An An Outline of the Frameworks of Anti-Money Laundering in Hungary

Abstract

In the course of money laundering, perpetrators try to make the money laundered appear as legal. Still, their aim is not to make a profit but to hide the illegal origin of funds through a series of legal actions. The perpetrators are ready to give up a significant proportion of the benefits if necessary, as the remaining sum from money laundering is still considerable. Offshore companies, financial entities and investor groups participate in the chain of cross-border financial transactions usually. Due to the fact  that financial regulations become increasingly strict, criminals have turned to new offence modes (such as alternative financial services, anonymous underground banking, relief organisations, foundations, cryptocurrencies). Ultimately, chaotic organisational structures and suspicious financial transactions point in one direction: they risk fair market and financial stability of the rule of law democracies.