A Malaysian national living in New Zealand will have to forfeit more than $2 million after a High Court ruled it had been sent to New Zealand for laundering purposes.
The police successfully petitioned to the High Court under the Criminal Proceeds (Recovery) Act, following an investigation into the person.
The investigation found the money was related to a fraudulent scheme run in Malaysia – the VenusFX scheme.
About $2.2 million had been held in two New Zealand bank accounts until it was restrained by police in April 2020.
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The money was sent to New Zealand from Malaysia.
Police said the High Court determined there were reasonable grounds to believe the money was the proceeds of crime and had been sent to New Zealand for laundering purposes.
Detective Inspector Craig Hamilton, Manager Asset Recovery/Money Laundering, said this judgment sent a strong message to overseas criminals considering New Zealand an option for money laundering.
“The New Zealand anti-money-laundering system is designed to identify proceeds of crime, and when we do identify suspicious funds we act.
“In this case, New Zealand asset recovery investigators worked with counterparts in Malaysia, and we acknowledge their partnership in bringing this matter to a conclusion.”
Hamilton said criminals around the world needed to learn that New Zealand was not a safe place to send proceeds of illegal activity.
“If you send illicit funds here we will find them and confiscate them.”
In September, Government confirmed the new tools police will be given to help seize illicit assets of organised crime, which are expected to rake in $25 million each year.
The Government plans to amend the Criminal Proceeds (Recovery) Act to force associates of known criminals to prove that they were able to afford their assets by legal means.
