Follow the money to achieve success: achievable or aspirational
Published date | 03 July 2017 |
Pages | 425-436 |
DOI | https://doi.org/10.1108/JFC-03-2017-0022 |
Date | 03 July 2017 |
Author | Nicholas Alan McTaggart |
Subject Matter | Accounting & Finance,Financial risk/company failure,Financial crime |
Follow the money to achieve
success: achievable or
aspirational
Nicholas Alan McTaggart
The Murinbin Group, Sydney, Australia
Abstract
Purpose –The purpose of this paper is to highlight the extent to which organised crime and the
environment have altered in relation to money laundering and terrorist nancing and to explore whether
strategies to “follow the money” have been successful.
Design/methodology/approach –This paper is based on personal analysis and involvement as a
practitioner in law enforcement and includes a broad literature review on the subject of terrorist nancing and
money laundering.
Findings –Money laundering, terrorist nancing and economic crime activity are being disguised in the
“noise” of business by specialists that have become very adept at their craft. Financial institutions and
lawmakers have invested heavily in countering money laundering and terrorist nancing. However, its real
effectiveness is somewhat doubtful.
Originality/value –This paper serves to stimulate further discussion and research on how all actors can
increase collaboration and co-operation to increase the effectiveness of disruption strategies associated with
these classes of crime.
Keywords Money laundering, Risk assessment, Terrorist nancing, Economic crime
Paper type Viewpoint
What was
The strategy to “follow the money” is in the annals of history a relatively new term. For a
police veteran of 38 years, the concept of following the money generated from the proceeds of
criminal activity, irrespective of what form that might have been, was initially an alien
concept. This was especially alien to the police hierarchy at the time. In that era, referring to
the late seventies and early eighties, the only police truly interested in criminal proceeds were
those few who were corrupt. Investigating the source of funds and following those funds to
identify the masterminds of criminal syndicates was not considered to be a tool in the
investigators’ toolbox, valid or not. It might be said that in many jurisdictions, it remains the
same case today. Initial exposure to how effective focusing on the money could be to
successful criminal disruption was instigated in 1983.
Past involvement in the arrest of two fugitives in Australia that had been identied by
“The Operation Jackpot Taskforce”, a joint investigation into international marijuana and
hashish smuggling (Google News, 1983) established by the then president of the United
States of America (DEA, 2016) was a valuable experience. In that year, a visit to South
Carolina in the United States of America was needed following an invitation extended by the
local authorities to observe what amounted to be the overt phase of an element of the
Operation Jackpot investigation they had been conducting.
The facts of the case[1] were as follows: Investigators had identied a local mid-tier drug
dealer who, through the success of his activities, had been able to amass assets including the
house in which he was residing, a vehicle hire business involving more than two dozen cars
The current issue and full text archive of this journal is available on Emerald Insight at:
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Follow the
money to
achieve
success
425
Journalof Financial Crime
Vol.24 No. 3, 2017
pp.425-436
©Emerald Publishing Limited
1359-0790
DOI 10.1108/JFC-03-2017-0022
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