We may no longer be falling for the Nigerian Prince’s scam from yesteryear, but these modern instances of fraud and money laundering will shock you.
1. Police Are Allowed To Seize Hundreds and Thousands of Cash From You
Now let’s pretend you AREN’T a big time hustler raking in the skrilla and actually, you’re in your vehicle on your way to make a major investment. If you are deemed “incriminating” enough to be by pulled over by the 5-0 and while searching your vehicle they find a large, or any amount of cash, they are allowed to keep it.
Source: NBCNEWS
“The cop tells the motorist he is “free to go,” then tosses out a couple of additional questions or asks to bring in the drug dog. The cop can then argue in court that the additional questions were voluntary, not a product of the official detainment. The insinuation here is that the motorist was free to leave, therefore the search was voluntary. It’s pure fiction. What would have happened if, after Simmons summoned the other trooper, Newmerzhycky simply got into his car and drove away? Would Simmons have let him go? Of course not. Driving away would have been cast as an attempt to flee and probably would have brought criminal charges.”
Source: Washington Post
The pair had told the troopers they had no drugs or currency inside the car. In reality, however, Davis kept his money — $85,020 of the total — packaged neatly inside a locked briefcase.
So yes, they lied to the cops. Probably because they knew if they told the cops about their cash, the cops would have taken it from them.”
2. Payday Loans Are Engineered to Choke Money Out Of You Forever
Currently in America, Payday Loan companies outnumber McDonalds Franchises. Ostensibly, a sign of the times.
If you’re like most of us, you live on a budget. And if you don’t, it may be something you should consider. Budgeting finances is a delicate waltz through a tiny basement with a floor covered in broken glass. It is a careful, scrupulous process that ultimately leads to limitless stress and heart ache. People on a budget all have one thing in common: That WTF I’M SHORT THIS MONTH. Almost like the “I’m late” level of pure existential anxiety ridden chaos.
BUT HEY! IT DOESN’T HAVE TO BE THAT WAY!
Maybe this month, instead of losing your marbles and frantically listing junk on Ebay, you turn to a popular new alternative, the Pay Day Loan. What is a Pay Day loan, you ask?
“A payday loan – which might also be called a “cash advance” or “check loan” – is a short-term loan, generally for $500 or less, that is typically due on your next payday.”
Source: Consumerfinance
It’s simple! Cold hard cash for you RIGHT NOW, with terror looming in your immediate future. It’s kind of like an old gangster movie, you say to yourself while filling out the forms…
Yet you neglect to remember what happens at the end of that movie. What happens when you can’t pay up?
“Most people are familiar with payday loans, which are mostly taken out at dedicated storefronts and involve paying a set amount per $100 borrowed on a loan that comes due on your next payday. Because of the substantial interest and the short duration of the loans, the interest rates are shockingly high, with annual percentage rates averaging 339 percent, according to the CFPB study.”
Source: bankrate
So you’re in good company. That’s the good news. The bad news for you is that our country can legally loan shark and launder money from you.
3. Online Gambling is a Front for Money Laundering
The increased popularity in online gambling and subsequent decline of casino gambling in places like Atlantic City is suspect.. Even when making comparisons to real casinos..
“A third of the casinos are now shrouded in darkness. Small wonder. Over the past eight years, casino revenues in Atlantic City have plummeted by nearly 50% Trump Plaza, one of the city’s marquee names, is the latest to shut down. At 06:00 on Tuesday, CLOSED signs were posted on its doors. Last week Trump Entertainment Resorts filed for bankruptcy.”
Source: BBC
How could a multi billion dollar live gaming industry come to an end? It sounds like an issue that fictional Nucky Thompson would have to find a wacky solution for.
The changes in technology featuring the ubiquitous tablet device and recent state legislation make at home gambling the new normal.
A new study reveals that online gambling is a coverup for a much larger money laundering scheme.
“According to market research firm H2 Gambling Capital, gross winnings for online gambling grew from 9.1 billion dollars in 2003 to 32.7 billion dollars in 2013 and is expected to increase to 39 billion dollars in 2015, with betting still accounting for the bulk of the winnings. The McAfee report acknowledges that the number of gambling sites is fluid, but is in excess of 25,000.”
Source: SCmagazine
Wouldn’t it just be easier to play Angry Birds?
4. Businesses Take Tons of Your Money for the Convenience of Using Their ATM
Maybe you should consider getting in the habit of carrying cash.
The Board of Governors Anti-Money Laundering Examination Manual poses a simple reality where these “small business owners” have an actual ability to launder as much money from the machines as they want. For owners of ATM machines is an interesting read.
“Privately owned ATMs are particularly susceptible to money laundering and fraud. Operators of these ATMs are often included within the definition of an ISO.204 Privately owned ATMs are typically found in convenience stores, bars, restaurants, grocery stores, or check cashing establishments. Some ISOs are large-scale operators, but many privately owned ATMs are owned by the proprietors of the establishments in which they are located. The scam essentially works like this: A white-label ATM operator loads it with ill-gotten cash. Over time, unknowing customers empty the machine. When the ATM runs dry, it’s replenished with clean money. For example, the Hells Angels could arrange to have an ATM placed in a strip club. The owner of the club – a front person chosen for their lack of criminal record – would apply for the necessary security clearance and, after receiving it, could stock the machine with a mix of bar proceeds and, say, drug proceeds. As long as the machine stayed under a safe limit, say $5,000 a day, it would be unlikely to draw attention, according to Clement.”
Source: CTVNews
This loophole defined in the cautionary manual is also being taken advantage of in organized crime operations.
At least $315M a year possibly laundered.
5. A Matter of “Creative Accounting”
In a world full of new ways to launder money, why not keep it simple and launder directly under someone’s nose with full documentation of their identity at your fingertips? Tax accountants can either follow the rules and get rich people their refunds, or, launder enough profit to drive around in a Maserati themselves.
“It was addictive. Just like the dope they once sold on the streets, if not more. A highly lucrative business taking place in front of a laptop in the privacy and comfort of home. A business amounting to $130 million in tax fraud, costing Tampa taxpayers an estimated $15 million a day.”
Source: Patch
6. Vulnerable Women on Dating Websites Are Bleeding Money
Now when you sign up for an account on Match.com you have to click an agreement promising that you will not use the site to scam people for money.
“In addition to the types of Content described in Section 9(a) above, the following is a partial list of the kind of Content that is prohibited on the Website. You may not post, upload, display or otherwise make available Content that: requests money from, or is intended to otherwise defraud, other users of the Website or Service;”
Source: Match
“Hey girl. You’re the world to me. The moon to my stars. And some monologue from a movie. Give me money and I will love you more and more forever and ever.”
The sad reality in today’s dating world is that vulnerable daters are sending millions of dollars a year to catfish.
“Conmen bombarded lonely women on a dating website with gushing messages of love to con them out of £220,000″
Source: Dailymail
