Money Laundering Lawyer Daytona

Defending Against Money Laundering Allegations

Money laundering is a serious financial crime that involves disguising illegally obtained funds as legitimate income. This process typically involves moving money through complex transactions, such as layering deposits, creating shell companies, or using offshore banking, to obscure its origin. 

Federal laws impose severe penalties for money laundering, including lengthy prison sentences, substantial fines, and asset seizure. Beyond the immediate legal consequences, a conviction can affect your career, financial stability, and professional reputation.

Given the complexities of financial crime investigations, obtaining strong legal representation is essential. Money laundering cases frequently involve thousands of pages of financial records, banking transactions, and wire transfers. To effectively contest allegations, a white-collar crime attorney must carefully analyze these documents, consult forensic accounting experts, and identify inconsistencies that may undermine the prosecution’s assertions. 

At Hager & Schwartz, P.A., our Federal defense attorneys bring over 50 years of combined legal experience to your defense. As former state prosecutors, we understand how financial crime cases are constructed—and, more importantly, how they can be dismantled.

If you or a loved one has been accused of money laundering in Daytona Beach, seek legal counsel immediately. The sooner you engage an experienced money laundering defense lawyer, the stronger your position will be in fighting the charges. 

Contact us to schedule a confidential consultation and begin building your defense strategy.

What Is Money Laundering?

Money laundering is concealing illegally obtained funds to make them appear legitimate. Under federal law (18 U.S.C. § 1956), an individual commits money laundering when they knowingly engage in financial transactions involving proceeds from criminal activities, intending to hide the source of those funds, evade taxes, or facilitate ongoing illegal operations. 

These transactions can take various forms, including purchases, sales, loans, gifts, transfers, and activities involving financial institutions, such as deposits, withdrawals, and account transfers. The objective is to obscure the illegal origins of the money, allowing individuals or organizations to reintegrate illicit funds into the legitimate economy without attracting suspicion.

How Money Laundering Works

Money laundering typically occurs in three distinct stages, each designed to obscure the illegal origins of funds and make them appear legitimate. These stages—placement, layering, and integration—are carefully executed to evade detection by financial institutions and law enforcement agencies.

Placement

The first stage involves introducing illicit funds into the financial system. This step is often the riskiest, as large cash transactions can raise red flags and trigger regulatory scrutiny. 

Common placement methods include:

• Depositing cash into bank accounts in small amounts (known as "structuring" or "smurfing") to avoid transaction reporting requirements.
• Purchasing financial instruments such as money orders or cashier’s checks.
• Buying high-value assets like luxury cars, jewelry, or artwork that can later be sold to generate seemingly legitimate income.

Layering

In this stage, the launderer moves money through complex transactions to make tracing its origins more difficult. Layering often involves multiple banks, financial institutions, or countries, making it challenging for authorities to track the source of the funds. 

Common techniques include:

• Wire transfers between multiple accounts in different names and jurisdictions.
• Foreign currency exchanges to obscure the money’s trail.
• Shell companies or fake business transactions that create a legitimate-looking financial record.

Integration

Once the money has been sufficiently disguised, it is reintroduced into the economy as legitimate income. This stage allows the launderer to use the funds without raising suspicion. 

Integration methods include:

• Investing in real estate, businesses, or stock markets to create the appearance of lawful earnings.
• Creating fraudulent loans or contracts to justify the movement of funds.
• Using front companies to mix illicit funds with legally obtained revenue, making detection nearly impossible.

Money laundering is aggressively prosecuted at the federal level, with investigations led by law enforcement agencies such as the FBI, IRS Criminal Investigation Division, and the Financial Crimes Enforcement Network (FinCEN). If you are suspected of or facing charges related to a financial crime, seeking legal counsel immediately is critical to protecting your rights and building a strong defense.

Penalties for Money Laundering

Money laundering is a serious federal offense with severe legal and financial consequences. Prosecutors aggressively pursue these cases, often seeking maximum penalties due to the perceived connection between money laundering and other criminal activities. A conviction can result in significant prison time, steep fines, and long-term financial repercussions, making it critical to understand the potential consequences and seek skilled legal representation.

Under 18 U.S.C. § 1956, individuals convicted of money laundering face:

• Up to 20 years in federal prison per offense.
• Fines up to $500,000 or twice the value of the laundered funds, whichever is greater.

Additional Consequences of a Money Laundering Conviction

Beyond imprisonment and fines, a conviction can have life-altering consequences that extend well beyond the courtroom.

These consequences can include:

• Asset forfeiture: The government can seize property, bank accounts, vehicles, and other assets believed to be connected to money laundering, often leaving individuals financially devastated.
• Business restrictions: Those convicted may be barred from holding corporate leadership roles, obtaining business licenses, or engaging in financial transactions over a certain threshold.
• Professional license suspension or revocation: Accountants, real estate professionals, financial advisors, and other licensed professionals risk losing their credentials and ability to practice in their field.
• Reputational damage: A conviction for money laundering can permanently harm personal and professional relationships, making it difficult to find employment, secure loans, or conduct business.

Because the stakes are so high, fighting money laundering charges requires an aggressive, well-prepared defense strategy. If you face allegations, securing experienced legal representation as early as possible can make a difference in your case.

Related Financial Crimes and Charges

Money laundering rarely occurs in isolation—it is often linked to a network of financial crimes that involve the movement of illicit funds. Prosecutors frequently pursue additional charges alongside money laundering, increasing the potential penalties and complexity of the case.

