Besides severe fines, potential imprisonment, and other criminal penalties, people facing money laundering charges may find themselves in a tough situation where their personal, professional, and social lives are compromised.
The consequences of being accused or convicted of money laundering can range from a tarnished reputation and the seizure of assets to the inability to find a job or secure housing. However, the California Penal Code lists one possible solution: the expungement of criminal records.
This guide provides more information on how California law allows individuals to expunge money laundering charges, explaining the legal process step-by-step and listing the benefits of clearing a criminal history.
What Is Money Laundering?
California Penal Code Section 186.10 PC defines "money laundering" as a white-collar crime in which a person makes or attempts to conduct a transaction through a financial institution, such as a bank, with the intent to use the funds for criminal activity.
Money laundering occurs when transactions are valued over $5,000 in a seven-day period or more than $25,000 over 30 days and if the defendant knows that the funds involved represent, originate from, or are directly linked to the proceedings of criminal activity.
Is Money Laundering a Felony or a Misdemeanor?
Under Penal Code 186.10 PC, money laundering is classified as a wobbler, meaning it can be either a felony or a misdemeanor, depending on the circumstances of the case and the type of criminal charges filed by the prosecutor.
The penalties for money laundering charges can vary based on this classification. For example:
If the charges lead to a misdemeanor conviction, offenders can be punished with court fines and up to one year in state or county jail.
If the charges lead to a felony conviction, legal consequences can include up to three years in prison and a fine of $250,000 or twice the amount laundered, whichever is greater.
Offenders with prior criminal convictions for money laundering can be fined $500,000 or five times the amount laundered, whichever is greater.
If the funds involved exceed $50,000, an extra year can be added to the jail sentence, with up to four additional years behind bars if the amount exceeds $2,500,000.
Can Money Laundering Be Treated as a Federal Crime?
Yes, money laundering can be considered a federal criminal offense and be subject to even harsher penalties.
When handled by a federal court, a criminal conviction for money laundering can lead to a harsh imprisonment sentence. For instance, defendants can be punished with up to 20 years in federal prison if found guilty. Our team can also explain how to expunge identity theft charge in CA.
Common Legal Defenses for Money Laundering Charges
Money laundering charges are complex and require robust legal defenses. Common strategies include:
Lack of knowledge: Demonstrating that the defendant was unaware of the illegal origin of the funds is a common legal defense. This may involve proving that the individual was merely a "straw man" or an unwitting participant in a larger scheme.
Lack of intent: Another defense strategy is to argue that the defendant didn't intentionally conceal or disguise the source of the funds. In this case, it must be proven that the defendant's actions were lawful or that any suspicious activity was unintentional.
Due diligence: Another option is to prove that the individual took reasonable steps to verify the source of the funds and ensure compliance with anti-money laundering regulations. Defendants should prove that they implemented robust customer identification procedures and conducted thorough background checks.
Entrapment: Defendants can also argue that law enforcement officers induced them to commit the crime and demonstrate that they weren't predisposed to engage in money laundering or that the officers' actions were overly persuasive or coercive.
Necessity: Arguing that the defendant committed the crime out of necessity, such as to avoid imminent harm or to protect themselves or others, can be used as a legal defense, too. However, this strategy is rarely successful and requires compelling evidence of extreme circumstances.
Can Money Laundering Charges Be Expunged from a Criminal Record in California?
In California, individuals convicted of money laundering can expunge these charges from their criminal records to get their lives back to normal. However, this legal option is only available under certain circumstances.
Essentially, expungement involves sealing arrest records and court records related to the conviction, making them inaccessible to most employers, landlords, and licensing agencies.
However, expungement may become available some time after the conviction occurred and is subject to specific requirements. Goss Law can share how to expunge brandishing charge in CA as well.
What Penal Code 1203.4 PC Says
Penal Code 1203.4 PC outlines the eligibility criteria and procedures for record expungement in California. This statute allows individuals with certain misdemeanor and felony convictions to petition the court to have their records sealed.
