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Which method to launder money through deposit-taking institutions is closely associated with international trade?
A.
Forming a shell company
B.
Using Black Market Peso Exchange
C.
Structuring cash deposits withdrawals
D.
Investing in legitimate business with illicit funds
Correct Answer: B
Explanation:
The Black Market Peso Exchange (BMPE) is a trade-based money laundering technique commonly used by narcotics traffickers in Colombia and Mexico. The central feature uses a money trader to ensure that US drug sales revenue doesn’t cross any borders. Instead, those dollars are used to purchase any number of legitimate commodities from unsuspecting businesses on behalf of legitimate South American businesspersons, whose legitimate imports are used to obtain pesos for the drug cartels. This method is closely associated with international trade because it involves the exchange of goods and currencies across different countries, and it exploits the discrepancies between the official and unofficial exchange rates. CAMS Certification Package - 6th Edition | ACAMS, Chapter 2: Money Laundering Risks and Methods, page 35 Black Market Peso Exchange in Money Laundering - Financial Crime Academy What is BMPE ? - Sanction Scanner Overview - FinCEN.gov Reference:http://fraudaid.com/Dictionary-of-Financial-ScamTerms/black_market_peso_exchange.htm
