DOI: https://doi.org/10.14710/lr.v19i1.48966

Application of Universal Jurisdiction Principles to Cross-Country Money Laundering

*Efendi Lod Simanjutak orcid scopus  -  Department of Law, Faculty of Social Sciences, Universitas Harapan Bangsa, Indonesia
Anatoliy Kostruba  -  Department of Civil Law, Vasyl Stefanyk Precarpathian National University, Ukraine
Open Access Copyright 2023 LAW REFORM under http://creativecommons.org/licenses/by-sa/4.0.

Citation Format:
Abstract

The fight against transnational crimes, particularly involving cross-border money laundering, requires a shift from a territorial to a universal jurisdiction approach. The aim of this investigation was to explore the practicality of universal jurisdiction principles in combating cross-border money laundering, which eludes effective criminal law mechanisms to arrest and prosecute offenders. Findings revealed that the crime of cross-border money laundering has not been considered one of the delicta juris gentium or international crimes, leading to an increase in the number of perpetrators who enjoyed refuge in various countries. Therefore, a universal jurisdiction approach is necessary to ensure that criminals are not immune to prosecution, and justice is served universally. As a result, every state must fulfill its obligation of arresting and prosecuting offenders wherever they may be found to uphold the law and universal justice. In conclusion, the need for a universal jurisdiction approach is crucial to combat the increasing threat of transnational crimes, particularly in the context of cross-border money laundering.

Fulltext View|Download
Keywords: Money Laundering; Transnational Crime; Universal Jurisdiction; Impunity

Article Metrics:

