The Money Laundering Workshop (MLW) has been designed by Malkara Consulting to meet the needs of a range of professionals working in the anti-money laundering discipline or in the investigation or prosecution of money laundering offences.

The MLW is a flexible program capable of being modified to suit the needs of participants. The workshop achieves this through the delivery of core units supplemented with a range of elective subjects designed with the needs of law enforcement, intelligence and financial institutions in mind.

Workshop DeliveryThe workshop is delivered over 5 days in a face to face format using formal presentations supplemented by videos, syndicate exercises and group discussion.

The workshop period can be shortened to suit the commitments and time demands of organisations.

Introduction:

Money Laundering Workshop

Contact Malkara ConsultingTo enquire further about Malkara Consulting’s training workshops, obtain a quote, or to find out more, contact Chris Douglas via the details below:

Australian clients please phone 0481 088 366International clients please phone +61 481 088 366 Email enquiries can be directed to malkara.consulting@iinet.net.au

1. AML/CTF Framework OverviewThis unit briefly canvasses the local AML/CTF framework, in particular the various reporting requirements. The purpose of this unit is to enhance the knowledge of staff who may not have had an opportunity to complete internal AML/CTF training or who have completed it previously and require a revision before more complex topics are discussed. When delivered overseas a local presenter is preferred to increase the visibility of the relevant FIU/police agency involved in the program. When the workshop is held in Australia the session is delivered by Malkara Consulting.

2. Catch Me If You Can Exercise Participants are given an exercise and, in syndicates, they are required to design a plan that will successfully launder a large sum of illegally earned money in a manner that evades detection by law enforcement agencies. If detected, the syndicate must prevent a successful investigation and forfeiture of any property involved.

3. Free Trade ZonesFree trade zones play a significant role in trade based money laundering and in schemes designed to defeat international sanctions. Known by a number of descriptions and operating in many countries, the different free trade zones will be explained and several jurisdictions will be profiled to assist participants in gaining an understanding of the services they offer and the impact they have on international trade.

4. Gold and Money LaunderingGold is regarded as a safe store of value. It is also used in money laundering. This subject will outline some of the common methods used to launder illicit funds using gold or gold backed instruments.

5. Identifying & Investigating Money LaunderingMoney laundering investigation techniques are canvassed in this unit together with the type of evidence that might be available to link the predicate offence/s to the money laundering acts.

6. International Responses to Money Laundering This unit will explain the role and function of the Financial Action Task Force, the peak international anti-money laundering & counter-terrorism financing body. Countries are periodically assessed on how they are complying with the standards (the FATF Standards) that are issued by the FATF. The new benchmark for countries to meet if they are to comply with the standards is “effectiveness”. In this unit, the term effectiveness will be explained and how that level is going to be measured

Core Subjects

7. Introduction to Virtual Currencies There are a number of virtual currencies schemes in operation around the world. This unit will canvas the most common virtual currencies in operation and explore the money laundering vulnerabilities associated with them.

8. Introduction to Bitcoins Following on from the Introduction to Virtual Currencies, this unit will briefly explore the operation of Bitcoins, how they are created and obtained, and the secrecy features of Bitcoin transactions.

9. Informal Money Transfer Systems (a.k.a. Money Service Businesses) This unit will address informal money transfer systems and the role they play in moving and hiding illegal money offshore. The session will explain how informal money transfer systems operate and how they are linked to financial systems to form a global payment network that is largely unregulated in many jurisdictions around the world.

10. Lateral Transfer MethodA growing method of moving value between a country and China is the lateral transfer method. This unit will explain how the method works and how it could be used to launder money, particularly the proceeds of corruption originating from China.

11. Mobile Phone Remittance SystemsMobile phone remittance systems have been in operation in many countries for over a decade. While the risk of its use to launder illegal money or move terrorist funds is low, this unit will explore options as to how they could be used in crime or by terrorists.

12. Money Laundering (Introduction)This unit is a foundation unit for staff new to the AML/CTF environment. The meaning of money laundering is explained and participants are introduced to the money laundering cycle and the type of predicate crimes that are often linked to money laundering.

