Money laundering involves masking or concealing the illegal origin of money or property. Even the mere possession of criminally obtained assets can already be regarded as money laundering.
Definition of money laundering
According to the law (Articles 420bis-420quater of the Dutch Criminal Code), money laundering includes:
- Concealing or disguising the origin of property derived from crime
- Acquiring, possessing or transferring such property
- Using money from criminal activities
Types of money laundering
- Intentional money laundering (420bis) - You are aware of the criminal origin. Maximum penalty: 6 years.
- Culpable money laundering (420quater) - You could have suspected that it involved illegal money. Maximum penalty: 2 years.
- Repeated money laundering (420ter) - The systematic laundering of money. Maximum penalty: 8 years.
Practical examples
- Depositing drug money in cash into an account
- Purchasing real estate with illegally obtained money
- Issuing false invoices to legitimize black money
- Moving money through international structures
- Using a business as a front for money laundering practices
Money laundering from one's own offense
Laundering money derived from an offense committed by yourself is also punishable. For example, if you earn money from drug trafficking and spend it, you commit not only drug trafficking but also money laundering.
Mandatory reporting
Institutions such as banks, notaries and real estate agents are obliged to report suspicious transactions to FIU-Nederland. This helps in detecting money laundering practices.
Confiscation of criminal assets
Upon a conviction for money laundering, the Public Prosecution Service (OM) may file a claim to deprive the laundered assets, so that criminally obtained money is recovered.
Frequently asked questions about money laundering
When am I liable for money laundering?
You are liable if you knowingly conceal, possess or use money or property knowing it comes from a crime. Even if you should have suspected it was criminal money, you can be prosecuted. Even mere possession of illegal money can be punishable. The penalty depends on the circumstances and whether it is repeated.
Can I unknowingly commit money laundering?
Yes, in the case of culpable money laundering (Article 420quater of the Dutch Criminal Code), you do not need to know that the money is illegal, but you should have suspected it. For example, accepting an unusually high cash payment without inquiry. The penalty can amount to 2 years' imprisonment.
What happens in case of suspicion of money laundering?
In case of suspicion, the Public Prosecution Service initiates an investigation. You may be arrested and questioned. A conviction can lead to a prison sentence (up to 8 years for repeated money laundering) and deprivation of criminal assets. A criminal record can impact employment or travel. Contact a lawyer immediately if suspected.
Is laundering one's own criminal money punishable?
Yes, laundering money from an offense you yourself committed is punishable. For example, if you deposit money from drug trafficking into an account, you commit not only drug trafficking but also money laundering, possibly with a heavier penalty and deprivation of the assets.
What is the responsibility of banks in money laundering?
Banks and financial institutions must report suspicious transactions, such as large cash deposits, to FIU-Nederland. If they fail to do so, they risk sanctions. For customers, this can lead to blocked accounts and a criminal investigation.
Assistance in Utrecht
For legal assistance in Utrecht, you can go to:
- District Court Midden-Nederland, Vrouwe Justitiaplein 1, Utrecht
- Juridisch Loket Utrecht, Catharijnesingel 55, Utrecht