by InsInvestigator » Thu Nov 06, 2008 06:00 am
I've decided to throw yet another iron in the fire by writing a CE course on anti-money laundering. I know what it is, how it works, how it's investigated, etc., etc.
Does anyone have any real-life experience in the subject and/or any examples they could share with me?
Does anyone have any real-life experience in the subject and/or any examples they could share with me?
Posted: Thu Apr 16, 2009 06:10 am Post Subject:
Hi TRK3031962
Don't you think supporting illicit proceeds with legitimate explanations is a real hard fraud? I guess it involves more than one person with good analytical brains. I don't think such men of authority should face easy penalties. what are your views regarding it?
Steven
Posted: Thu Apr 16, 2009 12:42 pm Post Subject:
That's almost fits the description of Bernie Madoff. Only thing is, that was legit funds with illegitimate explanations. It took more than one person to pull it off. They should be tarred and feathered!!
Insurance Expert made a very good explanation of AML. Remember, the last two words of that is "money laundering". Anti Money Laundering is our course as agents to learn what to look for to prevent the laundering of money.
Posted: Sun Apr 19, 2009 06:39 pm Post Subject:
Just to add a note of experience. I ran a daytrading firm a while back and someone walked into our office with a suitecase of cash. Our daytrading firm was very legit and everyone was licensed properly to trade. It is amazing how money really turns people around when it is easy to make. Some of the traders thought nothing of having this cash go into an account and trade it. However, we did ask this gentleman with the suite case to leave....this is the only experience that I encountered with money laundering even though it never got to that, but definitly looked like it would.
Michael
Posted: Mon Apr 20, 2009 04:46 am Post Subject:
money laundering is only possible if several members i.e. agent, policy owner, policy beneficiary all are involved and having a good understanding (??) with one another.
Death certificate and reason for the death is what actually asked in order to settle down the claim.So, there are people who obtains fake or suspicious death certificates (there are so many people who are having common first names and last names) and thus beneficiary get the claim money and from that money the policy owner, beneficiary, agent all get their own percentage of reward.
This is really a risky one if anyone of these trio get caught somewhere.Surely the agent will end up losing the license, but still these practices do happen.
Although it may not be possible in the US as a matter of the social security number allotted to each and every person and is unique one but still it is possible in other countries.
:wink:
Posted: Mon Apr 20, 2009 08:15 am Post Subject:
That's quite an experience Micheal.
I'd also like to know further that if you suspect money laundering in a transaction, how would you go about it?
Posted: Mon Apr 20, 2009 11:44 am Post Subject:
money laundering is only possible if several members i.e. agent, policy owner, policy beneficiary all are involved and having a good understanding (??) with one another.
Death certificate and reason for the death is what actually asked in order to settle down the claim.So, there are people who obtains fake or suspicious death certificates (there are so many people who are having common first names and last names) and thus beneficiary get the claim money and from that money the policy owner, beneficiary, agent all get their own percentage of reward.
This is really a risky one if anyone of these trio get caught somewhere.Surely the agent will end up losing the license, but still these practices do happen.
Although it may not be possible in the US as a matter of the social security number allotted to each and every person and is unique one but still it is possible in other countries.
Amit, that has nothing to do with money launderinig. That is plain old fashioned insurance fraud. No money is being laundered.
Posted: Mon Apr 20, 2009 07:42 pm Post Subject:
Hello jeorge,
If I suspected any wrong doings I was to report to the head compliance officer in our company and explain my concerns. With his guidence we would research the individual(s) in question. Since I never had to go any further, I am not sure where it would go from there. I am assuming the government regulatory board would get involved.
Maybe there are people on this board that have actually gone further then myself with this type of situation.
Michael
Posted: Tue Apr 21, 2009 07:27 am Post Subject:
Hi Micheal,
I ran a daytrading firm a while back and someone walked into our office with a suitecase of cash.
Is that all that has thrown the red flag to you? Or there were more in the manner of the gentleman to raise your suspicion? IMO the launderer are often too clever to walk in an office with the case full of money. They often have a nexus with the various financial traders to make their transaction look legal. What do you say?
Posted: Tue Apr 21, 2009 01:28 pm Post Subject:
Hello Kelvin,
We also thought the guy had quite the "Kahoona's" to do what he did. He seriously thought that he was not doing anything wrong. At least that is how he came across. We did place his name on a watch list. Our firm was very small so if anything was out of the ordinary we would catch it at an early stage. This guy just walked in..very strange. It was also over 10 years ago, before 911.
Michael
Posted: Tue Apr 21, 2009 01:56 pm Post Subject:
But Michael..it may have seemed a lot easier to catch someone since you guys were involved in a smaller operation then.
I wonder if there could be some real good rules to catch such people amid a bigger concern. How do you guys keep a check now that you've grown with time?
Purpleheaded08
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