13. Money Laundering (Traditional Financial Institutions) Traditional financial institutions are defined and explained in this unit together with the common techniques used to move funds through them. The unit will canvas structuring and smurfing techniques, Cuckoo Smurfing, threshold transactions, the use of nominees and various financial instruments namely telegraphic transfers, bank drafts, debit and credit cards, and prepaid cards to launder money.

Core Subjects

14. Money Laundering (Non-Financial Businesses and the Professions)

This unit explains how illegally earned money can be concealed in valuable assets or commodities or assets or commodities can be used as instruments of crime. Particular emphasis will be placed upon the study of how real estate and businesses or front companies (using cash swaps, co-mingling technique) are used to conceal and move money including using legal and fake loans. This unit will also briefly explain and demonstrate how terrorist organisations and countries use front companies to avoid sanctions or move terrorist funds.

15. Money Laundering Typologies ExerciseParticipants in syndicates are given 10 short scenarios and are invited to identify any indicators of placement, layering and integration. The intention of the exercise is to consolidate participants understanding of money laundering processes.

16. Near Field Communications (Money Laundering Risks)The take up of NFC enabled devices increases in relation to banking transactions, this subject briefly outlines how they could be used to move the proceeds of crime or instruments of crime.

17. Nominees and Beneficial OwnersThis subject explains the meaning of a nominee and beneficial owner and outlines how they are used in money laundering schemes and used to reduce the effectiveness of sanctions regimes.

18. Tracing Funds OffshoreInternational inquiries can be a legal and operational nightmare. This unit will explain the informal and formal schemes that exist to enable funds to be traced offshore. Political, legal and logistical issues will also be canvassed to ensure that investigators have a realistic expectation of what can be achieved in the pursuit of the proceeds of crime.

19. Trade Based Money LaunderingNot all illegal money is laundering through financial institutions. Trade based money laundering schemes play a major role in the laundering of illegal money. Accounts operated by a business or services provided by a financial institution could be used in a trade based money laundering scheme. Trade goods are frequently used to pay for narcotics, humans (including slavery), weapons, corruption schemes and in tax evasion.

20. Secrecy Jurisdictions

This unit explains bank secrecy, defines a secrecy jurisdiction and a tax haven and the services they offer and outlines and demonstrates how various corporate structures (international business corporations, trusts and foundations) and asset protection schemes are used to hide funds and assets offshore. A key aspect that participants should learn from this unit is an understanding of the key differences between where a company is formed, where it is sold, where it is ultimately managed and the assets it holds.

Core Subjects

1. Casino Money Laundering Techniques In this unit common casino money laundering techniques are explained together with an outline of other uses by criminals for casinos and the growing interconnectivity between casinos around the world.

2. Corruption Techniques and Money LaunderingCorruption while a predicate offence to money laundering it is also a vital enabler in many crime types particularly drug trafficking, terrorism, tax evasion, human trafficking and people smuggling. This unit will outline some common corruption and money laundering schemes and discuss the difficulty of determining when a corruption offence ends and the money laundering begins.

Elective Subjects

Time Monday Tuesday Wednesday Thursday Friday

0830 - 1015

Introduction & Workshop Overview

Introduction to Money Laundering

Money Laundering (Traditional

Financial Institutions)

Informal Money Transfer Systems

Gold & Money Laundering

Secrecy Jurisdictions

1015 - 1030 Morning Tea

1030 - 1200International Responses to

Money Laundering

Money Laundering (Traditional

Financial Institutions)

Near Field Communication

Informal Money Transfer Systems

Lateral Transfer Method

Mobile Phone Remittance Systems

Identifying & Investigating

Money Laundering

Secrecy Jurisdictions

Tracing Funds Offshore

1200 - 1300 Lunch

1300 - 1445Overview

of Local AML/CTF Framework

Money Laundering (Non Financial

Businesses & Professions)

Free Trade Zones

Trade Based Money Laundering

Identifying & Investigating

Money Laundering

Introduction to Virtual Currencies

Introduction to Bitcoins

1445 - 1500 Afternoon Tea

1500 - 1700

Close 1700

Nominees & Beneficial Owners

Money Laundering (Non Financial

Businesses & Professions)

Money Laundering Typologies Exercise

Catch Me If You Can Exercise

(Preparation)

Review Quiz

Catch Me If You Can Exercise

(Presentations)

Money Laundering Workshop Schedule