Money laundering is of great concern to law enforcement agencies, and for very good reason.
Success in money laundering means that detection of the predicate offence, and the identification of the offender, become that much more difficult. A common strategy for concealing the proceeds of crime entails their investment in and commingling with the assets of legitimate business. Not only can legitimate business provide a convenient cloak or cover for further criminal activity, but the enterprise itself can be exploited and its assets stripped for personal gain, at the expense of investors and creditors. Australia's reputation for commercial honesty could be tarnished by criminal infiltration of legitimate business, with attending consequence for our overall economic well-being. At the extreme, smaller economies can be seriously distorted by the infiltration of criminal assets, to the extent that the political stability of a smaller state may be threatened.