A money mule or money transfer service is an online payment mechanism which facilitates the online transfer of money between entities or individuals. It is a form of money laundering which uses legitimate banking systems in order to move money illegally or to disguise its source. Money mules are individuals or companies who are recruited by criminals to transfer funds obtained illegally. The individual or company, acting as an intermediary for the criminal, move the money from one account to another, often using different financial institutions to conceal the money’s origin.
In some instances, the money mules may be unaware of the illegal activities, believing they are making legitimate transfers. In other cases, the money mules are fully aware of the illegal activities, but have elected to look the other way in order to facilitate the money laundering activities. Money mules are often recruited through job postings on online forums or websites, or through emails from seemingly legitimate companies. The criminals may use stolen identities to create fake online accounts, which are used to transfer funds.
The money mule operations are difficult for law enforcement officials to track since no two operations are alike. Typically, money mules transfer funds by transferring them from one online account to another. They may also be asked to withdraw the money from the first account, deposit it into their own account, and then transfer it to another. In other cases, mules may be asked to purchase goods with the money and then deliver or ship them to other countries.
Money mule operations can be a significant source of revenue for criminals. However, they can also be dangerous for those involved in the operations, since they can be subject to criminal penalties if caught. Those attempting to use money mules to transfer funds should beware of the risks and be aware of any laws which may be applicable to the online transaction.
