Brief Review of the Money Laundering Control Act of 1986
Until 1986, money laundering was not considered a federal crime in the United States.
The Money Laundering Control Act of 1986 was passed by Congress and signed into law to criminalize money laundering activities.
Image Source: Pexels
Money laundering is an activity in which a money launderer engages in criminal or other illicit activities that generate funds/money and attempts to disguise the illicit source of the generated funds.
Objectives of the Money Laundering Control Act
The act was designed to achieve the four objectives below:
- To established money laundering as a prosecutable federal offense
- To mandate civil and criminal penalties for violating the Bank Secrecy Act of 1970
- To prohibit the ability of consumers who structure transactions that are met to evade currency transaction report filings
- To require banks and other financial institutions to develop and maintain Bank Secrecy Act procedures, recordings, and compliance policies
AdvisoryHQ (AHQ) Disclaimer:
Reasonable efforts have been made by AdvisoryHQ to present accurate information, however all info is presented without warranty. Review AdvisoryHQ’s Terms for details. Also review each firm’s site for the most updated data, rates and info.
Note: Firms and products, including the one(s) reviewed above, may be AdvisoryHQ's affiliates. Click to view AdvisoryHQ's advertiser disclosures.