Article Info
Section: Conceptual Article
Language : EN
Recent articles
The Entry Selection System in Indonesia’s Public High Schools: Quo vadis Authority of the Dispute Council in the Resolution of Construction Disputes in Indonesia The Educational Role of The Constitutional Court in Compliance of Indonesian Citizens Application of Universal Jurisdiction Principles to Cross-Country Money Laundering More recent articles
Most cited articles
KEBIJAKAN FORMULASI HUKUM PIDANA DALAM MELINDUNGI TRANSAKSI E - COMMERCE DI INDONESIA PENDIDIKAN HUKUM SEBAGAI PENDIDIKAN MANUSIA IMPLEMENTASI PENILAIAN KEBARUAN DAN PRINSIP ITIKAD BAIK DALAM PERLINDUNGAN DESAIN INDUSTRI PERLINDUNGAN HUKUM TERHADAP KONSUMEN DALAM TRANSAKSI E-COMMERCE PRIVATISASI BADAN USAHA MILIK NEGARA More cited articles
  1. Ahmed, Syed A. (2017). Practical application of anti-money laundering requirements in Bangladesh: an insight into the disparity between anti-money laundering methods and their effectiveness based on resources and infrastructure. Journal of Money Laundering Control, Vol.20, Issue4,pp.428-450. https://doi.org/10.1108/JMLC-09-2016-0042
  2. Akhavan, P. (2013). The rise, and Fall, and Rise, of International Criminal Justice. Journal of International Criminal Justice, Vol.11, (No.3),pp.527-536. https://doi.org/10.1093/ jicj/mqt 028
  3. Akhtar, Z. (2019). Mergers, extraterritorial jurisdiction and convergence of EU and US law. European Review of Private Law, Vol.27,Issue1,pp. 59 – 81. https://doi.org/10.54648/erpl2019004
  4. Amrani, Hanafi., & Ali, Mahrus. (2021). A new criminal jurisdiction to combat cross-border money laundering. Journal of Money Laundering Control, Vol.25, Issue 3, pp.540-550. https://doi.org/10.1108/JMLC-06-2021-0059
  5. Arajärvi, N. (2011). Looking back from nowhere: is there a future for universal jurisdiction over international Crimes?. Tilburg Law Review, Vol.16,Issue1,pp.5-29. https://doi.org/10.1163/221125911X590949
  6. Arnone, Marco,, & Borlini, Leonardo. (2010). International anti‐money laundering programs: Empirical assessment and issues in criminal regulation. Journal of Money Laundering Control, Vol.13, Issue 3, pp.226-271. https://doi.org/10.1108/136852 01011057136
  7. Assalmani, M. N. B. Asyhar (2021). Corporate Criminal Liability in Indonesian Law Concerning Fund Transfer. Research Horizon, Vol.1, (No.6), pp.229-236. https://doi.org/10.54518/rh.1.6.2021.229-236
  8. Barkow, Rachel E. (2011). Federalism and criminal law: what the feds can learn from the states. Michigan Law Review, Vol.109, Issue4,pp.519-580. https://dx.doi.org/10.2139/ssrn.1559251
  9. Beebeejaun, Ambareen., & Dulloo, Lubnaa. (2023). A critical analysis of the anti-money laundering legal and regulatory framework of Mauritius: a comparative study with South Africa. Journal of Money Laundering Control, Vol.26,(No.2),pp.pp.401-417. https://doi.org/10.1108/JMLC-12-2021-0141
  10. Burgess Jr, Douglas R. (2005). Hostis Humani Generi: Piracy, Terrorism and a New International Law. University of Miami International and Comparative Law Review, Vol.13, Issue 2, pp.293-341. https://repository.law.miami.edu/umiclr/vol13/iss2/2/
  11. Chuasanga, Anirut., & Victoria, Ong Argo. (2019). Legal Principles Under Criminal Law in Indonesia Dan Thailand. Jurnal Daulat Hukum, Vol.2,(No.1),pp.131-138. http://dx.doi.org/10.30659/jdh.v2i1.4218
  12. Clark, Roger S. (2004). The United Nations Convention Against Transnational Organized Crime. Wayne Law Review, Vol.50,(No.1),pp.161-184. https://m.heinonline.org/HOL/LandingPage?handle=hein.journals/waynlr50&div=15&id=&page=
  13. Colangelo, Anthony J. (2013). What is extraterritorial jurisdiction. Cornell Law Reiew, Vol.99, Issue 6, pp.1303-1352. https://scholarship.law.cornell.edu/clr/vol99/iss6/2/
