MONEY LAUNDERING COULD HURT BUSINESSES

A customer trying to pay for a large purchase with a dufflebag full of
$20 bills could be a clue that something's fishy, said an RCMP expert
on money laundering.

And merchants who look the other way rather than question suspiciously
large cash transactions may actually be supporting organized crime
without realizing it.

That's the premise of an educational campaign called, Merchants
Against Money Laundering, launched by the RCMP "E" Division Integrated
Proceeds of Crime section.

Two UBC students, Mandy Yip and Ryan Fetterly, are making the rounds
this summer with a 45-minute PowerPoint presentation for service
groups across the Lower Mainland.

The pair is on its way to speak to a Chilliwack Rotary club in early
July to explain :

* Why criminals launder money

* How they do it

* How to identify a suspicious transaction

* How a business can be used, and more

"This is good knowledge for our members to have, especially those who
deal regularly with cash transactions," Chilliwack Mt. Cheam Rotary
club spokesman Dave Stephen.

Local rotary club officials were offered the chance to have the UCB
students give a presentation at an upcoming Rotary lunch, and they
quickly accepted.

"Our membership includes a number of merchants and retailers, which is
a key audience for this presentation," said Stephen.

According to RCMP Proceeds of Crime program records, more than $154
million in Canadian cash was seized by officers between 2000 and 2005.

The last thing most business people want is to be affiliated with a
money-laundering transaction that could have a negative impact on
their reputations, said RCMP Cpl. Mike Bensimhon.

This is the third year of the campaign to raise awareness about this
type of crime.

"Anyone who is operating a marijuana grow-op is likely to be
laundering money. It's anyone who is trying to hide the source of
their illegitimate funds," he said.

An individual who takes $5,000 in cash to a business person, asking
them to "hold it" is money laundering in its simplest form, he said.

"But it's not just cash-laden clients who come to you. It could be
those proposing questionable transactions, like the criminals out
there who will ask for money orders or drafts to be prepared in
exchange for cash," he said.

Sometimes they'll offer to pay "a commission" on top of the agreed
amount if the merchant writes them a cheque.

"That's a more obvious scenario," the officer said.

Criminal organizations are also known to set up phoney businesses as a
front to help make their operations seem legitimate.

"There are many techniques used. A business can be susceptible and can
end up contributing unwillingly and eventually there could be an
investigation," Bensimhon said.

For more info check out www.rcmp-grc.gc.ca/poc/launder_e.htm or to
book a money laundering presentation call 604-264-2396 or
604-264-2117.