Tuesday, September 6, 2011

Money Laundering - So What? VII

MOLDOVA/ROMANIA

     Well, let's get back to a country, or in this case countries, with a weak central government, high crime rate and effusive corruption.  Moldova and Romania (two countries, but both hangovers from Communism, both share the same language and religion and both are, for all intents and purposes, the same country but history has divided into two separate nations with no basis other than an accident of politics) have extremely high corruption rates and, not surprisingly, money laundering problems.

    The high corruption rates of these countries mean that most monetary transactions are suspect.  Both countries have issues with money laundering from both organized criminal organizations and, it is suspected, international terrorist groups.

     Of the two, Romania is making some attempt to come into compliance with international standards because of its membership in the EU.  Moldova is embroiled in a intra-state issue with the country's large Russian population having an autonomous territory which is, in many ways, independent from the capital.  However, the proximity of the two nations, as well as the shared history, means that Moldova's problems will continue to be Romanian problems.

As always, have a great and fraud-free day.

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