  14. Coombes, K. (2011). Universal Jurisdiction: A Means to End Impunity or a Threat to Friendly International Relations. The George Washington International Law Review, Vol. 43, Issue 3, pp.419-466. https://www.proquest.com/docview/926417624/fulltextPDF/DCE2223C0E974090PQ/1?accountid=13771
  15. Dreżewski, Rafał., Sepielak, Jan., & Filipkowski, Wojciech. (2012). System supporting money laundering detection. Digital Investigation, Vol.9, Issue1, pp.8-21. https://doi .org/10.1016/j.diin.2012.04.003
  16. Farmer, L. (2013). Territorial jurisdiction and criminalization. University of Toronto Law Journal, Vol.63, Issue 2, pp.225-246. https://doi.org/10.3138/utlj.1117-3
  17. Garrod, M. (2019). The Emergence of “Universal Jurisdiction” in Response to Somali Piracy: An Empirically Informed Critique of International Law’s “Paradigmatic” Universal Jurisdiction Crime. Chinese Journal of International Law, Vol.18, Issue 3,pp.551-643. https://doi.org/10.1093/ chinesejil/jmz025
  18. Hovell, D. (2018). The authority of universal jurisdiction. European Journal of International Law, Vol.29, (No.2), pp.427-456. https://doi.org/10.1093/ejil/chy037
  19. Hülsse, Rainer., & Kerwer, Dieter. (2007). Global standards in action: insights from anti-money laundering regulation. Organization, Vol.14,Issue5,pp.625-642. https://doi.org/10.1177/1350508407080311
  20. Jones, Clifford A. (2003). Exporting Antitrust Courtroom to the World: Private Enforcement in a Global Market. Loyola Consumer Law Review, Vol.16, Issue 4, pp.409-430. https://lawecommons.luc.edu/ cgi/viewcontent.cgi?article=1251&context=lclr
  21. Kemal, Muhammad U. (2014). Anti-money laundering regulations and its effectiveness. Journal of Money Laundering Control, Vol.17, Issue4, pp.416-427. https://doi.org/10.1108/JMLC-06-2013-0022
  22. Kontorovich, Eugene., & Art, Steven. (2010). An empirical examination of universal jurisdiction for piracy. American Journal of International Law, Vol.104, Issue 3, pp.436-453. https://doi.org/10.5305/amerjintelaw.104.3.0436
  23. Krings, Britta L. (2012). The Principles of Complementarity and Universal Jurisdiction in International Criminal Law: Antagonists or Perfect Match. Goettingen Journal of International Law, Vol.4, Issue 3, pp.737-763. https://web.archive.org/web/20180409233736id_/http://www.gojil.eu/issues/43/43_article_krings.pdf
  24. Krisch, N. (2022). Jurisdiction unbound:(extra) territorial regulation as global governance. European Journal of International Law, Vol.33, Issue 2, pp.481-514. https://doi.org/10.1093/ejil/chac028
  25. Lande, Robert H., & Zerbe, Richard O. (2020). The Sherman act is a no-fault monopolization statute: A textualist demonstration. American University Law Review., Vol.70,Issue2,pp.497-588.https:/ /www.proquest.com/docview/2492324963/fulltextPDF/61B35F92F5364F2BPQ/1?accountid=13771
  26. Langer, M. (2011). The diplomacy of universal jurisdiction: The political branches and the transnational prosecution of international crimes. American Journal of International Law, Vol.105,(No.1),pp.1-49. https://doi.org /10.5305/amerjintelaw.105.1.0001
  27. Le Nguyen, C. (2020). National criminal jurisdiction over transnational financial crimes. Journal of Financial Crime, Vol.27, (No.4),pp.1361-1377. https://doi.org/10.1108/JFC-09-2019-0117
  28. Maculan, Elena., & Gil, Alicia Gil. (2020). The Rationale and Purposes of Criminal Law and Punishment in Transitional Contexts. Oxford Journal of Legal Studies, Vol.40, Issue 1, pp.132-157. https://doi.org/10.1093/ojls/gqz033
  29. Mahncke, H. (2006). The emergence of competition law regimes in the Asia-pacific region: A contrarian perspective. Asia Pacific Law Review, Vol.14, Issue 1, pp.1-18. https://doi.org/10.1080/10192557.2006.11788153
  30. Masciandaro, D. (1999). Money laundering: the economics of regulation. European Journal of Law and Economics, Vol.7, pp.225-240. https://doi.org/10.1023/A:1008776629651
