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Old Mar 13, 2006 | 5:06 pm
  #43  
SPN Lifer
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Originally Posted by lewinr
as far as I understand, money laundering (as an offence) is the act of taking illegal proceeds and making it appear as legitimate income. You can move money back and forth all day, but it is not money laundering unless the source of the funds was illegal. It may be a violation the T&Cs of the agreement with the credit card company (and other financial institions involved) but it is not money laundering.
As a former federal prosecutor for 6½ years, I can confirm that this is correct.

See 18 U.S.C. § 1956 (money laundering) (requiring transaction to represent the proceeds of a specified unlawful activity).
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