Drug proceeds are tried to be laundered through various means, especially real estate, luxury vehicles, foreign currency and crypto. This activity constitutes a separate crime as "money laundering" and carries an additional prison sentence.
Legal Framework
- Law No. 5549:Prevention of money laundering (MASAK).
- TCK Article 282: Laundering of property values resulting from crime (3-7 years imprisonment).
- TCK art.220: Establishing an organization (chain practice).
- TCK art.54-55:Confiscation.
Typical Laundering Methods
MASAK — Suspicious Transaction Report
Banks, jewelers, real estate brokers and crypto exchanges are obliged to report "suspicious transactions" to MASAK. Typical triggers:
- Unusually high cash movement.
- Inconsistent income-asset balance.
- Splitting a large amount into multiple smaller transactions ("smurfing").
- Complex chain of crypto exchanges.
Supreme Court 7th CD and CGK — Principle
7. CD and CGK accept that in the crime of money laundering, the existence of a "predicate crime" (drug) must be demonstrated with concrete evidence, the act of laundering must be proven with a concrete transaction chain, and the "possible source" claim will be deemed insufficient.
Status of Family Members
It is common for property purchased with drug proceeds to be written to family members. In this case:
- It is possible for the family member to prove that he/she is in good faith; However, concrete evidence is required.
- The property is at risk under third party confiscation
- The family member may be indirectly tried for Article 282 laundering
Practical Considerations
These files require multi-layered financial and criminal expertise. Financial law + criminal law team should work together.