  31. Mekpor, Emmanuel Senanu., Aboagye, Anthony., & Welbeck, Jonathan. (2018). The determinants of anti-money laundering compliance among the Financial Action Task Force (FATF) member states. Journal of Financial Regulation and Compliance, Vol.26,(No.3),pp.442-459. https://doi.org/10.1108/JFRC-11-2017-0103
  32. Menon, Sundaresh., & Siew, Teo Guan. (2012). Key challenges in tackling economic and cyber crimes: Creating a multilateral platform for international co‐operation. Journal of Money Laundering Control, Vol.15,(No.3),pp.243-256. https://doi.org/10.1108/13685201211238016
  33. Michael, Bryane., Goo, Say-Hak., & Osaulenko, Svitlana. (2020). The extra-territorial application of corporate governance standards in China. Transnational Legal Theory, Vol.11, Issue 4, pp.436-453. https://doi.org/10.1080/20414005.2020.1744890
  34. Moffett, L. (2015). Elaborating justice for victims at the international criminal court: Beyond rhetoric and the hague. Journal of International Criminal Justice, Vol.13, Issue 2,pp.281-311. https://doi.org/10.1093/jicj/ mqv001
  35. Mugarura, N. (2011). The global anti‐money laundering court as a judicial and institutional imperative. Journal of Money Laundering Control, Vol. 14, (No.1), pp. 60-78. https://doi.org/10.1108/13685201111098888
  36. Nance, Mark T. (2018). The regime that FATF built: an introduction to the Financial Action Task Force. Crime, Law and Social Change, Vol.69, Issue2, pp.109-129. https://doi.org/10.1007/s10611-017-9747-6
  37. Nazar, Sadia., Raheman, Abdul., & ul Haq, Muhammad Anwar. (2023). The magnitude and consequences of money laundering. Journal of Money Laundering Control. Article in Press. https://doi.org/10. 1108/JMLC-09-2022-0139
  38. Nishioka, K. (2020). International scope of the Japanese Anti-monopoly Act in cross-border cartel cases: a Japanese approach to ‘extraterritorial application. Journal of Antitrust Enforcement, Vol.8, Issue 3, pp.590-605. https://doi.org/10.1093/jaenfo/ jnz033
  39. Nurdin, Boy., & Turdiev, Khayitjon. (2021). Paradigm of Justice in Law Enforcement in the Philosophical Dimensions of Legal Positivism and Legal Realism. Lex Publica, Vol.8,(No.2),pp.65-74. https://doi.org/10.58829/lp.8.2.2021.65-74
  40. Obokata, T. (2013). Maritime piracy as a violation of human rights: a way forward for its effective prevention and suppression?. The International Journal of Human Rights, Vol.17,Issue1, pp.18-34. https://doi. org/10.1080/13642987.2012.690218
  41. Ofoeda, Isaac., Agbloyor, Elikplimi K., Abor, Joshua Y., & Osei, Kofi A. (2022). Anti‐money laundering regulations and financial sector development. International Journal of Finance & Economics, Vol.27, Issue 4, pp.4085-4104. https://doi.org/10.1002/ijfe.2360
  42. Panáková, J. (2011). Law and politics of universal jurisdiction. Amsterdam Law Forum, Vol.3, Issue3,pp.49–72. http://doi.org/10.37974/ALF.192
  43. Pavlidis, G. (2021). Financial action task force and the fight against money laundering and the financing of terrorism: Quo vadimus?. Journal of Financial Crime, Vol.28,(No.3),pp.765-773. https://doi.org/10.1108/JFC-09-2019-0124
  44. Popa, George D. (2012). International cooperation in the struggle against trans-border organized crime and money laundering. Contemporary Readings in Law and Social Justice, Vol. 4 Issue 2, pp.575-578. https://go.gale.com/ps/i.do?p=AONE&u=googlescholar&id=GALE|A321579696&v=2.1&it=r&sid=AONE&asid=7af7d94a
  45. Popko, V. (2019). Social requirements and the role of globalization in the formation of the transnational criminal law. Entrepreneurship, Economy and Law, No.8, pp.236-243 [In Ukrainian]. http://pgp-journal.kiev.ua/archive/2019/8/45.pdf
  46. Popko, V. (2021). Convergence of criminal and legal systems in the globalization of crime. Entrepreneurship. Economy and Law, No.1, pp.227-237 [In Ukrainian]. http://pgp-journal.kiev.ua/archive/2021/1/40.pdf
