Money Laundering

Legal Defense of Money Laundering Charges Attorney

Representing clients in Nashville, Tennessee, and nationwide

Money laundering in its most basic form is taking the profits of illegal activity and engaging in financial transactions with those funds.  There are two distinct federal statutes that criminalize money laundering.

Under 18 U.S.C. §1956, one engages in money laundering if they take the proceeds of a specified unlawful activity (meaning an identifiable crime) and engage or attempt to engage in a transaction using those funds knowing that the transaction is designed to conceal or disguise the nature, location, source, ownership or control of the proceeds of the specified unlawful activity.  In laymen’s terms, it is a §1956 money laundering violation to participate in any way in a transaction if you know that the money is from an illegal source and the purpose of the transaction was to “clean” (or make usable) the money.  For example, feeding illegal drug proceeds into the cash register at a car wash you own and then reporting that as income from the car wash (i.e., the act of cleaning the “dirty” money) is a classic §1956 violation.

Under 18 U.S.C. §1957, one engages in money laundering if they knowingly engage or attempt to engage in a monetary transaction of a value greater than $10,000 using the proceeds of a specified unlawful activity (meaning – a crime).  In simplest terms, any expenditure of more than $10,000 in criminal profits is money laundering.  All of the following examples would constitute money laundering in violation of §1957 if the source of the funds was illegal activity and the amount spent was over $10,000:

• Investing in a brokerage account;
• Purchasing a vehicle;
• Investing in a business;
• Making a down-payment on a home;
• Making over $10,000 in mortgage payments on a home originally purchased legally;
• Gifting cash to a loved one or child;
• Making tuition payments;
• Buying furniture, appliances, etc.;
• Depositing cash in a bank account;
• Paying contractors or laborers in cash;

Money laundering charges are often leveled in conjunction with other charges, such as charges involving drugs, racketeering, gambling and white collar cases, including wire or mail fraud, healthcare and tax fraud. Once charged with money laundering, bank accounts, cars and other assets can be frozen and/or seized, even if the alleged illegal income source was an accidental business error that is declared fraudulent. If tainted funds are “co-mingled” with other assets, like bank accounts, the entire bank account can be frozen even if the majority of the funds in the account have no connection to the money laundering charge.

If you face money laundering charges, including 18 U.S.C. §§ 1956 or 1957 charges, contact Kimberly Hodde for experienced legal defense.

Contact Us

If you have questions regarding federal money laundering charges, contact Hodde & Associates.  Kimberly S. Hodde can be available for evening and weekend appointments. Ms. Hodde is mindful that you may not have budgeted for funding your defense; so, under some circumstances, she will work with defendants and/or their families on a reasonable payment plan. The firm is conveniently located in a free-standing building on Music Row, just one mile from the federal courthouse with abundant free parking. Contact us at 615-242-4200.

Money Laundering

Legal Defense of Money Laundering Charges Attorney

Representing clients in Nashville, Tennessee, and nationwide

Money laundering in its most basic form is taking the profits of illegal activity and engaging in financial transactions with those funds.  There are two distinct federal statutes that criminalize money laundering.

Under 18 U.S.C. §1956, one engages in money laundering if they take the proceeds of a specified unlawful activity (meaning an identifiable crime) and engage or attempt to engage in a transaction using those funds knowing that the transaction is designed to conceal or disguise the nature, location, source, ownership or control of the proceeds of the specified unlawful activity.  In laymen’s terms, it is a §1956 money laundering violation to participate in any way in a transaction if you know that the money is from an illegal source and the purpose of the transaction was to “clean” (or make usable) the money.  For example, feeding illegal drug proceeds into the cash register at a car wash you own and then reporting that as income from the car wash (i.e., the act of cleaning the “dirty” money) is a classic §1956 violation.

Under 18 U.S.C. §1957, one engages in money laundering if they knowingly engage or attempt to engage in a monetary transaction of a value greater than $10,000 using the proceeds of a specified unlawful activity (meaning – a crime).  In simplest terms, any expenditure of more than $10,000 in criminal profits is money laundering.  All of the following examples would constitute money laundering in violation of §1957 if the source of the funds was illegal activity and the amount spent was over $10,000:

• Investing in a brokerage account;
• Purchasing a vehicle;
• Investing in a business;
• Making a down-payment on a home;
• Making over $10,000 in mortgage payments on a home originally purchased legally;
• Gifting cash to a loved one or child;
• Making tuition payments;
• Buying furniture, appliances, etc.;
• Depositing cash in a bank account;
• Paying contractors or laborers in cash;

Money laundering charges are often leveled in conjunction with other charges, such as charges involving drugs, racketeering, gambling and white collar cases, including wire or mail fraud, healthcare and tax fraud. Once charged with money laundering, bank accounts, cars and other assets can be frozen and/or seized, even if the alleged illegal income source was an accidental business error that is declared fraudulent. If tainted funds are “co-mingled” with other assets, like bank accounts, the entire bank account can be frozen even if the majority of the funds in the account have no connection to the money laundering charge.

If you face money laundering charges, including 18 U.S.C. §§ 1956 or 1957 charges, contact Kimberly Hodde for experienced legal defense.

Contact Us

If you have questions regarding federal money laundering charges, contact Hodde & Associates.  Kimberly S. Hodde can be available for evening and weekend appointments. Ms. Hodde is mindful that you may not have budgeted for funding your defense; so, under some circumstances, she will work with defendants and/or their families on a reasonable payment plan. The firm is conveniently located in a free-standing building on Music Row, just one mile from the federal courthouse with abundant free parking. Contact us at 615-242-4200.