Money laundering and the automobile industry: a comparative study between the laws of Mauritius and UK

Date23 October 2024
Pages160-170
DOIhttps://doi.org/10.1108/JMLC-08-2024-0128
Published date23 October 2024
AuthorAmbareen Beebeejaun
Money laundering and the
automobile industry: a comparative
study between the laws of Mauritius
and UK
Ambareen Beebeejaun
Department of Law, University of Mauritius, Reduit, Mauritius
Abstract
Purpose Motor vehicles playa vital role in the economic and social growth of any country. However, they
have recently become instrumentsand a source of illegally obtained f‌inancial gains for criminal bodies and
individuals. This studyaims to assess the laws of Mauritius on AML procedures to prevent money laundering
through vehiclestransactions.
Design/methodology/approach To achieve the research objective, the black letter research method
was used by analysing laws, regulations and case laws on the subject matter. A desk-based and doctrinal
approach was also used by examining policy papers, scholarly articles and newspaper materials on the
researched topic. Additionally, the research adopted a comparative analysis by assessing how the laws of
another country address the issue of money laundering through vehicle transactionand the selected country
is the UK.
Findings The research concluded that Mauritius AML laws are lagging behind of the UK laws and
accordingly, some measures were suggested to deal with the issue of money laundering through vehicles
transactions. Accordingly, this research recommended that motor vehicle dealerswho are high value dealers
engaged in cash transactionsabove certain threshold, must also be categorised as reportingpersons under the
FIAMLA such that the prescribedAML measures apply to them. Additionally,it is convenient for the FCC to
be embodied with some additionalpunitive and corrective powers to assist the Commission in its f‌ight for the
preventionand elimination of f‌inancial crimes in Mauritius.
Originality/value At present, this study will be among the f‌irstacademic writings on the intersection between
money laundering and the automobile industry and on the effectiveness of the legal and regulatory measures
undertaken by the Mauritian authorities to prevent money laundering throughvehicles transactions. The study is
carried out with the aim of combining a large amount of empirical,theoretical and factual information that can be
of use to various stakeholders and not onlyto academics.
Keywords Money laundering in Mauritius, Reporting persons in Mauritius,
Suspicious transactions and money laundering, Vehiclesand money laundering
Paper type Research paper
1. Introduction
Money laundering is a form of f‌inancialcrime that represents a threat to fragile tissue of trust
and conf‌idence which can lead to serious harm to the reputation and the economy of any
country. Essentially, money laundering is an illegal activity that enables illegal proceeds of
crime to enter into the lawful circuit of money transactions. To this effect, the International
Monetary Fund def‌ines money laundering as the process of concealing assets obtained from
Conf‌lict of Interest: The author conf‌irms that there is conf‌lict of interest to be declared in this paper.
JMLC
28,1
160
Journalof Money Laundering
Control
Vol.28 No. 1, 2025
pp. 160-170
© Emerald Publishing Limited
1368-5201
DOI 10.1108/JMLC-08-2024-0128
The current issue and full text archive of this journal is available on Emerald Insight at:
https://www.emerald.com/insight/1368-5201.htm

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