Drug Money Laundering Lawyer Case Results in Scottsdale, Arizona

Client Charged With A Drug Money Laundering Crime in Scottsdale, Arizona

If you or a loved one have been charged with drug money laundering, you should know that Arizona's law enforcement agencies treat this crime seriously and that severe penalties will follow if convicted. Below are answers to common questions many who have found themselves in similar circumstances have, along with a case study outlining a successful legal strategy and outcome.

What Is Money Laundering?

Money laundering is turning funds obtained through illegal activity into "clean money” and is frequently used by those seeking to conceal their illicit sources of income. It often entails a series of intricate business dealings or transactions. As a result, the money appears to have been gained legally. Federal and Arizona state laws make money laundering a crime, meaning this offense is punishable in two legal systems.

What Is The History Of Money-Laundering?

The world's first nation to make money laundering illegal was the United States, mainly to combat gangs like the Mafia. The focus of law enforcement organizations today is on terrorism and drug offenses.

The Bank Secrecy Act, passed in the 1970s, was one of the country's first anti-money laundering regulations. Banks were compelled by this law to record significant and unusual cash transactions.

The Money Laundering Control Actwent into effect in 1986, making it illegal for people to participate in financial transactions involving criminal proceeds. With the passage of the Annunzio-Wylie Anti-Money Laundering Act in 1992, more severe penalties were added. The Money Laundering and Financial Crimes Strategy Act of 1998 and the Money Laundering Suppression Act of 1994 increased the money laundering investigation process. The Patriot Act, passed by Congress in 2001, featured several strong anti-money laundering provisions. Following the adoption of this federal legislation, state governments, including Arizona, started to make money laundering illegal within their borders.

What Authorities Investigate Money Laundering?

Money laundering investigations are required of several law enforcement authorities in Arizona. Along with the Arizona Police Department, the IRS, the FBI, and international organizations have been established to specifically look into money laundering cases. The International Money-Laundering Information Network (IMoLIN), for example, is a United Nations agency responsible for investigating money laundering activities worldwide. Additionally, there is the G7-instituted Financial Action Task Force on Money Laundering (FATF). This organization's ability to stop the flow of illegal money to terrorist organizations is one of its primary duties.

What Are The Money Laundering Laws in Arizona?

Arizona Criminal Code 13-2317 is the primary law that makes money laundering illegal in Arizona. This law divides money laundering into three categories: first degree, second degree, and third degree.

According to Arizona Criminal Code 13-2317, a person who intentionally starts, plans, organizes, finances, supervises, manages, directs, or is in the business of money laundering to support murder or terrorism commits the crime of first-degree money laundering. The punishments for first-degree money laundering are more severe than for second and third-degree offenses. Money laundering in the first degree is considered a class 2 felony.

First-degree money laundering requires aiding in the conduct of homicide or acts of terrorism, which is a crucial distinction between it and second and third-degree money laundering. It has the most severe punishments because of this.

Second-degree money laundering includes all actions that involve earning money through unlawful means and hiding it so that it appears to have been gained legitimately, including:

• Acquiring or holding a stake in, dealing with, transferring, conveying, receiving, or hiding the kind of racketeering proceeds or their existence while being aware that they came from illegal activity
• Transporting things, equipment, or money to someone else while knowing that they would be used for illegal purposes
• Conducting a transaction while having cause to suspect that the goods were obtained through illegal means
• Knowingly or willfully failing to comply with a federal reporting requirement
• Giving false information purposefully or intentionally, withholding information that prevents the submission of a record or report required by federal law, or submitting a document that contains significant factual errors or omissions
• Falsifying, hiding, obfuscating, or misrepresenting any person's identity with the intent to defraud or hide in connection with a financial transaction

Money laundering in the second degree is considered a class 3 felony. In comparison to third-degree money laundering, it carries more severe sanctions.

A person who transfers money or any other valuable thing to sway or reward someone for taking a particular action is guilty of third-degree money laundering. Money laundering in the third degree is considered a class 6 felony.

Follow Our Case Study: “John,” our client, was on his way to Las Vegas for his brother's wedding. He was stopped by law enforcement for a driving infraction. Due to his erratic behavior after several warnings, the officer suspected that there might be illegal substances in the car.

What Are The Components Of Money Laundering?

