Money Mules

SC&O7 FALCON (Fraud and Linked Crime Online) was formed in 2014 as part of the MPS response to the evolving threat and increase of Cyber related Crime Offences. FALCON allows the MPS the capacity and capability to investigate cyber dependant and cyber enabled fraud and adapt to the emerging challenges of Cyber Crime.

FALCON takes responsibility for investigating fraud and cyber crime for financial gain referred by the National Fraud Intelligence Bureau (NFIB); secondary investigation of Territorial Policing calls to service and proactively targets Organised Crime Networks engaged in fraud and cyber crime.

Currently, in the UK we are experiencing an increase in young people allowing their bank accounts to be used to receive and move money on behalf of third parties. This money often originates from crime and the account becomes a ‘Mule Account’ used in order to launder criminal funds, making the account holder a ‘Money Mule.’

The problem of money laundering and mule accounts is not a new concept. Organised Crime Groups (OCG’s) endeavour to set up accounts, or gain control of existing accounts, for the

express purpose of moving proceeds of crime through a network of accounts in order to obscure its final recipient.

What is a Mule Account and how does it work?

Mule accounts are accounts belonging to either an individual or business which are used to move the proceeds of crime, this process is known as money laundering.

Mule accounts can be ‘complicit’ i.e., used with the knowledge of the account holder, or ‘non-complicit’ i.e. used without the knowledge of the account holder. This is complicated further as the holder of a ‘complicit’ mule account may have known that the account would be used to launder proceeds of crime or tricked into allowing their account to be used, believing it was for a legitimate purpose. There are also a large number of mule accounts set up for the sole purpose of laundering criminal proceeds, these are often set up using false identities and fraudulent documents.

Young people are increasingly being recruited to provide access to their bank accounts. They can be approached in a number of ways, for example via the internet, social media, at school, university or sports clubs. In some cases they are approached by people they know and believe they trust. They are often lured into allowing their account to be used by the offer of money for doing so, or believing they are doing so as a favour.

Once a criminal network has control over a bank account, illegal transactions are received and transferred out of the account, likely onto further mule accounts.

What are the signs?

In order to protect young people from becoming involved in Money Laundering, these are examples of what we would ask parents and young people to consider;

First, ask yourself, what do you know about the history of the money? Where has it come from? Fraud, drugs importation, child exploitation, people trafficking, terrorism... and where is it being sent, what is it funding?

Secondly, why are they not paying the money into their own bank accounts?

You may see this as “only transferring money”, or “letting someone use your account”, but it’s not as innocent as that. You are helping criminals commit crime, often against vulnerable people.

Question your morals, would you help someone steal an 83 year old’s life savings? Would you help criminals smuggling children into the UK so they can be used in prostitution and slavery?

Think about the consequences, Bank Accounts are private, anyone allowing their bank account to be used by an unauthorised person would breach the terms and conditions of

their Bank account. If you allow your bank account to be misused in any way, the bank will close your account and report you to credit agencies.

Your credit rating will be affected. So you may find it difficult to open another bank account or get credit for a mobile phone, car loan or even a mortgage later on as your financial credit rating will be tarnished.

You are also committing a crime yourself. Anyone allowing criminal funds to go through their bank account is committing an offence of Money Laundering under the Proceeds of Crime Act. You could be subject to an arrest, have your Fingerprints, DNA and Photograph taken and depending on your age have your parents/guardians informed. You could face up to 14 years imprisonment and/or be given a fine/community service. Whatever the sentence, you have a Criminal Conviction.

Then consider the social effects, how would you be perceived by your family or friends? What message does this send to a future employer? Think about travel, want to see the world? Many countries will refuse entry based on a criminal conviction, particularly Canada and the US, where even a minor criminal conviction 50 years old could refuse you entry.

It is not ‘easy money’ it is criminal money

• Never give anyone your Bank card, PIN, passcode or password – Bank accounts are private
• Don’t be lured or persuaded to receive money into your account even as a one off
• If you have been approached, break off all contact and don’t receive or move any money and contact your Bank
• Report the matter to Action Fraud or the Police

“If the deal sounds too good to be true, it most probably is!”

If you have any further questions, feel free to get in contact with the Met Police on 020 7230 8179 or via email at cyberprotect@met.police.uk