Cleaning up the cash.

Drug dealing generates huge quantities of cash (drug profits in the U.S. alone are thought to total $100 billion a year.) Disposing of that kind of money is a major problem for organized crime. Anybody making regular bank deposits of millions of dollars in cash is bound to draw the attention of the authorities. In fact, large, unexplained cash deposits are reported. But, there are banks in other parts of the world that aren't so fussy. Suitcases stuffed with cash are taken to places such as the Cayman Islands in the Caribbean, Money is deposited and then transferred to other banks in others countries. Eventually, it's transferred back home where it looks like a legal draft from one account to anothers, The money has been laundered.

But, organized criminals make so much money they are branching out and buying up legal businesses. Cordell Hart, an investigator in the United States says: "Japanese organized crime is known to be investing heavily in United States real estate, perhaps even Canadian real estate as well." Mr. Hart expects these Japanese gangs to increase their activities in North American and expand on their ownership of golf courses and casinos. Other Asian gangs have branched out into legitimate business also - comic books, kung-fu movies, building maintenance, and even interior decorating.

The privatization of state-owned businesses in the former Soviet Union is providing a golden opportunity for cleaning up dirty money. The profits from crime are being used to buy up assets in Russia and elsewhere. Because of the chaos that exists in Russia it's easy to slip dirty money past inefficient regulators. The crooks use their acquisitions as machines for laundering more of their illegally earned cash. The object is to give money generated by crime a seemingly innocent source.