Bipartisan group of senators calls on Biden administration to combat illicit trade and TBML

A bipartisan group of US Senators has introduced Senate Resolution 610 urging the Biden administration to combat illicit trade and the use of trade-based money laundering (TBML).

The resolution sponsored by five republican and four democratic senators includes steps the president can take to address TBML, which they say poses not only a threat to national security, it also threatens US allies and partners around the world.

TBML not understood

The resolution says TBML is among the most widely used and least understood forms of money laundering, disguising proceeds of crime by moving value through international trade transactions in an attempt to legitimise illicit origins of money or products.

The transnational nature and complexity of TBML meanwhile makes detection and investigation exceedingly difficult.

Presidential priorities

As well as contemplating several ways to combat illicit economies, illicit trade and TBML as a national priority and committing to detect, address and prevent such activities, the resolution urges the president should continue to assess ongoing TBML risks.

The resolution also urges that strategies to curtail the activities of transnational criminal organisations and their widespread use of TBML are developed. Specifically, the senators are concerned about China-based transnational criminal organisations, and the Black Market Peso Exchange used by drug cartels to move their ill-gotten gains out of the US and into central and south America.

Next steps

The senators urge the Biden administration to “work expeditiously to develop, finalise and execute a strategy… to counter the activities of transnational criminal organisations.”

The resolution has now been referred to the US senate banking, housing, and urban affairs committee for consideration.

Senate Resolution 610 can be found here.


Categories: Trade Based Financial crimes News

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