The Elements Affecting the Anti-Money Laundering Practices Efficiency in Malaysia’s Business Sector

Money laundering can be defined as the process of purposely making cash, funds or other types of property that are gotten through unlawful business into appearing to be wholly sourced and legal. It alludes to the process of turning “dirty” money into “clean” money in order to hide its sources and conceal the proceeds of illegal activity. Money laundering also money that comes out of the crime which is then intermixed with the licit money to make appear legitimate, and it becomes very difficult to distinguish the legitimate money from the illegitimate one. These days, money laundering incidents can be categorized as international crimes as they occur in the majority of nations, particularly in Malaysia’s business sector. Instances of money laundering in Malaysia include 1MDB and Genneva Malaysia Sdn. Bhd. Malaysia is ranked 72nd in the world in terms of money laundering cases. Therefore, international courts ought to be established in order to try all instances involving money laundering and render wise judgements on penalties and fines. The purpose of this research is to identify the elements affecting the Anti-Money Laundering (AML) practices in Malaysian corporate sectors. Three (3) elements which are technology integration, personnel competency, and suspicious transaction reporting (STR) that are anticipated to have an impact on money laundering operations. In order to comprehend the elements affecting the Anti-Money Laundering (AML) practices in the Malaysian business sector, this study is employing literature review methodologies. This article suggests that by emphasizing staff competency, reporting questionable transactions, and maintaining customer records, money laundering operations might be curbed.