to all criminal offending whether it is white collar crime or not. White collar crime lawyers can be either criminal law experts or corporate law experts but it is good to engage a lawyer who has a good knowledge of both areas as they may both relate.
White collar crime cases can often combine a few different areas of law. For example, an individual could have committed corporate fraud but also tax fraud and insurance fraud within the same criminal offence. Such crimes can often be tangled within the same legal process. You will need a team of criminal lawyers to assist with untangling each separate crime.
No matter the lawyer you see, it is critical to explain the full details of your matter and leave no stone unturned. It is nearly impossible for a lawyer to adequately represent you if they are unaware of the full extent of your matter. For example, if you are aware that an investigation may have resulted in documents or bank records which implicate you in a crime, do not hide this fact from your lawyer. Your lawyer needs to fully understand the fault element associated.
