When federal prosecutors pursue drug trafficking cases, they often add money laundering charges to the indictment. This strategy strengthens the government’s case and increases potential penalties. However, it also opens new avenues for defense. Understanding how these charges interact—and how to challenge them—can be the key to protecting your rights and minimizing exposure.
Money laundering occurs when someone conducts financial transactions designed to conceal the source, ownership, or purpose of illegal funds. In drug trafficking cases, prosecutors argue that proceeds from drug sales are “cleaned” through deposits, purchases, or transfers intended to disguise their origin.
Because nearly every drug operation involves cash, the government often assumes that any large or structured transaction must involve laundering. This assumption is flawed. Many legitimate businesses handle significant cash flow, and not every transaction connected to a defendant proves intent to conceal.
The result is that defendants charged with drug trafficking frequently face companion allegations under 18 U.S.C. § 1956 or § 1957. These counts can add years to a sentence and increase forfeiture exposure.
To secure a conviction for money laundering, prosecutors must prove several elements beyond a reasonable doubt:
Each element presents an opportunity for challenge. Knowledge and intent are particularly critical. The government must show that the defendant acted with the purpose of hiding illegal proceeds, not merely spending or depositing money.
Prosecutors often rely on circumstantial evidence to show concealment. This can include using multiple accounts, structuring deposits below reporting thresholds, or transferring funds through third parties. They may also use financial experts to trace transactions and testify about suspicious patterns.
However, these interpretations are not always accurate. Complex financial activity can have legitimate explanations. For example, entrepreneurs, landlords, and small business owners often use multiple accounts for budgeting or tax reasons.
A strong defense strategy focuses on undermining the government’s narrative and highlighting lawful explanations. Key approaches include:
Because laundering charges depend heavily on documentation, careful review of bank records, ledgers, and communications is essential. Any inconsistency or error in tracing can create reasonable doubt.
When laundering accompanies drug trafficking charges, sentencing becomes more severe. The federal guidelines consider laundering a separate offense, allowing prosecutors to seek enhancements. In addition, the government may pursue forfeiture of all assets allegedly linked to the transactions.
By contesting the laundering component, defense attorneys can reduce the overall sentencing exposure and weaken the prosecution’s leverage.
Defending dual charges requires both criminal and financial expertise. At Glozman Law, we understand the intersection between drug law and financial crime. Our team scrutinizes every transaction, challenges weak evidence, and ensures that prosecutors meet their heavy burden of proof.
If you are accused of money laundering in connection with a drug trafficking case, do not face it alone. Contact Glozman Law to discuss how we can build a strategic defense and protect your future.
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