Summary
AUSTRAC helped investigate an offender linked to an international scheme to launder A$2.4 million from the proceeds of crime. The scheme involved casino losses, overseas fund transfers by a remittance service provider and airline crew members carrying unreported cash. AUSTRAC’s information identified the offender and revealed the syndicate's financial activities.
What to look out for
- Multiple cash deposits on the same day into the same bank account.
- Multiple high-value international funds transfers.
- Sudden large increase in gambling activity inconsistent with a customer's established gambling profile.
- Use of cash couriers.
- Use of third parties to deposit funds, including large cash deposits.
The crime
A woman came to AUSTRAC’s attention through suspicious matter reports (SMRs) for inconsistent gaming activity, including a A$3 million loss in one year. The losses in other years were smaller, ranging from A$3000 to A$30,000. We referred her to law enforcement for investigation and she was arrested after authorities discovered her carrying A$200,000 in cash.
Law enforcement revealed a link to three Chinese airline crew who were already under investigation for trying to leave Australia carrying A$100,000 in undeclared currency. They found the offender had previously given these crew members large amounts of cash to courier from Australia to China as part of the money laundering scheme.
A person who worked for a remittance service provider had received commissions for transferring significant amounts of money to China on the offender’s behalf. Authorities suspected that the individual used false names and altered records for the international funds transfers.
The offender was charged with dealing with property reasonably suspected of being the proceeds of crime.
Penalties
The offender received a 12-month good behaviour bond.
How business reporting helped
An Australian bank submitted an SMR about the suspect’s activities after she made two unusually large cash deposits totalling A$600,000 on the same day to the same bank account. AUSTRAC also received two significant cash transaction reports for the two large deposits.
AUSTRAC’s role
AUSTRAC identified the offender and brought her to the attention of law enforcement. Our financial intelligence provided insight into the financial activities of the syndicate.
This guidance sets out how we interpret the Act, along with associated Rules and regulations. Australian courts are ultimately responsible for interpreting these laws and determining if any provisions of these laws are contravened.
The examples and scenarios in this guidance are meant to help explain our interpretation of these laws. They’re not exhaustive or meant to cover every possible scenario.
This guidance provides general information and isn't a substitute for legal advice. This guidance avoids legal language wherever possible and it might include generalisations about the application of the law. Some provisions of the law referred to have exceptions or important qualifications. In most cases your particular circumstances must be taken into account when determining how the law applies to you.