Money laundering often serves as a tool to conceal the proceeds of other crimes, including:

• Embezzlement: The unauthorized use or misappropriation of funds by an individual entrusted with financial management.
• Drug trafficking: Money laundering is frequently tied to narcotics operations, as traffickers must disguise illegal proceeds.
• Bribery: Concealing funds used to influence public officials or business decisions through illegal payments.
• Tax evasion: Using complex financial transactions to hide taxable income from the IRS.
• Cybercrime: Online fraud schemes, identity theft, and ransomware attacks often involve laundering digital currencies.
• Securities fraud: Manipulating stock markets, insider trading, and Ponzi schemes generate illegal profits that require laundering to appear lawful.

These offenses can lead to additional criminal charges, which can increase potential penalties, including extended prison sentences and heavier fines.

The Role of RICO in Money Laundering Cases

The Racketeer Influenced and Corrupt Organizations (RICO) Act (18 U.S.C. § 1961) is a powerful federal law designed to combat organized crime. It allows prosecutors to target individuals and organizations engaged in ongoing criminal activity, including money laundering.

Because money laundering is a predicate offense under RICO, federal authorities may use the law to link financial transactions to broader criminal enterprises, such as fraud rings, drug cartels, and illegal gambling operations. If convicted under RICO, defendants face enhanced penalties, including extended prison sentences and mandatory asset forfeiture.

How the Bank Secrecy Act Impacts Money Laundering Investigations

The Bank Secrecy Act (BSA) is critical in detecting and prosecuting money laundering. 

Enacted to prevent financial institutions from being used to conceal illicit funds, the BSA requires banks and businesses to:

• Report transactions exceeding $10,000 to federal agencies.
• File Suspicious Activity Reports (SARs) when financial behavior appears fraudulent or designed to evade regulations.
• Maintain detailed financial records to help law enforcement track potential laundering schemes.

Federal agencies, including the Financial Crimes Enforcement Network (FinCEN), the IRS, and the FBI, use BSA data to investigate complex money laundering operations. Authorities closely monitor red flags such as layered transactions, offshore accounts, and rapid fund transfers between multiple institutions.

What to Do If You’re Investigated for Money Laundering

Discovering that you are under investigation for money laundering can be overwhelming and stressful. Federal authorities take financial crimes seriously, and their investigations often involve extensive surveillance, subpoenas for banking records, and even asset seizures. If you suspect that you are being investigated—or have already been contacted by law enforcement—it is critical to take immediate action to protect your rights and avoid making mistakes that could harm your defense.

Steps to protect yourself during a money laundering investigation:

• Remain calm and do not panic: A money laundering investigation does not automatically mean you will be charged. However, your response during this stage can impact your case.
• Do not communicate with investigators without legal representation: Anything you say can be used against you. Even casual conversations with federal agents or financial regulators can provide prosecutors with information that may strengthen their case.
• Avoid making large or suspicious transactions: Any unusual financial activity, such as withdrawing large sums of money or moving funds between accounts, could raise further red flags and be interpreted as an attempt to obstruct the investigation.
• Preserve all financial records: Keep copies of bank statements, tax returns, business transactions, and other financial documents. A well-documented paper trail may help prove your innocence or establish alternative explanations for your transactions.
• Refrain from discussing the investigation: Speaking about the case with colleagues, business partners, or friends—especially over phone calls, emails, or text messages—can be risky. Law enforcement may monitor your communications, and even innocent remarks can be misinterpreted.

How to Respond to Law Enforcement or Regulatory Agencies

If you are approached by federal agents, financial regulators, or other law enforcement officials:

• Do not answer any questions without an attorney present. Politely state, “I wish to remain silent and speak with my attorney.”
• Do not agree to a voluntary interview—even if you believe you have nothing to hide. Law enforcement may attempt to gather information that can be used against you later.
• Do not consent to searches without a warrant. If investigators request access to your records, home, or office, ask for a warrant and consult your attorney immediately.

A proactive legal strategy can mean the difference between avoiding charges and facing prosecution. Contact one of our white collar criminal defense attorneys immediately if you believe you are being investigated for money laundering in Daytona Beach.

How Our Team Can Help with Your Defense

At Hager & Schwartz, P.A., we recognize that facing money laundering charges can be an overwhelming and life-altering experience. As former state prosecutors, we have firsthand knowledge of how the government builds financial crime cases—giving us a strategic advantage in identifying weaknesses in the prosecution’s arguments. Money laundering investigations often involve extensive financial records, forensic accounting, and aggressive prosecutorial tactics. Our approach is meticulous: we analyze banking transactions, scrutinize evidence for inconsistencies, and consult with financial experts to challenge allegations and expose flaws in the government’s case. Whether you are under investigation or already facing charges, we work aggressively to protect your rights, your assets, and your future.

Our firm has a proven track record of handling complex financial crime cases, defending clients against allegations involving white collar offenses, RICO violations, and asset forfeiture. Every case is unique, which is why we develop customized defense strategies tailored to your situation. We aim to pursue a favorable outcome, whether getting charges reduced or dismissed or fighting for an acquittal at trial. 

If you or a loved one is facing money laundering allegations in Daytona Beach, contact us for a confidential consultation. We can help you take the first steps toward building a powerful defense strategy.