Money Laundering – 1990 Council of Europe Convention

Q: How is money laundering defined under the 1990 Council of Europe Convention?

A: Article 1 of the 1990 Council of Europe Convention defines money laundering as involving any of the following acts in relation to property derived from criminal activity:

• Converting or transferring property, knowing that it is derived from criminal activity, for the purpose of concealing or disguising its illicit origin or assisting an offender to evade legal consequences.
• Concealing or disguising the true nature, source, location, disposition, movement, ownership, or rights relating to such property.
• Acquiring, possessing, or using property, knowing at the time of receipt that it is derived from criminal activity.
• Participating in, attempting, aiding, abetting, facilitating, or counselling the commission of any of the above acts.

Q: How does the 1990 Council of Europe Convention differ from the 1988 Vienna Convention?

A: The definition in the 1990 Council of Europe Convention follows the same general framework as the 1988 Vienna Convention, but with a broader scope. While the Vienna Convention primarily criminalised the laundering of proceeds derived from drug trafficking offences, the 1990 Convention extends the offence to cover the proceeds of all criminal activity, particularly serious crimes.