What is money laundering?

[riya]

I’ve been hearing a lot about "money laundering" recently, but I’m not exactly sure what it means. I know it has something to do with illegal activities, but I’d love to get a clearer understanding of what it involves.

 

[Gsusangrey]

The unlawful practice of hiding the source of funds obtained by illicit means, such as fraud or drug trafficking, in order to make them seem genuine is known as money laundering. Three steps are usually involved in order to "clean" the "dirty" money so that it can be used without raising any red flags: placement, layering, and integration.

 

[brook]

Money laundering is the illegal act of obscuring the origin of money acquired in illegal activities, e.g. fraud or drug trafficking, so that it appears to be legitimate. The dirty money will in most cases be laundered through three stages to enable the money to be utilized without any suspicion whatsoever: placement, layering, and integration.

 

[Mayank]

Money laundering is the process of concealing the origins of illegally obtained money by transferring it through complex financial systems. It makes illicit funds appear legitimate, often involving banks, businesses, or international transactions to hide criminal activity.

 

[amara]

Money laundering is the illegal process of concealing the origins of money obtained from criminal activities, such as drug trafficking or fraud, to make it appear as if it came from a legitimate source. The goal is to make "dirty" money seem "clean" and usable within the legal financial system

 

[deepak]

Money laundering refers to the unlawful act of transforming large amounts of money that come as a result of criminal acts into making it look legal. It is the cash laundering of the sources of money via complicated financial dealings, like transfers or investments, so that they look like they were legally obtained and are inaccessible to their source of criminality.