San Antonio Money Laundering Lawyers
Money laundering is a white-collar crime that involves concealing the origins of money obtained through illegal activities. It passes the money through a complex sequence of banking transfers or commercial transactions. The goal is to make the unlawful funds appear legitimate, thereby integrating them into the financial system. This practice is often associated with activities such as drug trafficking, terrorism, and organized crime.
The crime of laundering money is prosecuted under Texas Penal Code Section 34.02, enacted in 1993. This offense is typically done through transfers involving foreign banks or legitimate businesses. The purpose of the money laundering statute is to criminalize the means criminals use to cleanse their illicit gains in both federal and state courts.
The Texas legislature's reasoning behind the money laundering statute was that it would effectively paralyze drug ring operations and create bottlenecks in the flow of illegal funds. By enacting the law, the legislature intended to combat illicit drug trade by focusing on the cash involved in the transactions. The money laundering statute has been expanded since it was initially enacted.
While nonviolent, money laundering is a serious crime under both state and federal law. If you or someone you know has been charged with this offense or any other white-collar crime in greater San Antonio or Bexar County, you should seek legal help.
At Flanary Law Firm, PLLC, our team of seasoned criminal defense lawyers understands the complexities of these cases and provides meticulous and aggressive representation in the Texas courts.
Reach Flanary Law Firm, PLLC via our online contact form or call (210) 899-7566 to request a free case review with a San Antonio money laundering attorney.
Elements of Money Laundering Under Texas Law
Under Penal Code Section 34.02, the crime of money laundering requires proof beyond all reasonable doubt that the defendant knowingly:
- acquires or maintains an interest in, receives, conceals, possesses, transfers, or transports the proceeds of criminal activity;
- conducts, supervises, or facilitates a transaction involving the proceeds of criminal activity; or
- invests, expends, or receives, or offers to invest, expend, or receive, the proceeds of criminal activity or funds that the person believes are the proceeds of criminal activity.
Examples of Money Laundering
Placement involves entering "dirty" money into the financial system. For example, an individual might deposit small amounts of cash obtained from illegal activities into various bank accounts to avoid detection.
Layering entails separating the illicit money from its source through multiple transactions. For instance, the money might be transferred through several banks, converted into different currencies, or invested in high-value assets like luxury cars or real estate.
Integration is the final stage in which the now-laundered money is reintroduced into the economy as legitimate funds. Examples include using the money to invest in legitimate businesses, purchase properties, or make high-value purchases that appear legal.
Penalties for Money Laundering
The penalties for money laundering depend, in part, on the amount of money laundered.
Those penalties include:
- a state jail felony if the value of the funds is $2,500 or more but less than $30,000;
- a felony of the third degree if the value of the funds is $30,000 or more but less than $150,000;
- a felony of the second degree if the value of the funds is $150,000 or more but less than $300,000; or
- a felony of the first degree if the value of the funds is $300,000 or more.
If the proceeds of criminal activity are related to one scheme or continuing course of conduct, whether from the same or several sources, the conduct may be considered one offense. The value of the aggregated proceeds will determine the classification of the offense. Under Texas law, funds on deposit at a financial institution branch are considered the property of that branch and any other financial institution branch.
Defenses to Money Laundering
The Texas statute prohibiting money laundering includes several defenses. For instance, it is a defense if the person acted with intent to facilitate the lawful seizure, forfeiture, or disposition of funds or other legitimate law enforcement purposes under state or federal laws.
Texas law also provides a defense against money laundering if the transaction was necessary to preserve a person’s right to representation as guaranteed by the Sixth Amendment of the U.S. Constitution and Article 1, Section 10 of the Texas Constitution. It is also a defense if the funds were received as bona fide legal fees by a licensed attorney and, at the time of their receipt, the attorney did not know that the funds were derived from criminal activity.
Presumptions under the Texas Money Laundering Law
Prosecutors will often use “presumptions” to try and prove their case.
Common presumptions in a money laundering case may include:
- Presumption of knowledge: Prosecutors may presume that the accused knew the funds involved in the transaction were derived from illegal activities unless proven otherwise.
- Presumption of intent: There could be a presumption that the accused intended to conceal or disguise the illicit origin of the funds unless evidence suggests otherwise.
