Globalization and Money Laundering

Author:George Dorel Popa
Position:Senior Lecturer, PhD, Ovidius University of Constanta; Romania
European Integration - Realities and Perspectives
Globalization and Money Laundering
George Dorel Popa
Abstract: Twentieth century has been c haracterized by many str uctural changes on the planetary level. The
changes were caused by social revolutions, the communist bloc collapse, huge technological advances, not
least the significant increase of the international trade volume. The second part of the century brought the
globalization as a major feature of our world. Globalization has manifested first in the Economical field and
then gradually in other areas of the social life. This phenomenon brought undeniable b enefits and a number of
risks and negative eff ects for t he countries of the world. The biggest threat in this respect is the extent of
transnational organized crime. The originality of this paper is consisting in understanding of money
laundering using the factors that define the formation and development of this crime, as well the favor factors.
The added value of the paper comes from interdisciplinary presentation of this crime. This paper highlights
the conditions and factors that cause s erious consequences in this respect. Studying this crime and its features
could be a key for solving many problems in the area of Economical crimes. This paper could contribute to
the work of police officers, prosecutors or judges on daily b ases fight against crime and i ts social
Keywords: globalization; money laundering; criminality; organized crime
We all have noted t he proliferation of organized crime activity and accelerated growth of organized
crime. These phenomena occur as a result of the "erasing” of the borders between the states of the
world. Organized crime groups operate both on the nationally and internationally level. Among the
most common offenses, today we meet the weapon traffic, drugs traffic, human trafficking, trafficking
in luxury cars and not least the money laundering offenses. After December 1989, crime in Romania
has grown and increased significantly the proceeds of these illegal activities.
There were massive embezzlement of state property assets and funds by embezzlement, theft and
deception. Privatization of state assets after 1989 was marked by acts of corruption and deliberate
undervaluation of privatized assets. All these funds from illegal activities required recycling
operations, ‘the laundering process’ was necessary to give an apparent legality for the money. Fight
against this scourge was a permanent priority for Romania authorities. In this respect, the Romanian
authorities have adopted a successive series of laws and regulations and have created several
institutions. Romania joined several international agreements in an effort to prevent and combat
organized crime is ready to continue the fight against the money laundering phenomenon.
Globalization from the perspective of economical integration and financial crisis might be the general
terms used to describe the worldwide situation. The actual globalization brought a plenty of benefits,
has increased international trade and cultural exchanges, removing political and economic obstacles.
Increasing interdependence in international relations, besides positive aspects undoubtedly brought
some negative aspects related to economy and security and public order.
Globalization has led to a border removal, which favored the cross-border organized crime. Today,
organized crime, in various forms (trafficking of weapons, human beings, drugs, illegal immigration,
money laundering) and terrorism are global threats and the actual economic and financial crisis tends
Senior Lecturer, PhD, Ovidius University of Constanta; Romania, 1 Aleea Universitatii, Constanta, Romania, Tel.: +40241-
511000/326 Fax: +40241-543045, Corresponding author:

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