  47. Popović, I. (2021). The extra-territorial jurisdiction in the case-law of the European court of human rights and contemporary challenges. Politeia, Vol.11, Issue 22, pp.147-164. https://doi.org/10.5937/politeia 0-33972
  48. Prayogo, Galang., & Chornous. Yulia. (2020). Conceptualization of Future Cryptocurrency Laws in Indonesia and Ukraine. Lex Publica, Vol.7,(No.2),pp.56-68. https://doi.org/10.58829/lp.7.2.2020.56-68
  49. Reeves, Anthony R. (2017). Liability to international prosecution: The nature of universal jurisdiction. European Journal of International Law, Vol.28, Issue 4, pp.1047-1067. https://doi.org/10.1093/ejil/chx064
  50. Samanta, Chowdhury Nujhat., & Hossain, Belayet. (2022). Implementation of Diplomatic Assurance Against Torture: The Way to Reduce the Refugee Crisis in South Asia. Lex Publica, Vol.9, (No.1), pp.1-29. https://doi.org/10.58829/lp.9.1.2022.1-29
  51. Sarigul, H. (2013). Money laundering and abuse of the financial system. International Journal of Business and Management Studies, Vol.2, Issue 1, pp.287-301. https://www.researchgate.net/publication/256040462_Money_Laundering_and_Abuse_of_the_Financial_System
  52. Sasmito, J. (2017). Application of the Retroactive Principle in Criminal Law on Gross Human RightsViolations. LexPublica, Vol.4,(No.2),pp.775-781. https://doi.org/10.58829/lp.4.2. 2017.775-781
  53. Scharf, Michael P. (2012). Universal jurisdiction and the crime of aggression. Harvard Internationall Law Journal, Vol.53, Issue 2, pp.357-389. https://harvardilj.org/wp-content/uploads/sites/15/2012/10/HLI201.pdf
  54. Schmidt, J. (2022). The legality of unilateral extra-territorial sanctions under international law. Journal of Conflict and Security Law, Vol.27,Issue1,pp.53-81. https://doi.org/10.1093/jcsl/krac005
  55. Sekati, P. (2022). Assessing the Effectiveness of Extradition and the Enforcement of Extra-territorial Jurisdiction in Addressing Trans-national Cybercrimes. Comparative and International Law Journal of Southern Africa, Vol. 55, Issue 1, pp.1-36. https://doi.org/10.25159/2522-3062/10476
  56. Shehu, Abdullahi Y. (2012). Promoting financial inclusion for effective anti-money laundering and counter financing of terrorism (AML/CFT). Crime, law and social change, Vol. 57, Issue 3, pp.305-323. https://doi.org/10.1007/s10611-011-9351-0
  57. Simmons, Beth A., Lloyd, Paulette., & Stewart, Brandon M. (2018). The global diffusion of law: Transnational crime and the case of humantrafficking. International Organization, Vol.72, Issue2, pp.249-281. https://doi.org/10.1017/S0020818318000036
  58. Sultan, Nasir., & Mohamed, Norazida. (2022). The role of information sharing in combating money laundering: the importance and challenges of mutual legal assistance for developing jurisdictions like Pakistan. Journal of Money Laundering Control,(ahead-of-print). https://doi.org/10.1108/JMLC-09-2022-0128
  59. Syarifuddin, M. (2021). Legal Heuristic Approach in Judicial Practice. Lex Publica, Vol.8, (No.2),pp.1-13. https://doi.org/10.58829/lp. 8.2.2021.1-13
  60. Teichmann, F. (2020). Recent trends in money laundering. Crime, Law and Social Change, Vol.73,Issue2,pp.237-247.https: //doi.org/10.1007/s10611-019-09859-0
  61. Titahelu, Juanrico Alfaromona S. (2022). Legal Liability for Crimes against Humanityas A Form of Human Rights Violation (Criminal Law Perspective). Law Reform, Vol.18, (No.1),pp28-42. https://doi.org/10.14710/lr.v18i1.44154
  62. Van Der Wilt, H. (2011). Universal jurisdiction under attack: An assessment of African misgivings towards international criminal justice as administered by western states. Journal of International Criminal Justice, Vol.9, Issue 5, pp.1043-1066. https://doi.org/10.1093/jicj/mqr045
