A group of U.S. senators recently introduced legislation that seeks to strengthen criminal money laundering statutes.
The Combatting Money Laundering, Terrorist Finance and Counterfeiting Act of 2022 updates counterfeiting laws to prohibit state-of-the-art counterfeiting methods, increases the penalties for bulk cash smuggling, and ensures that money laundering laws apply to hawalas and other informal value transfer systems used by drug traffickers and terrorists.
“Criminal enterprises are constantly finding new ways to move their dirty money wherever they think it’ll be safe. That’s why drug traffickers, kleptocrats, and other bad actors pull elaborate tricks to stow their loot behind American rule of law,” said U.S. Sen. Sheldon Whitehouse, chairman of the Senate Caucus on International Narcotics Control and one of the bill’s sponsors. “We need to arm law enforcement with tools to tackle new methods of money laundering and counterfeiting.”
Whitehouse introduced the legislation along with U.S. Sens. Chuck Grassley (R-IA), John Cornyn (R-TX), Amy Klobuchar (D-MN), and Dianne Feinstein (D-CA).
“It is critical that we stop criminals from acquiring and trafficking illicit money, especially with the crisis at our southern border. These bad actors are constantly finding new ways to move money around like ransomware attacks using cryptocurrency, while also relying on old ways, like carrying suitcases full of cash across the border,” Grassley, co-chairman of the Senate Caucus on International Narcotics Control, said.
The bill would also prohibit the cross-border shipment of blank checks from evading reporting requirements of monetary instruments; establish a new money laundering violation that prohibits the transfer of funds into or out of the United States with the intent to violate U.S. income tax laws; prohibit conspiracies to create illegal money services businesses; grant wiretapping authority to investigate currency reporting, bulk cash smuggling, illegal money services businesses, and counterfeiting offenses; and grant the U.S. Secret Service the explicit authority to investigate ransomware crimes and other uses of unlicensed money transmitting.
“As criminals and terrorist organizations develop new methods to launder money, we must provide our law enforcement with the tools they need to keep American communities safe. This bipartisan legislation makes necessary updates to anti-money laundering statutes and counterfeiting laws, ensuring the law enforcement community can stay one step ahead of those working to undermine our nation’s safety and security,” Klobuchar said.
This bill is backed by the National Association of Police Organizations, National District Attorneys Association, Fraternal Order of Police, FACT Coalition, and the National Sheriff’s Association.