Unraveling the Complexities of Money Laundering

How do criminals turn their ill-gotten gains into taxable income? And how does law enforcement stop them? Zachary Crockett follows the money.

• SOURCES:
  • Patrick McKenzie, fraud prevention expert and strategic advisor at Stripe.
  • Kerry Myers, associate professor of instruction at the University of South Florida and former F.B.I. special agent.

• RESOURCES:
  • "National Assessments of Money Laundering Risks: Stumbling at the Start," by Joras Ferwerda and Peter Reuter (Risk Analysis, 2024).
  • "Hacker 'Washes' $25M in Stolen Crypto Through Magic: The Gathering Card Scheme," by Oliver Dale (Blockonomi, 2023).
  • "Money Spending or Money Laundering: The Fine Line between Legal and Illegal Financial Transactions," by Matthew R. Auten (Pace Law Review, 2013).
  • "HSBC to Pay $1.9bn in US Money Laundering Penalties" (BBC News, 2012).
  • "How a Big US Bank Laundered Billions From Mexico's Murderous Drug Gangs," by Ed Vulliamy (The Guardian, 2011).

• EXTRAS:
  • "Why Does One Tiny State Set the Rules for Everyone?" by Freakonomics Radio (2023).
  • "Kafkaesque," S3.E9 of Breaking Bad (2010).