- Presumption of control: Prosecutors might assume that individuals in control of the financial transactions or assets are aware of the illicit nature of the funds unless there is evidence to the contrary.
- Presumption of regularity: There may be a presumption that certain financial transactions deviating from regular patterns indicate money laundering activities unless a legitimate explanation is provided.
- Presumption of beneficial ownership: Prosecutors may presume that the accused is the beneficial owner of assets involved in money laundering unless evidence proves otherwise.
In some instances, prosecutors may presume that a person believes funds are the proceeds of criminal activity if a peace officer represents it that way, regardless of whether the peace officer discloses their law enforcement status. The presumptions require that the facts behind the presumption of intent to defraud or harm another be proven beyond a reasonable doubt.
Why Choose Flanary Law Firm, PLLC?
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Constant CommunicationAt our firm, we always want our clients to feel empowered when defending against criminal charges. We aim to constantly communicate with our clients, answering questions and taking feedback as we progress through the case. We are always here to answer your questions or adjust your legal strategy as needed.
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A History of ResultsWith multiple decades of experience between our attorneys, we have a history of proven results and happy clients. We always aim to get a criminal case dismissed or have the charges lowered to reduce any penalties our clients are facing. We are confident we can get you the results you deserve.
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Experience You Can Count OnAt our firm, we pride ourselves on the diverse range of criminal cases we have worked on. From federal felony charges to state misdemeanors, we know exactly how to build a defense strategy that's right for you. Our team can handle even the most complex cases and are willing to be flexible with our strategies.
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Advice on Your TimelineWe understand that all criminal cases work at different paces. Whether you are just looking around for a lawyer because you're under investigation or you need immediate representation, our team can help. We will work with you no matter where you are in the process to protect your rights.
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Free Initial ConsultationsWe understand that hiring a criminal defense attorney is a big decision that many people need time to make. That's why we offer all our potential clients a free consultation to see if we're the right legal team for them. We will review your case and begin building a legal strategy to defend your rights.
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Personalized Legal Defense StrategiesAll criminal cases are different, so our dense strategies are too. We would never re-use a legal strategy from one client to the next because your case is too unique. We will always build a defense strategy that's personalized and effective for you to get the outcome you deserve.
Conspiracy to Commit Money Laundering under Federal Law
The federal crime of conspiracy to commit money laundering requires proof that the defendant unlawfully, willfully, and knowingly combined, conspired, confederated, and agreed to commit one of the following offenses under Title 18, United States Code, Sections 1956 and 1957.
Those offenses for money laundering under federal law require proof that the defendant did conduct and attempt to conduct a financial transaction affecting interstate commerce, which transaction involved the proceeds of specified unlawful activity that is:
- with the intent to promote the carrying on of such specified unlawful activity; and
- with the intent to engage in conduct constituting a violation of [26 U.S.C. § 7201], [26 U.S.C. § 7206], and
- knowing that the transaction was designed in whole or in part to conceal and disguise the nature, location, source, ownership, and control of the proceeds of said specified unlawful activity; and
- knowing that the transaction was designed in whole and in part to avoid a transaction reporting requirement under state or federal law and that while conducting and attempting to conduct such financial transaction, knew that the property involved in the monetary transaction represented the proceeds of some form of unlawful activity, in violation of 18 U.S.C. § 1956(a)(1); and
- knowingly to transport, transmit transfer and attempt to transport, transmit, and transfer a monetary instrument and funds from a place in the United States to and through a place outside the United States with the intent to promote the carrying on of specified unlawful activity, in violation of 18 U.S.C. §1956(a)(2)(A); and
- knowing that the property involved in a financial transaction represented the proceeds of some form of unlawful activity to transport, transmit transfer, and attempt to transport, transmit, and transfer a monetary instrument and funds from a place in the United States to and through a place inside the United States knowing that such transportation was designed in whole or in part to conceal and disguise the nature, the location, the source, the ownership and the control of the proceeds of specified unlawful activity, and to avoid a transaction reporting requirement under federal law, in violation of 18 U.S.C. §1956(a)(2)(B); and
- knowingly to engage, attempt to engage, cause, and aid and abet others in engaging in monetary transactions in criminally derived property of a value greater than $10,000, in violation of 18 U.S.C. 1957.
