Money laundering counter-measures in the European Union : a new paradigm of security governance versus fundamental legal principles

• Main Author: Mitsilegas, Valsamis
• Published: University of Edinburgh 2000
• Subjects: 340
• Online Access: http://ethos.bl.uk/OrderDetails.do?uin=uk.bl.ethos.657879

The past decade witnessed the emergence in the European Union of a comprehensive legal framework aimed at countering money laundering. The aim of the thesis is to place these measures in context, by examining their evolution in the light of parallel developments in the fields of international relations and crime prevention and control. Through the employment of an interdisciplinary approach, it is demonstrated that the development of money laundering counter-measures in the European Union is inextricably linked with the reconceptualisation of security in the international arena, now extending beyond the narrow state/military realm and including threats such as organised crime and, related to that, money laundering. Money laundering counter-measures are thus legitimised as emergency measures deemed as necessary to address these newly perceived threats. In this context, and following international political pressure for the adoption of a global anti-money laundering framework, the European Union counter-measures constitute <i>a new paradigm of security governance, </i>achieved through three principal methods: <i>criminalisation,</i> consisting in the emergence of a new criminal offence of money laundering; <i>responsibilisation, </i>consisting in the mobilisation of the private sector to co-operate with the authorities in the fight against money laundering; and the emphasis on the <i>administration of knowledge,</i> through the establishment of new institutions, the financial intelligence units, with extensive powers to administer a wide range of information provided by the private sector. All three methods pose significant challenges to fundamental legal principles and ultimately, to well-established social transactions and bonds. The analysis will focus on these challenges, which become more acute in the light of the constant evolution of these measures. An attempt will thus be made to demonstrate that a 'securitised' ant-money laundering paradigm, which may serve as a mould for subsequent initiatives in the field or organised crime, has the potential to undermine the very essence of fundamental legal principles and rights.