Money laundering is a complex, fact-specific offense. Depending on the particular facts relevant to the case, the prosecution must establish different aspects for a defendant to be found guilty. However, the prosecution must typically establish the following three elements:

• Engaged In Illegal Behavior - The prosecution must present substantial proof that you participated in illegal activities. People accused of money laundering frequently have additional criminal charges for other unlawful behavior. For instance, if the prosecutor feels that someone accused of money laundering also engaged in drug trafficking, charges for both offenses may be brought against them.
• Knowledge Of The Crime - The prosecutor must show that you were aware that the cash, goods, or items were either the profits of illegal activity or were intended for unlawful activity. Therefore, you will be acquitted if you can present proof proving that you did not know that the money came from criminal activity.
• Intent To Hide Or Conceal - The prosecution must demonstrate that you had a deliberate purpose to conceal or hide the money obtained illegally. If you hadn't intended to do that, you would be free to go.

In criminal prosecutions, Arizona requires proof that is beyond a reasonable doubt. Prosecutors frequently struggle to uphold this demanding threshold, and when they can't, defendants are exonerated.

Follow Our Case Study: When “John” was stopped, and police started investigating, he was incredibly anxious. The officer used bolt cutters to open a locked security case after searching the car. He discovered bundles of cash, which the officer believed to be revenues from illicit drug sales. The police then arrested our client and accused him of drug money laundering.

What Are Drug Money Laundering Penalties?

Different penalties apply depending on whether you have been accused of money laundering in the first degree, second degree, or third degree. First-degree money laundering carries a maximum sentence of 12.5 years in jail, while second-degree money laundering carries a maximum sentence of 8.75 years in prison. A third-degree money laundering conviction carries a penalty of up to 6 years in prison and/or a fine of at least $2,000 or three times the amount of the stolen property, whichever is higher.

Remember that these sanctions only apply if you were found guilty as a first-time offender. Money laundering offenses that occur a second or third time typically face harsher punishments. Moreover, you will be punished three times the amount of money involved if evidence exists that you "laundered" $100,000 or more in one year.

What Are Some Legal Defenses For Drug Money Laundering Charges?

You have several legal options at your disposal to refute allegations of money laundering. Some of them consist of:

• Entrapment - Evidence obtained by entrapment is not admissible in Arizona. Entrapment is one of the most frequently used defenses against accusations of money laundering because of this. Law enforcement organizations still use entrapment tactics, particularly undercover officers, to gather information and evidence during money laundering investigations.
• The interaction between the law enforcement officer and the police officer before and during the conduct of the felony forms the basis of the defense of entrapment. Imagine a police officer forcing you to participate in a money-laundering scheme through coercion or another oppressive method. Then you can utilize this defense to refute your accusations.
• Duress - You may have unintentionally participated in money laundering. For instance, someone may have coerced you to engage in money laundering by threatening that they would kill your loved ones. You can use the defense of duress to counter your accusations if you find yourself in this predicament.
• Absence Of Intent - One of the essential components of money laundering is intent. The prosecution must present substantial proof that you intended to conceal or hide money gained via criminal activity, and they must establish each element of the crime beyond a reasonable doubt.
• Absence Of Knowledge - Similar to lack of intent, you would be found not guilty if the prosecution could not establish with sufficient evidence that you were aware that the money you "laundered" came from criminal proceeds. If you felt that the money was earned lawfully, you can assert this argument by presenting proof that you honestly believed the money came from legal sources. You may, for instance, present correspondence between you and other participants in the money laundering scheme. Alternately, you can call witnesses who will attest that you were duped into thinking the money did not come from illegal activity.
• Unauthorized Search - Evidence gathered through unlawful searches is not admissible in Arizona. However, law enforcement organizations continue to perform illegal searches when looking into money laundering activities. As a general rule, you should never consent to a law enforcement officer searching your person or property without a search warrant being presented to you. It is forbidden to conduct searches without a search warrant.

Follow Our Case Study: To present an accurate picture of “John,” we maintained frequent contact with the investigating attorneys. After looking through the information and particulars surrounding John's circumstances, we believed there were substantial legal challenges.

We successfully negotiated to have the prosecution withdraw all charges against our client based on the pre-existing legal concerns, our relationship with the local prosecutors, and our familiarity with the court system. Consequently, John’s case was dropped, and he was spared any jail time or fines.

Summary

Drug Money Laundering charges are made daily in Arizona, and many end in convictions with severe penalties. If you or a loved one find yourself charged with similar charges, the smartest move you can make is to contact an experienced attorney as soon as possible. Doing so can mean the difference between being convicted or being set free. Things could have turned out very differently for "John" had he not immediately contacted us after being charged.

WE HELP GET YOUR DRUG CHARGES AND PENALTIES REDUCED OR DROPPED.

The drug crime lawyers at Scottsdale Drug Lawyer have over 35 combined years of experience defending clients in the Scottsdale, Arizona area. We’ve helped clients receive reduced penalties, dismissed charges and flexible legal results that make it easier to move on after your case. View our recent case results to get a better idea of how our criminal defense drug crime attorneys provide first-class service to their clients.