Who Is Eligible for Expungement in California?
Eligibility for expungement in California varies depending on the specific offense and the individual's criminal history.
More often than not, convicted individuals may be eligible if they:
Have successfully completed probation or parole.
Have not been convicted of any other felonies since the completion of their sentence.
Have not been convicted of any serious or violent felonies.
Have paid all fines and restitution.
Steps to Expunge Money Laundering Charges in California
These are the key steps involved in the California expungement process:
Determine eligibility: Consult with an experienced criminal defense attorney to determine eligibility for expungement.
File a petition: File a petition with the court requesting that records be sealed, including specific information about the case to demonstrate that the eligibility criteria are met.
Serve the petition: Deliver a copy of the petition to the district attorney and any other relevant parties.
Court hearing: Attend a court hearing where the judge will review the petition and determine whether to grant the request.
Order of expungement: If the court grants the request, an order of expungement will be issued to instruct law enforcement agencies and other relevant parties to seal the records.
Who Is Not Eligible for Expungement in California?
In California, not every person can have a criminal record expunged. This includes individuals who:
Have been convicted of multiple felonies.
Have been convicted of serious or violent felonies, such as sex crimes.
Have outstanding warrants or other criminal charges.
Have violated the terms of their probation or parole.
Don't comply with any other requirements necessary for expungement according to the California Penal Code.
Can You Expunge a Federal Crime in California?
Although expungement is available in this state, California law generally doesn't apply to federal crimes.
If a defendant was convicted of a federal money laundering charge, they would need to seek expungement through the federal court system.
The Limitations of Expungement in California
It's important to understand the limitations of expungement in California. Even after records are sealed, certain agencies, such as law enforcement and some licensing boards, may still have access to an individual's criminal history.
Plus, this process may come with some expenses, including attorney and court filing fees. For more information, expungement lawyers in Sacramento may be able to help.
The Positive Impact of Expungement on People's Lives
Expungement can have a significant positive impact on people's lives. By sealing a criminal record, an individual may be able to:
Improve employment opportunities: Many employers conduct background checks as part of the hiring process. A sealed record may make it more difficult for potential employers to discover a past conviction.
Improve housing opportunities: Landlords may also conduct background checks on potential tenants, so a sealed record may increase the chances of securing stable housing.
Restore professional licenses: Some professional licenses may be revoked or suspended due to a criminal conviction. Expungement may allow an individual to reapply for their license.
Reduce the stigma associated with a criminal conviction: A sealed record can help an individual move forward and rebuild their life after a conviction.
What to Do When It Isn't Possible to Expunge Criminal Records
If an individual isn't eligible for expungement, there may be other options available. Offenders may be able to:
Seek early probation termination: This can reduce the length of probation and may make an individual eligible for expungement sooner.
Complete community service: This can demonstrate to the court that the individual is rehabilitated and may increase their chances of obtaining expungement.
Legal Representation Throughout the Expungement Process
The expungement process can be complex and challenging. Thus, individuals who are considering this legal action should consult with an experienced criminal defense attorney throughout to make the best decisions for their cases.
Below is what an experienced criminal defense attorney can do for people seeking expungement:
Assess eligibility: Determine whether an individual meets the eligibility criteria for expungement.
Prepare and file the petition: Ensure that the petition is properly prepared and filed with the court.
Represent the individual in court: Advocate for their rights and interests at the court hearing.
Advise on legal options: Explore all available options, including early probation termination and community service.
Find an Experienced Criminal Defense Attorney at Goss Law
Individuals seeking to expunge a money laundering conviction in California can benefit from the expertise of the experienced criminal defense attorneys who work at Goss Law.
Our firm has proven, years-long experience in handling complex criminal cases and can provide the legal guidance and representation necessary to navigate the expungement process successfully. Contact us today for a free consultation!
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