Quo Vadis legal profession participation in anti-money laundering

Published date07 October 2019
Pages764-769
Date07 October 2019
DOIhttps://doi.org/10.1108/JMLC-12-2018-0072
AuthorLisanawati Go,Njoto Benarkah
Quo Vadis legal profession
participation in anti-money
laundering
Lisanawati Go
Faculty of Law, Universitas Surabaya, Surabaya, Indonesia, and
Njoto Benarkah
Department of Informatics Engineering, Universitas Surabaya,
Surabaya, Indonesia
Abstract
Purpose This paper aims to explore the obstaclesthat the ethical guidelines of legal professionals pose in
the implementation of an effective anti-money laundering regime, established in the law on anti-money
laundering in Indonesia. Some compliance schemes have been developed to integrate the participation of
gatekeepersin anti-money laundering efforts, but the solutionto mitigate the challenges must be implemented
through the participationof the legal profession.
Design/methodology/approach The study uses a qualitative research methodology, including a
triangulation of interviewswith relevant experts, literature review and analysis of regulations. A deductive
approachis employedto analyse the data.
Findings The legal professions ethical regulations and laws were considered to be the cause for the
Indonesian Governmentsinability to implement the anti-money laundering regime. The ndings show two
practical solutions that could be implemented: A government policy for the amendment of the anti-money
laundering law and organizational policy to increase support for the anti-money laundering regime; and
active participationof legal professionals in an effectiveanti-money laundering regime in Indonesia.
Originality/value This study provides insight into the participation of the legal profession in anti-
money launderingefforts.
Keywords Anti-money laundering, Indonesia, Law, Participation, Legal profession, Legal professionals
Paper type Research paper
Introduction
Money launderingis an ancillary or derivative offence, distinct from but predicatedupon the
crime that produces the money, the predicate offence.It involves an action that occurs after
the commission of a predicate crime and depends on the offense itself. Money laundering
legitimates the proceeds of a previous, distinct, predicate criminal activity (Leong, 2007,
p. 30). It is called a sui generis crime. While there may be evidence of a crime,there is often
no necessity or possibilityfor a conviction of money laundering. Money launderingis a part
of transnationalcrime, and it increases with the proliferation of transnationalcrimes.
Boister (2012, pp. 101-102) argues that the crime of money laundering has negative
impact on the economy, society, and security of a nation. As such, money laundering is
harmful for the governance of a nation. Money laundering can lead to thedestabilization of
the nancial system, crime re-funding, and the unpredictable movement of vast prots.
This research was supported by the Ministry of Research, Technology, and Higher Education, the
Republic of Indonesia [Grant Number: 016/ST-Lit/LPPM-01/Dikti/FH/III/2018].
JMLC
22,4
764
Journalof Money Laundering
Control
Vol.22 No. 4, 2019
pp. 764-769
© Emerald Publishing Limited
1368-5201
DOI 10.1108/JMLC-12-2018-0072
The current issue and full text archive of this journal is available on Emerald Insight at:
www.emeraldinsight.com/1368-5201.htm

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