Am I unwillingly involved in money laundering?

[mamabird201313]

Ok money laundering might be a bit extreme but I'm wondering if I've been taken for a mug by friend.

So friend and her DH own a shop selling discounted food and during lockdown it's really taken off and they're doing really well (to the point that they're opening another shop next month) Now her DH has always been a bit 'dodgy' and she's briefly told me a bit about tax evasion, selling dodgy goods in the past etc but I've always just decided to mind my own business.

A few weeks ago she transferred me £20 without telling me, and I didn't think anything of it because she owed me money from an event ticket we'd paid for but had been cancelled due to COVID. Then the next day she transferred me about £80. So I messaged her asking what it was and she replied all shocked saying that she thought she'd transferred it to herself so could I send it back to her. (It's worth mentioning here that the reference for the money into my bank said PAYPAL and then her name, and she asked me to send it to her bank account.

Anyway, last week she messaged asking if she could do it again because she didn't have her other bank account set up to do transfers, she only had me set up on there before I could reply she'd sent me £95 so I obviously just had to transfer it back to her.

Now I'm thinking could this be dodgy? Like is she doing this to a few people and is it a way that they're taking money out of the business and sending it to people to try and hide it in some way? Obviously I'm hoping that I'm wrong and I'm just being over dramatic because the thought that she's doing something willingly that could get me in to trouble naturally really upsets me and would ruin our friendship.

So basically I'm asking if this would ring alarm bells to you?

Good call OP, she should never have done this, and once you have a paper trail showing you had doubts, then you have no choice but to report it or you will be the one in trouble. She is no friend to you

Well done OP.
You are worth so much more than this.

at the very least she's using you as a cash point machine!
were it me I'd tell her sorry the money got swallowed up in my overdraft and I cant give it back, make her wrestle to get the money back and see what she comes out with....that would be very amusing and give you an idea of what's really going on!

I’ve worked as an assistant for a commercial lawyer. Report this immediately to the HMRC as this will cover you. Block her access to your account right now. Screen shot your emails if you can. Mumsnet one’s too as they are proof of your worry. In the eyes of the law you could be classed as a conspirator. You’re abs doing the right thing flagging this up.

Well done OP, very sensible. Exactly what I would have done.

No one is going to money launder that little money!

If this is money laundering, it is going to take a loooong time to get that laundry clean.

No-one launders money at a hundred pounds a time ... but people wanting to launder money do often start with small test transactions.

Off the back of my earlier post....my next door neighbour is CFO of a reasonable sized company here in Cambridge. She helped advise a friend of mine during the friends divorce. The overriding comment was that the smaller transactions are the ones that should immediately be looked at as they can build up over time. Personally I smell a rat on your behalf. As another op has said, def nip this in the bud. But most importantly DO NOT trust this woman. How dare she do this to you Don’t stand for it xx

You can go to jail for laundering and you will be held responsible, tell her to stop.

Wow that's awful! Glad you've managed to sort things out

@jamesk0001

No one is going to money launder that little money!

There's no "de minimis" limit for money laundering.

It's highly likely to be tax evasion, probably the business being just under the vat threshold so they're just "laundering" small amounts to stay under the threshold to avoid having to pay VAT on their sales. In that scenario, the "laundering" isn't just the amounts being diverted, it's the loss of VAT on up to the entire £85k plus of sales, i.e upto £14k of vat that may otherwise have been due on the "true" total business sales.

"Small" amounts can have big consequences.

There is so much hysteria on this thread.

The accumulative sums so far are tiny. It needs to stop, it is unacceptable that the friend is involving the friend at any level.

But the idea that the OP could go to prison in the basis of 3 small payments is ludicrous.

Rather than voice opinions and leaps of 'logic' on a public forum, and accuse a friend of supposed misdemeanours and law breaking, why not have the courage to speak directly with your 'friend' and aka her what's going on and tell her what you're fearing.

It could be dodgy. She may have totally overstepped the mark and involved you in something without your knowledge or consent. And that is definitely something that would justify the actions you've taken and the ending of a friendship.

But it may not be dodgy. At the moment it's simply you painting a picture based on very little fact/evidence.

You may have potentially caused huge issues for someone, a friend, and their livelihood with minimal 'evidence' based on what could be your runaway imagination.

For just over £100.

Accused, judged and found guilty without the accused even being aware. And then ditching them as you don't need them in your life... Imagine if we all had friends like you.

@user1471457751 the VAT threshold is based on turnover not profit so that theory doesn’t work.

Oh unless it’s being shown as a refund I suppose

You aren't money laundering. She might be. But you suspect something is not right. You don't have an obligation to report her. But you should never allow anyone else to use your bank account. If you're embarrassed, tell her your bank has started to ask questions.

I was referring more to the friendship fall out, mutual friends etc.

Apologies missrks - I misunderstood.

However I wouldn't wand to be friends with someone who risked my reputation like this .

A friend of mine got convicted of money laundering as she was accepting £200 a month in child support from her ex partner - there was 1 text from a year before where she hinted she thought he might be drug dealing.

She only just missed out on going to jail.

Sorry posted too soon.

I meant to add if you accept any money especially cash that you have even the tiniest suspicion comes from illegal activity and you can be prosecuted for money laundering- and if you have said anything in text or online it will be found

It all depends on how much the police want to prosecute you.

I’m not sure if this applies in these circumstances but there are also consequences to ‘tipping off’ someone you suspect is committing an offence that they have been reported. I can understand the OP wanting to be discreet in protecting herself without alerting her ‘friend’.

Personally I would contact the NCA and report it
nationalcrimeagency.gov.uk/contact-us

@LittleCatZ that applies to the bank rather than OP. I think if she sends a text asking her to stop doing this, it would work in her favour rather than against her.

Very definitely dodgy, and your instinct is pinging for a good reason. This person is not a friend, or at the very least is being coerced into unlawful activity.

If I were you in my head, so much harder in real life I'd tell her this stuff makes you uncomfortable and makes you feel like you are potentially being rinsed. If she is being coerced or persuaded by her partner you will be a safe haven, bye for now, sort of thing.