NY Penal Law § 470.24: Money laundering in support of terrorism in the first degree

America's war on terrorism seeks to stop terroristic activity in a number of ways. One way is hold criminally liable those who provide funding to terrorists and those who help terrorists launder money. Money laundering is a way for those involved in criminal activity to make it appear as if the money obtained from illegal conduct was obtained through legal activities. When money laundering is accomplished with the intent to help terrorists it is referred to as money laundering in support of terrorism. There are 4 such offenses in the New York criminal code: money laundering in support of terrorism in the first, second, third and fourth degrees. First degree money laundering in the support of terrorism is the most serious of the 4 charges. Under New York Penal Law § 470.24 you could be prosecuted for money laundering in support of terrorism in the first degree if you:

1. Know that property involved one or more financial transactions represents the proceeds of an act of terrorism, or that a monetary instrument given, received or intended to be used in support of an act of terrorism and you

   1. Conduct at least one financial transaction with intent to carry on the criminal conduct or with intent to violate federal tax law,

   2. Conduct at least one financial transaction knowing that it was designed to hide the nature, location or control of the criminal conduct, or

   3. Conduct at least one financial transaction that is designed to avoid required transaction reporting and the amount of the transaction or transactions exceeds $75,000

2. Conduct at least one financial transaction that involves property that is the proceeds of an act of terrorism or a monetary instrument given, received or intended to be used in support of an act of terrorism:

   1. With the intent to promote or carry out that act of terrorism or hide the nature, location or source of ownership or control of property that is the proceeds of an act of terrorism or a monetary instrument given, received or intended to be used in support of an act of terrorism; or to avoid reporting of such a financial transaction or transactions as required by law; and

   2. The total value of the property involved exceeds $125,000.

Jerry is wealthy businessman. While he has always had strong political views in recent years he has become more radical in his views. In fact he joined the inner circle of an extremist political group that is known for its anti-American terrorist activities. Jerry decided that he wanted to give financial support to this political group. So far he has invested $150,000 in a company that many believe to be no more than a front to support the activities of the extremist group. Jerry could be prosecuted for money laundering in the first degree if the prosecutor can prove that the business that he has invested in is no more than a front for a terrorist group.

1. Money laundering in the first degree: New York Penal Code § 470.20

In order to convict you of money laundering in support of terrorism in the first degree, the prosecutor must prove that your intent was to support terrorism or that you knew that money involved was the proceeds of an act of terrorism. If the prosecutor is unable to do so then you cannot be convicted of money laundering in support of terrorism.

Money laundering in support of terrorism in the first degree is a class B felony. If you are convicted of this crime your sentence may include up to 25 years in prison and 5 years of probation. In addition, New York Penal Law § 470.25 states that you can also be required to pay a fine of up to two times the amount of money involved in the money laundering scheme.

A person is guilty of money laundering in support of terrorism in the first degree when:

1. Knowing that the property involved in one or more financial transactions represents either the proceeds of an act of terrorism as defined in subdivision one of § 490.05 of this part, or a monetary instrument given, received or intended to be used to support a violation of article four hundred ninety of this part: (a) he or she conducts one or more financial transactions which in fact involve either the proceeds of an act of terrorism as defined in subdivision one of § 490.05 of this part, or a monetary instrument given, received or intended to be used to support a violation of article four hundred ninety of this part: (i) With intent to: (A) promote the carrying on of specified criminal conduct; or (B) engage in conduct constituting a felony as set forth in section eighteen hundred three, eighteen hundred four, eighteen hundred five, or eighteen hundred six of the tax law; or (ii) Knowing that the transaction or transactions in whole or in part are designed to: (A) conceal or disguise the nature, the location, the source, the ownership or the control of the proceeds of either the proceeds of an act of terrorism as defined in subdivision one of § 490.05 of this part, or a monetary instrument given, received or intended to be used to support a violation of article four hundred ninety of this part; or (B) avoid any transaction reporting requirement imposed by law; and (iii) The total value of the property involved in such financial transaction or transactions exceeds seventy-five thousand dollars.

2. He or she conducts one or more financial transactions involving property represented to be either the proceeds of an act of terrorism as defined in subdivision one of § 490.05 of this part, or a monetary instrument given, received or intended to be used to support a violation of article four hundred ninety of this part: (a) With intent to: (i) promote the carrying on of specified criminal conduct; or (ii) conceal or disguise the nature, the location, the source, the ownership or the control of property believed to be either the proceeds of an act of terrorism as defined in subdivision one of § 490.05 of this part, or a monetary instrument given, received or intended to be used to support a violation of article four hundred ninety of this part; or (iii) avoid any transaction reporting requirement imposed by law; and (b) The total represented value of the property involved in such financial transaction or transactions exceeds one hundred twenty-five thousand dollars.

Money laundering in support of terrorism in the first degree is among the most serious crimes in New York. If you are convicted you could end up spending over 2 decades in prison away from your family and friends. In addition, you may be ordered to pay a significant fine. The staff at the Law Offices of Stephen Bilkis & Associates has years of experience successfully defending clients in New York criminal courts who have been charged with money laundering, conspiracy, criminal facilitation, enterprise corruption, and other serious crimes. Contact us at 800.696.9529 to schedule a free, no obligation consultation regarding your case. We serve those accused of larceny in the following locations: the Bronx, Brooklyn, Long Island, Manhattan, Nassau County, Queens, Staten Island, Suffolk County and Westchester County.