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Why is laundering money illegal A.R.S. 13-2317?

Its a Federal crime and also a State crime as well!

What is considered money laundering in Arizona?

A.R.S. 13-2317 distinguishes whether someone is guilty of money laundering in the first degree, second degree, or third degree.

A: A person is guilty of money laundering in the first degree if the person does any of the following:

1. Knowingly initiates, organizes, plans, finances, directs, manages, supervises or is in the business of money laundering in violation of subsection B of this section.

2. Violates subsection B of this section in the course of or for the purpose of facilitating terrorism or murder.

B:

A person is guilty of money laundering in the second degree if the person does any of the following:

1. Acquires or maintains an interest in, transacts, transfers, transports, receives or conceals the existence or nature of racketeering proceeds knowing or having reason to know that they are the proceeds of an offense.

2. Makes property available to another by transaction, transportation or otherwise knowing that it is intended to be used to facilitate racketeering.

3. Conducts a transaction knowing or having reason to know that the property involved is the proceeds of an offense and with the intent to conceal or disguise the nature, location, source, ownership or control of the property or the intent to facilitate racketeering.

4. Intentionally or knowingly makes a false statement, misrepresentation or false certification or makes a false entry or omits a material entry in any application, financial statement, account record, customer receipt, report or other document that is filed or required to be maintained or filed under title 6, chapter 12.

5. Intentionally or knowingly evades or attempts to evade any reporting requirement under section 6-1241, whether by structuring transactions as described in 31 Code of Federal Regulations chapter X, by causing any financial institution, money transmitter, trade or business to fail to file the report, by failing to file a required report or record or by any other means.

6. Intentionally or knowingly provides any false information or fails to disclose information that causes any licensee, authorized delegate, money transmitter, trade or business to either:

(a) Fail to file any report or record that is required under section 6-1241.

(b) File such a report or record that contains a material omission or misstatement of fact.

7. Intentionally or knowingly falsifies, conceals, covers up or misrepresents or attempts to falsify, conceal, cover up or misrepresent the identity of any person in connection with any transaction with a financial institution or money transmitter.

8. In connection with a transaction with a financial institution or money transmitter, intentionally or knowingly makes, uses, offers or presents or attempts to make, use, offer or present, whether accepted or not, a forged instrument, a falsely altered or completed written instrument or a written instrument that contains any materially false personal identifying information.

9. If the person is a money transmitter, a person engaged in a trade or business or any employee of a money transmitter or a person engaged in a trade or business, intentionally or knowingly accepts false personal identifying information from any person or otherwise knowingly incorporates false personal identifying information into any report or record that is required by section 6-1241.

10. Intentionally conducts, controls, manages, supervises, directs or owns all or part of a money transmitting business for which a license is required by title 6, chapter 12 unless the business is licensed pursuant to section 6, chapter 12 and complies with the money transmitting business registration requirements under 31 United States Code section 5330.

C:

A person is guilty of money laundering in the third degree if the person intentionally or knowingly does any of the following:

1. In the course of any transaction transmitting money, confers or agrees to confer anything of value on a money transmitter or any employee of a money transmitter that is intended to influence or reward any person for failing to comply with any requirement under section 6, chapter 12.

2. Engages in the business of receiving money for transmission or transmitting money, as an employee or otherwise, and receives anything of value upon an agreement or understanding that it is intended to influence or benefit the person for failing to comply with any requirement under section 6, chapter 12.

What are Penalties for money Laundering in Arizona

A.R.S. 13-2317 distinguishes whether someone is guilty of money laundering in the first degree, second degree, or third degree.

  • If charged with money laundering in the first degree, an individual is accused of knowingly initiating, organizing, managing, and or directing the scheme. This is a class two felony that is punishable with 12.5 years in prison for first time offenders.
  • If charged in the second degree, an individual is accused of maintaining an interest in, making property available, providing false information to the government, or transmitting money.  This results in a class three felony with 8.75 years imprisonment for first time offenders.
  • If charged with money laundering in the third degree, a person is accused of helping transmit money for the scheme.  This is a class six felony that is punishable with up to six years in prison for first time offenders.

In addition to any other criminal or civil remedy, if a person violates A or B of the section above as part of a pattern of violations that involve a total of one hundred thousand dollars or more in any twelve month period, the person is subject to forfeiture of substitute assets in an amount that is three times the amount that was involved in the pattern, including conduct that occurred before and after the twelve month period.

What are Definitions that may be applicable to Money Laundering

For the purposes of this section:

1. The following terms have the same meaning prescribed in section 6-1201:

(a) "Authorized delegate".

(b) "Licensee".

(c) "Money accumulation business".

(d) "Money transmitter".

(e) "Trade or business".

(f) "Transmitting money".

2. The following terms have the same meaning prescribed in section 13-2001:

(a) "Falsely alters a written instrument".

(b) "Falsely completes a written instrument".

(c) "Falsely makes a written instrument".

(d) "Forged instrument".

(e) "Personal identifying information".

(f) "Written instrument".

3. The following terms have the same meaning prescribed in section 13-2301: 

(a) "Financial institution".

(b) "Financial instrument".

(c) "Racketeering", except that for the purposes of civil remedies sought by the attorney general, racketeering includes any act, regardless of whether the act would be chargeable or indictable under the laws of this state or whether the act is charged or indicted, that is committed for financial gain, punishable by imprisonment for more than one year under the laws of the United States and described in section 274(a)(1)(A)(i), (ii) or (iii) or (a)(2) of the immigration and nationality act (8 United States Code section 1324(a)(1)(A)(i), (ii) or (iii) or (a)(2)) if persons acting in concert in the conduct acquire a total of more than five thousand dollars through the conduct in a one month period. For the purpose of forfeiture of property other than real property, the conduct must involve more than three aliens in a one month period. For the purpose of forfeiture of real property, the conduct must involve more than fifteen aliens in a one month period.

4. The following terms have the same meaning prescribed in section 13-2314:

(a) "Acquire".

(b) "Proceeds".

5. For the purposes of this section:

1. "Offense" has the same meaning prescribed in section 13-105 and includes conduct for which a sentence to a term of incarceration is provided by any law of the United States.

2. "Superintendent" has the same meaning prescribed in section 6-101.

3. "Transaction" means a purchase, sale, trade, loan, pledge, investment, gift, transfer, transmission, delivery, deposit, withdrawal, payment, transfer between accounts, exchange of currency, extension of credit, purchase or sale of any financial instrument or any other acquisition or disposition of property by whatever means.

Defenses to Money Laundering charges is Arizona

Some potential defenses to a charge of money laundering may include:

  • Mistaken identity.
  • Insufficient state's evidence.
  • No criminal intent.
  • Mere presence
  • Miranda Rights Violation

Get Representation That Cares – Contact Brian Di Pietro Law, PLLC. Today!

At Brian Di Pietro Law, PLLC.,  understands you may be feeling scared or worried now that you're facing criminal charges. We know you likely have concerns about going to jail and whether a conviction will have a negative impact on your personal and professional life. Because of his more than 38 years of legal experience though, he knows how to handle tough cases and put your mind at ease.

Contact Brian Di Pietro Law PLLC today for a free case evaluation about your pending money laundering crime case in Arizona. Brian Di Pietro is an experienced, tough, aggressive Phoenix criminal defense attorney who will work hard to fight the charges against you to achieve the most favorable outcome for your particular money laundering charges. Contact now Brian Di Pietro Law, PLLC at 623-242-2655 for a free confidential case evaluation about your money laundering charge in Arizona.

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Brian DiPietro Law, PLLC
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