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Liberty Reserve indicted for $6 billion in money laundering

Mike Edge

Well-known member
#1
I guess good thing xF didn't take Adam's advice of Liberty Reserve becoming a payment option :D

The U.S. Department of Justice has indicted online payment processor Liberty Reserve for laundering $6 billion in a series of global transactions, which the agency charges may be the largest international money-laundering prosecution in history.

http://www.pcworld.com/article/2040...dicted-for-6-billion-in-money-laundering.html

Going to libertyreserve.com now you get greeted with..

 

BlackJacket

Well-known member
#7
What happens to all that money now? Will they try to return it to those who were wronged? (Which could be in the millions) or will they say f#ck it and keep it?

I have a sinking feeling that the latter option will be taken.
 

Shelley

Well-known member
#8
What happens to all that money now? Will they try to return it to those who were wronged? (Which could be in the millions) or will they say f#ck it and keep it?

I have a sinking feeling that the latter option will be taken.
Is that even legal for them to keep the money?
 

Tracy Perry

Well-known member
#10
Is that even legal for them to keep the money?
Probably not legal... but they need all the help they can get funding the new healthcare system. :p

As an aside - if you get a chance can you start a convo with me about some graphics... I've kept playing with PhotoShop but for what I wanted to do the trail expired before I could figure out how to do it.(n)
 

Shelley

Well-known member
#11
It's not but they will figure out a way to keep it. They always do......they may never spend it atleast not for a long time but they will try to keep it.
Probably not legal... but they need all the help they can get funding the new healthcare system. :p

As an aside - if you get a chance can you start a convo with me about some graphics... I've kept playing with PhotoShop but for what I wanted to do the trail expired before I could figure out how to do it.(n)
Ah so basically they are fighting crime to gain a financial incentive to fund bad decisions in years long past.

Your probably best posting in resource discussions as I'm sure myself/ other people will jump in and guide you.
 

Biker

Well-known member
#13
IF you can prove that the money is legit, you can petition the government to get it back. Any proceeds that are illegally obtained are forfeited.
 

Tracy Perry

Well-known member
#14
IF you can prove that the money is legit, you can petition the government to get it back. Any proceeds that are illegally obtained are forfeited.
Good luck with that... unless it's a large sum of money it usually ends up costing more than it's worth to get back. I've seen it happen when money was seized as "drug money" and there were no arrests, etc. - seized just because of the amount and it being in cash. It was cost prohibitive to pursue it for those individuals to get the return of the money. The city and state got some free money.
 

Lucas

Well-known member
#15
Just what we needed. More stupid ass crap in Costa Rica. Not enough with the mentally challenged Laura Chinchilla we have as president. Now we get the biggest money laundering in history, couple of Mexican cartels center of operation, support from the US with ships on our seas supposedly helping us against drug trafficking, please.

These people need to find somewhere else to go and ruin it.
 

RickM

Well-known member
#16
Cant say I'm surprised. Liberty Reserve is well known to be...'dodgy' to say the least. I have no sympathy for people who lost out using it I'm afraid.
 

Mike Edge

Well-known member
#17
What happens to all that money now? Will they try to return it to those who were wronged? (Which could be in the millions) or will they say f#ck it and keep it?

I have a sinking feeling that the latter option will be taken.

From the article it says..

Code:
Those who were using the service for legitimate, non-illegal activities can call the DOJ in order to see if they can have any money held by the company returned. "We'll do the best we can to get their money back," Bharara said.
ofc we know how "We'll do the best we can for you" from government agencies turns out.
 

BlackJacket

Well-known member
#18
From the article it says..

Code:
Those who were using the service for legitimate, non-illegal activities can call the DOJ in order to see if they can have any money held by the company returned. "We'll do the best we can to get their money back," Bharara said.
ofc we know how "We'll do the best we can for you" from government agencies turns out.
Not those who were using the service legitly. I'm talking about those who used the service to scam others or to steal from someone else. I bet the majority of people do not know their money could be locked down in this situation.

I am also raising doubt that the Government will/would actively search for those who were wronged.
 

Alfa1

Well-known member
#19
The E-Gold debacle all over again. I wonder if this is a matter of having an e-currency that the US gov has no control over. So bitcoin is likely next on their list. I wonder how they would try to crack that.
 

Jason

Well-known member
#20
They were operating an unlicensed money transmitter. Let's be honest, if you're transmitting money without a license, you're likely going to end up in jail once you reach scale. It's pretty much inevitable. I can empathize with these guys, as I don't think the government necessarily needs its hands in every monetary transfer, but if this is your business then regulatory concerns should be a part of your business plan -- ignoring them won't work.