AML CFT Risks for Other DNFBPs

Three other large groups of DNFBPs are Real Estate Agents, Precious Stone Dealers and Casinos. Listed below are common fraud risk factors that should be considered. Real Estate Agents may be involved in the following activities: (1) engaging in a series of transactions designed to conceal the illicit source of funds; these transactions may be classified as of the layering phase; (2) investing in tourist complexes in order to acquire a legitimate appearance (integration phase); (3) buying and selling of real estate properties in fictitious names. Dealers in Precious Stones may may be involved with the risks of misusing the dealers in precious stones and metals are due to the fact that precious metals, particularly gold, attracts money launderers, as it has a high actual value and can be found in relatively small sizes, thus facilitating its transport, purchase and sale in several regions around the world. Gold also preserves its value regardless of its form whether it comes in the form of bullions or golden articles. Dealers are often interested in gold more than gems as it may be melted to change its form while preserving its value. Casino operators may be a party to ML/TF activities. Usually, gambling in Casino takes place in cash, which encompasses high risks that gamblers may use them in ML since they give money launderers a ready justification for obtaining a fortune with no legitimate source. Casinos are misused in ML operations in the first phase of ML (placement) where the funds intended to be laundered are transformed from cash money into cheques by the money launderer purchasing chips with the proceeds of a crime. The money launderer will later request repayment through a cheque drawn on the account of the casino. Again research to explore the awareness of these DNFBPs is greatly needed...