How easy is it to get rid of cash ?

[Vegeta]

Buy a safe. Withdraw as needed for day to day expenses otherwise it's only matter of time till you're caught. When buying big items use debt, pay off debt in chunks.

Rent a space, open a business buy stock every other week sell the stock using card or eft. Keep the business small. Ask a friend to start another keep it small. Cafe, fish and chips or veggies. Open another and another. Keep to small towns. Find a honest old man to sell your veggies or soft drinks and chips

 

[Hamster]

Jewelry?

 

[DA-LION-619]

Buy 2nd hand items? Over Gumtree or Carb.

 

[Freaksta]

Buy 2nd hand items? Over Gumtree or Carb.

Buy new items anywhere... You can fly under the radar for smaller purchases until SARS does a lifestyle audit! Oh Mr X you declare R200 000 per annum, that is a nice MacBook, that is a nice tv, nice clothes. Prove that you aren't declairing all your income.

 

[goga]

Cash thing is pretty common, even for those running large businesses dealing mostly in cash and not declaring significant portion of earnings.

Either launder it through other legit businesses (not too diffic. dep on the business types), invest it into other non-listed non-disclosed investments.

Common also is to buy large assets but specify silently that a portion will be paid in non-disclosable cash (ie. I buy a flat from Mr X, tell him R500k will be paid and disclosed as selling price, R150k will be paid in cash non-disclosed - people are okay to accept this as R150k isn't hard to get through in invisible living expenses etc and it means you secure a solid cash buyer for your property), or you use systems similar to "hawala" (http://en.wikipedia.org/wiki/Hawala) -> ie: use import export or other businessman, they need something paid for in SA - you pay it, they'll deposit the(ir)/your funds into an account in UK/elsewhere.

 

[cerebus]

Buy a carwash. Or failing that, a laser tag arcade.

 

[I.am.Sam]

Buy a carwash. Or failing that, a laser tag arcade.

 

[envo]

If it's dirty money then they usually use multiple mules to go through businesses and buy stuff, get the change. You'd lose about half the value of the money but if you want clean money, that's the way to go. Not too sure how they check casino's for money laundering. I guess you'd have to be dumb enough to go to the same casino on a consistent enough basis with a large amount of money each time?

But cash is king. Bank accounts are nice and convenient, but there's nothing in this world that won't accept cold hard cash. And as it has been pointed out, any amount above a certain amount in cash being paid in is reported to SARS.

However, this doesn't mean you shouldn't declare your taxes either. If you want to be smart, you'll pay yourself a little salary out of the cash that goes into your bank account and then declare it/pay the tax owed to SARS. That way you have the convenience of a bank account while keeping (sort of) legit. Over a number of months/years. SARS would have received their cut, so they can't bitch that the 12 million you got illegally you never declared. You just didn't declare all of it at once

 

[Devill]

Reading this bribery article http://www.iol.co.za/news/crime-courts/i-bust-finance-chief-on-video-1.1706177#.U7EGb7F3KZQ

The Star saw a video which allegedly shows Seedat accepting two boxes, one with R1.5m inside and another with R500 000. Hathurani said in the affidavit he demanded Seedat return his R12m.

What can you do with the cash? The two largest purchases - a house and car - are almost impossible to buy with the cash? Surely if you buy a TV at R20,000+ in notes an alarm bell will ring?

Or do they do go to dodge used car dealerships and shops in town where the full channel is dodgy?
Casinos perhaps?

For a small fee I am sure that you can get clean deposited cash for some consulting work that you did for someone...

If that fails, use the cash to live off, ie, buy everyday things like food, cloths etc.

 

[Chevauxza]

I've always thought that opening one of those seemingly numerable churches in commercial buildings (or any church for that matter) is a fantastic way to launder cash. It's good because religion is rarely questioned and the cash deposits could be tithes (tax free too).

...or they could be crack houses during the week

 

[-Prismo-]

whats his address

LOL !!!

 

[Messugga]

Fair enough.

We don't have systems in place to check what when the little Chinese restaurant books R2m though? Although probably done over a period.

So in that case tax is paid legally and SARS is happy?

You can also buy some really, really expensive booze with a 100% markup at a restaurant you own, and pay for it with your dirty money, thus bringing it into the system.

 

[mfumbesi]

I've always thought that opening one of those seemingly numerable churches in commercial buildings (or any church for that matter) is a fantastic way to launder cash. It's good because religion is rarely questioned and the cash deposits could be tithes (tax free too).

...or they could be crack houses during the week

I think you're on to something here.
But if SARS wants to know about it, they will audit your "church" membership, then jail time for you.

 

[SauRoNZA]

Resell prepaid cards for slightly less than market value.

Sure you'll take a little bit of a knock but you'll launder the money easy and simply and pretty much without a trace.

 

[goga]

Resell prepaid cards for slightly less than market value.

Sure you'll take a little bit of a knock but you'll launder the money easy and simply and pretty much without a trace.

Wouldn't work (i think..)

SARS first question would be: Where did you get the money to buy these cards/inventory/stock? Your books would need to show the inflow..

You either have to show a debt owing/loan due, or you're showing that you're putting in cash from hmmm..where did I get this cash?

 

[SauRoNZA]

Showing books to SARS?

What kind of money laundering business idea is that.

This is a pure cash exercise.

 

[goga]

Showing books to SARS?

What kind of money laundering business idea is that.

This is a pure cash exercise.

Then you've done nothing but exchange cash for goods and get cash back.

You've made nothing "clean" about the money in the sense that you can't be seen using it as you haven't earned it, SARS isn't aware of it, and you can't go off spending it because red lights with flash, alarm bells with ring, little men with calculators will knock on your door at odd hours of the night, and all because you didn't do your laundry properly.

 

[SauRoNZA]

Right that does make sense actually.

Obviously I'm not criminally minded enough.

 

[Dolby]

Obviously I'm not criminally minded enough.

Seems goga is though

 

[FlashSA]

Back to the OP - it mentions the story about the guy who received cash in cardboard boxes as a bribe (per Carte Blanche visuals as well).

Why would it have to be laundered? Surely the best way to use it would be to stash it away and use it to live off on everything that is not reported? So pay for electricity and municipal rates, pay monthly insurance premiums, pay school fees, pay for fuel, car installments food, entertainment all in cash or bank deposit's. That way any legitimate\taxed income you receive can be kept in the bank and invested\saved.

Hypothetically of course.....

I was speechless at seeing over a million rand in cash in those boxes. Hectic!