Money laundering : a case study about the HSBC Mexico scandal and its relevance to Malta

Abstract

Money laundering threatens the whole financial system and once ways are found on how to detect and combat money laundering the levels of crime and terrorist attacks which are boosted by these activities should decrease. Money laundering is a continuous cycle since launderers will always try to come up with newer technology to try to launder their funds through the financial system. Financial institutions and regulators have the ever important role to limit this as much as possible. This study evaluates money laundering and financing of terrorism threats through the real life example of the HSBC Mexico Scandal, whilst highlighting the areas which allowed for money laundering to occur. The HSBC Group now have to implement more stringent anti money laundering procedures across all of its affiliates.