Money Laundering

Money laundering refers to any activity aimed at bringing money or other property obtained from illicit sources or used to finance illegal activities into legal circulation. The charge of money laundering is often associated with classic organized crime groups, such as narcotics, but often applies to other organized criminal activities, including economic and fiscal crime, smuggle, drug trafficking, terrorist financing and suspicious money transfer. Technological advances in the financial system have led to the fact that money laundering often involves a chain of complex financial and economic operations.

In Poland, money laundering is a crime punishable by imprisonment for up to 8 years, and up to 10 years if the perpetrator acts in concert with others (Article 299 of the Polish Criminal Code). Polish legislation in the case of a conviction for money laundering also provides for the possibility of an aggravated fine of up to PLN 6,000,000 (EUR 1,500,000)  (Articles 309 and 33 of the Polish Criminal Code). A conviction for the crime of money laundering also automatically triggers a ban on serving as a member of a company’s management board, supervisory board, audit committee or liquidator. In addition, for any act related to professional or business activity, the court may impose:

•   a ban on holding a specific position
•   a ban on practicing a specific profession or
•   a ban on conducting a specific business activity.

As part of the fight against money laundering, the Polish legislator has provided for the possibility of avoiding punishment (a non-punishment clause) for a perpetrator who has voluntarily disclosed information to Financial Intelligence Unit or another law enforcement agency on the persons involved in committing the crime and the circumstances of its commission, provided that this has prevented the commission of another crime. The court will also apply extraordinary mitigation of punishment if the offender made efforts to disclose such information and circumstances.

How to combat money laundering

Due to the growing scale of this phenomenon, both under European and Polish law, there are a number of legal regulations aimed at combating this kind of procedure – these are the laws commonly referred to as AML (Anti-Money Laundering). The most important legal act in Poland imposing numerous obligations on the so-called obliged entities are the provisions of the Act on Combating Money Laundering and the Financing of Terrorism (the so-called AML Act). The central element of the Polish AML system is the General Inspector of Financial Information, supported by the Financial Information Department of the Ministry of Finance.

Anti-money landering. Our offer includes:

• analysis of client needs and development of relevant policies, internal AML („dirty money”) procedure and other necessary documentation (criminal compliance) for financial institutions;
• internal audits in the field of money laundering;
• representation of the client in administrative and court-administrative proceedings for the imposition of penalties for failure to fulfill obligations under the AML Act;
• legal assistance in the case of blocking of bank accounts under the provisions of the AML Act;
• conducting training for employees of obligated institutions on obligations under the AML Law;
• support in ongoing contacts with the General Inspector of Financial Information, supervisory authorities and law enforcement agencies;
• support in making and updating notifications of beneficial owners to the Central Register of Beneficial Owners;
• conducting legislative monitoring and reviewing procedures for the need for possible changes in light of amendments;
• conducting criminal and criminal-economic cases in case of irregularities;
• full support in protecting the company’s image in a crisis arising from money laundering (we cooperate with reputable PR agencies).

Our offer is addressed to:

• entrepreneurs, including commercial companies, struggling with AML obligations;
• persons suspected and accused of money laundering;
• inspectors and auditors seeking legal expertise;
• companies whose bank accounts have been blocked;
• entities undergoing inspection by state authorities and national crime agency.

Summary:

Money laundering and terrorism financing activity occurs when criminals disguise