InvestorQ : is it example of money laundering that someone received money from illegal wildlife trade . he deposited all money into a bank later he used this money to buy property
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is it example of money laundering that someone received money from illegal wildlife trade . he deposited all money into a bank later he used this money to buy property

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Anjali Desai answered.
9 months ago
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Strictly in the sense of the term, this is money laundering. Money laundering is undertaken in order to convert illegal income to legal income, by pushing the income through banks and other businesses, while concealing the original income source. However, in the case of the Indian banking system, for an individual, the cash deposit limit in a savings account is Rs1 lakh. If a savings account holder deposits more than Rs1 lakh in one's savings account, then the income tax department may send an income tax notice. Thus, it's not very easy to move illicit money through banking channels.

Thus, depositing the ill-gotten gains in a bank will definitely trigger a red flag, which will alert the Income Tax department and invite scrutiny in the dealings. Thus, even though the example can be defined as money laundering, the process to launder money is not as simple as it seems.
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