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Internet Casinos: A Sure Bet for Money Laundering

NCJ Number
197000
Journal
Journal of Financial Crime Volume: 8 Issue: 4 Dated: June 2001 Pages: 365-383
Author(s)
Jon Mills
Date Published
June 2001
Length
19 pages
Annotation
The relationship between the virtual gaming industry and money laundering are highlighted in this journal article.
Abstract
Focusing on the issue of money laundering, this article addresses ways that the virtual gaming industry contributes to Internet crime. After briefly suggesting that international cooperation is needed in order to eradicate money laundering through online gambling, the author describes the crime of money laundering itself, and how the nature of the Internet, allowing transactions to occur instantly and anonymously, is a chief vehicle for money laundering. After discussing the recent passage of several United States laws such as the Electronic Funds Transfer Act designed to regulate the transfer of electronic funds, this article suggests that a lack of international cooperation is a challenge to preventing money laundering through Internet casinos. Following a discussion of jurisdictional concerns involving the prosecution of money laundered though on-line casinos, the author argues that a balance between individual privacy concerns and the need to enforce international laws is needed. Citing the need for stringent international Internet gambling regulations, similar to traditional gambling establishment regulations, the author presents a summary of new legislation seeking to prohibit Internet gambling altogether. The author concludes that international cooperation, enforcement, and regulation are the only ways to fully eradicate money laundering through Internet casinos. 193 References