  63. Wangga, Maria Silvya Elisabeth., Wirawan, Aditya., & Kardono, R. Bondan Agung. (2022). Corruption and Money Laundering Perspective of Criminal Law and Criminology. Research Horizon, Vol.2, (No.2),pp.363-373. https://doi.org/10.54518/rh.2.2.2022.363-373
  64. Wardani, Alya., Ali, Mahrus., & Barkhuizen, Jaco. (2022). Money Laundering through Cryptocurrency and Its Arrangements in Money Laundering Act. Lex Publica, Vol. 9,(No.2),pp.49-66. https://doi.org/10.58829/lp.9.2.2022.49-66
  65. Yasaka, N. (2017). Knowledge management in international cooperation for anti-money laundering. Journal of Money Laundering Control, Vol. 20, Issue 1, pp.27-34. https://doi.org/10.1108/JMLC-09-2015-0040
  66. Zafarullah, Habib., & Haque, Halimah. (2023). Policies, instrumentalities, compliance and control: combatting money laundering in Bangladesh. Journal of Money Laundering Control, Vol.26,Issue1,pp.189-204. https://doi.org/10.1108/JMLC-10-2021-0109
  67. Zavoli, Ilaria., & King, Colin. (2021). The Challenges of Implementing Anti‐Money Laundering Regulation: An Empirical Analysis. The Modern Law Review, Vol. 84, Issue4,pp.740-771. https://doi.org/10.1111/1468-2230.12628
  68. Zelger, B. (2020). EU Competition law and extraterritorial jurisdiction–a critical analysis of the ECJ's judgement in Intel. European Competition Journal, Vol.16, (No.2-3), pp.613-627. https://doi.org/10.1080/174410 56.2020.1840844
  69. Bassiouni, M. Cherif. (1974). International extradition and world public order. Leiden: Sijthoff
  70. Bassiouni, M. Cherif. (1997). International Criminal Law Conventions and their Penal Provisions. Leiden: Brill
  71. Bingham, T. (2011). The Rule of Law. London: Penguin Group
  72. Boister, N. (2018). An introduction to transnational criminal law. Oxford: Oxford University Press
  73. Hoefnagels, Gerardus P. (ed.). (2013). The other side of criminology: An inversion of the concept of crime. New York: Springer Science & Business Media
  74. Lowe, Vaughan., & Staker, Christopher. (2010). Jurisdiction. In Evans, Malcolm D. (2010). International Law, 3rd ed. Oxford: Oxford University Press
  75. Starke, J. G. (2008). Pengantar Hukum Internasional 2. Trans. Djajaatmadja, B. I. 10th ed. Jakarta: Sinar Grafika
  76. Stessens, G. (2000). Money laundering: a new international law enforcement model (Vol. 15). Cambridge: Cambridge University Press
  77. Atmasasmita, Romli. (2004). Cross-Border & Transnational Crimes. In Prosiding Kepailitan dan Transfer Asset Secara Melawan Hukum. Bogor: Bareskrim Polri & Pusat Pengkajian Hukum
  78. Amnesty International. (2013). How General Pinochet’s Detention Changed the Meaning of Justice. Retrieved from https://www.amnesty.org/en/latest/news/2013/10/how-general-pinochets-detention-changed-meaning-justice/
  79. Budiantoro, S. (2016). menyebutkan bahwa kerugian akibat uang haram berdasarkan data tahun 2016 mencapai 2.500 trilliun Rupiah. Retrieved from https://www.indo premier.com/ipotgo/newsDetail.php?Dana_Gelap_Tembus_Rp2_500_Triliun_Fiskal_Moneter_Indonesia_Rentan&news_id=60544&group_newsIPOTNEWS
  80. EUROPOL High Tech Crime Centre. (2007). High Tech Crimes Within the EU: Old Crimes New Tools, New Crimes New Tools (Public Version). Threat Assesment. EUROPOL High Tech Crime Centre, Agustus 2007. Retrieved from https://www.enisa.europa. eu/topics/csirts-in-europe/files/event-files/ENISA_Europol_threat_assessment_2007_Dileone.pdf
  81. Human Rights Watch. (2003). Belgium: Universal Jurisdiction Law Repealed. Retrieved from https://www.hrw.org/news/2003/08/02/belgium-universal-jurisdiction-law-repealed

Last update:

  1. Implementing of Restorative Justice to Build the Criminal Justice System in Indonesia: A Study of the Batak Toba Justice System

    Nur Rochaeti, Mujiono Hafidh Prasetyo, Ji Hyun Park. LAW REFORM, 19 (2), 2023. doi: 10.14710/lr.v19i2.53184

Last update: 2024-11-20 09:00:03

No citation recorded.