Legal Principles and Solutions to Combat Money Laundering in the International System

Abstract

This study focuse on combat money laundering legal principles and solutions to in the International System. As its clear Money laundering is the attempt to disguise the proceeds of illegal activity so that they appear to come from legitimate sources. Money is laundered through banking systems and credit institutions, non financial institutions and non financial economic activities. Combating money laundering phenomenon dates back to the 1980s. In 1989, Financial Action Task Force was set up to combat money laundering which published forty recommendations pertaining to money laundering in 1990. In 1997, it published an important document titled as Core Principles for Effective Banking Supervision. Also Basel Committte on Banking Supervision offered its ninth special recommendation to further reinforce international stadndards of anti- money laundering in 2004. At the end of the study, experiences of U.S., European Union and jurisdictions pertaining to combating money laundering are presented.