Concept of Money Laundering

“The clampdown on money laundering and corruption is the common responsibility of all the countries in the world.”  - Wang Zhaowen, spokesman for the Bank of China

There are different understandings about the emergence of money laundering in the world. One of the theories, brought by Mandinger and Zalopany,is that the history of money laundering began in England in the seventeenth century through piracy on the vessels.

Due to the high cost of maintaining a ship, such as crew, arms, ammunition and other expenses, the pirates ended up looting and robbing other ships.

Thus, the authors mentioned believed that the pirates deposited the stolen goods with respected American merchants, who traded these goods for currencies. It was believed that the integration of these values or goods would occur at the time the pirate decided to retire. With this, the pirates contributed with a true fortune that appeared to be coming from carrying out legitimate business.

The use of the expression - money laundering - seems to have been adopted in the 1920s, in the United States of America. In Lilley 's view (2001), at that time, gangs bought laundries and companies from the laundering sector, with the purpose of circulating resources, whose inflow and outflow was given at a speed adequate for the purposes of exchanging said " dirty money "for" honest money ".