Long Island Man Charged with Money Laundering

A Long Island man was arrested Thursday on charges that he illegally exported weapons to a company in Malaysia weapons which allegedly included fighter jet parts that were likely to end up in the hands of Iran.^[1]

Jilani Humayun, was arrested at his home and charged with 11 counts of violating the Arms Export Control Act, one count of conspiracy to commit mail fraud and one count of conspiracy to commit money laundering; the charges carry a potential jail term upon conviction of 150 years in prison.^[2]

In papers filed in U.S. District Court in Manhattan, federal authorities said Humayun formed a company, Vash International Inc., in January 2004 to export defense equipment including tanks, guided missiles and rocket launchers; it is alleged that on 11 separate occasions between January 2004 and May 2006, Humayun used Vash to export to an unidentified company in Malaysia F-5 and F-14 fighter jet parts and Chinook Helicopter parts.^[3]

Money Landering
Money laundering is crime that can be accomplished in three different ways.^[4]

The first is for a person “knowing that the property involved in a financial transaction represents the proceeds of some form of unlawful activity” to conduct or attempt to conduct such a financial transaction which in fact involves the proceeds of an unlawful activity, with the intent; to promote the carrying on of specified unlawful activity;^[5] or to engage in conduct constituting a violation 26 U.S.C. §§ 7201 or 7206 (relating to the Internal Revenue Code);^[6] or knowing that the transaction is designed in whole or in part to; conceal or disguise the nature, the location, the source, the ownership, or the control of the proceeds of specified unlawful activity;^[7] or to avoid a transaction reporting requirement under State or Federal law.^[8]

The second way a person can violate section 1956, is for a person to transport, transmit, or transfer, (or attempt to transport, transmit, or transfer) a monetary instrument or funds from a place in the United States to or through a place outside the United States or to a place in the United States from or through a place outside the United States, with the intent to promote the carrying on of specified unlawful activity;^[9] or knowing that the monetary instrument or funds involved in the transportation represent the proceeds of some form of unlawful activity and knowing that such transportation, transmission, or transfer is designed in whole or in part, to conceal or disguise the nature, the location, the source, the ownership, or the control of the proceeds of specified unlawful activity; ^[10]or to avoid a transaction reporting requirement under State or Federal law.^[11]

The third and final way to violate section 1956 is for a person to have the intent to promote the carrying on of specified unlawful activity;^[12] conceal or disguise the nature, location, source, ownership, or control of property believed to be the proceeds of specified unlawful activity;^[13] or avoid a transaction reporting requirement under State or Federal law,^[14] and conduct or attempt to conduct a financial transaction involving property represented to be the proceeds of specified unlawful activity, or property used to conduct or facilitate specified unlawful activity.^[15]

Conspiracy
Under 18 U.S.C. § 371, it is a crime for two or more persons conspire either to commit any offense against the United States, or to defraud the United States, or any agency thereof in any manner or for any purpose, and one or more of such persons do any act to effect the object of the conspiracy, each shall be fined under this title or imprisoned not more than five years, or both. If, however, the offense, the commission of which is the object of the conspiracy, is a misdemeanor only, the punishment for such conspiracy shall not exceed the maximum punishment provided for such misdemeanor.

---

^[1] Larry Neumeister, New York Man Accused of Illegally Exporting Fighter Jet Parts to Possible Iranian Supplier, Associated Press Newswire, July 19, 2007, LEXIS, News Library, Wire News Services File.
^[2] Id.
^[3] Id.
^[4] 18 U.S.C. §§ 1956, 1957 (2007).
^[5] 18 U.S.C. § 1956(a)(1)(A)(i).
^[6] Id. § 1956(a)(1)(A)(ii).
^[7] Id. § 1956(a)(1)(B)(i).
^[8] Id. § 1956(a)(1)(B)(ii).
^[9] Id. § 1956(a)(2)(A).
^[10] Id. § 1956(a)(2)(B)(i).
^[11] Id. § 1956(a)(2)(B)(ii).
^[12] Id. § 1956(a)(3)(A).
^[13] Id. § 1956(a)(3)(B).
^[14] Id. § 1956(a)(3)(C).
^[15] Id. § 1956(a)(3).