At Chidiac & Associates, we provide experienced criminal defence representation to clients facing money laundering charges throughout Sydney and New South Wales. We carefully examine the alleged transactions, the source of the property, the Prosecution evidence and what the accused knew or suspected about the property.

What is Money Laundering?

The principal NSW money laundering offence is contained in section 193B of the Crimes Act 1900 (NSW).

Section 193B concerns dealing with proceeds of crime. There are three separate levels of offending depending upon what the accused knew or suspected and, for the most serious offence, whether there was an intention to conceal that the property was proceeds of crime.

The term “deals” is broad and can encompass a range of dealings with property, rather than simply physically transferring cash.

What Are Proceeds of Crime?

Proceeds of crime generally refers to property obtained through criminal activity.

An allegation may involve:

• cash or money held in bank accounts;
• vehicles;
• property;
• valuable goods;
• cryptocurrency or other digital assets;
• transfers between accounts;
• purchases made using alleged criminal proceeds; or
• other property alleged to have been derived from criminal activity.

The Prosecution must establish the relevant connection between the property and criminal activity.

Elements of Money Laundering

To establish an offence under s 193B, the Prosecution must prove the relevant elements beyond reasonable doubt.

1. The Accused Dealt With Property

The Prosecution must establish that the accused dealt with proceeds of crime.

The precise nature of the alleged dealing will depend upon the circumstances of the case.

2. The Property Was Proceeds of Crime

The Prosecution must establish that the relevant property was proceeds of crime.

This may require evidence concerning the source of the money or property and its connection with criminal offending.

3. Knowledge or Recklessness

The level of the offence depends upon the accused person's state of mind.

The Prosecution may allege that the accused:

• knew the property was proceeds of crime; or
• was reckless as to whether the property was proceeds of crime.

For the most serious offence, the Prosecution must additionally establish that the accused intended to conceal that the property was proceeds of crime.

What Are the Penalties for Money Laundering?

Section 193B provides three levels of offending.

Money Laundering With Intent to Conceal

Under s 193B(1), where a person deals with proceeds of crime:

• knowing that they are proceeds of crime; and
• intending to conceal that they are proceeds of crime,

the maximum penalty is:

20 years' imprisonment

Money Laundering - Knowledge

Under s 193B(2), where a person deals with proceeds of crime knowing that they are proceeds of crime:

Maximum penalty: 15 years' imprisonment

Money Laundering - Recklessness

Under s 193B(3), where a person deals with proceeds of crime while being reckless as to whether they are proceeds of crime:

Maximum penalty: 10 years' imprisonment

Penalties at a Glance

These are maximum penalties, not automatic sentences.

Can I Defend a Money Laundering Charge?

Being charged with Money Laundering does not mean that you are guilty. The Prosecution bears the burden of proving the relevant offence beyond reasonable doubt.

Depending upon the circumstances, potential issues may include:

• the accused did not deal with the property;
• the property was not proceeds of crime;
• the accused did not know that the property was proceeds of crime;
• the accused was not reckless as to whether the property was proceeds of crime;
• there was no intention to conceal the nature of the property;
• the Prosecution has incorrectly attributed transactions to the accused;
• another person controlled the relevant account or property; or
• the Prosecution evidence is unreliable or insufficient.

The appropriate defence will depend upon the particular allegations and evidence.

Evidence in Money Laundering Cases

The Prosecution may rely upon:

• bank records;
• financial transactions;
• property records;
• cryptocurrency transactions;
• electronic communications;
• telephone records;
• business records;
• CCTV;
• witness statements;
• surveillance;
• search and seizure evidence; and
• admissions allegedly made by the accused.

Financial evidence can be extensive, and careful analysis of the transactions and their surrounding circumstances can be critical.

Statutory Defence

Section 193B(4) provides a defence where the defendant satisfies the court that they dealt with the proceeds of crime to assist the enforcement of a law of the Commonwealth, a State or a Territory.

Whether this defence is available will depend upon the specific circumstances.

Related Proceeds of Crime Offences

Money laundering allegations can arise alongside other proceeds-of-crime offences.

For example, section 193BA deals with certain dealings with proceeds of general crime valued at $100,000 or more. The precise offence charged will depend upon the nature and value of the property and the circumstances alleged by the Prosecution.

It is therefore important to identify the precise statutory provision relied upon in the charge.

Sentencing for Money Laundering

Where a person is convicted, the court may consider:

• the value of the proceeds;
• the nature and source of the proceeds;
• the amount of money or property involved;
• the number and complexity of transactions;
• the offender's level of involvement;
• whether the offending was sophisticated or organised;
• the duration of the offending;
• the offender's criminal history;
• personal circumstances;
• remorse and prospects of rehabilitation; and
• whether an early guilty plea was entered.

The offender's knowledge and role in the offending can be particularly significant when determining the seriousness of the offence.

How We Can Help

At Chidiac & Associates, we provide:

• confidential advice about your Money Laundering charge;
• detailed analysis of financial and transaction records;
• examination of the Prosecution evidence;
• assessment of the alleged source of funds or property;
• advice concerning knowledge, recklessness and intention;
• advice concerning potential defences;
• representation at court;
• negotiations with prosecutors where appropriate;
• preparation for defended hearings and trials; and
• sentencing advice and representation.

Our approach is built on thorough preparation, careful analysis and strong courtroom advocacy.

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