moneymules

Moneymules are individuals who facilitate movement of money for others, often in the context of financial crime. They act as intermediaries, receiving funds into their own bank accounts and then transferring them to other destinations, sometimes after withdrawing cash or converting to other instruments, to obscure the funds' origin.

Recruitment and operation: Fraudsters and scammers recruit online through fake job postings, social media, romance scams, or business email compromise. A mule might be asked to open a bank account or use an existing one, receive funds from victims or other criminals, and then send or transfer the money to someone else, or to cash out. Some products involve digital wallets or gift cards. They typically work under time pressure and with deception, and may be unaware of the criminal nature of the funds.

Legal risk and regulation: In many countries, knowingly participating in moving illicit funds is illegal under money laundering or related statutes. Some jurisdictions apply liability for willful blindness or gross negligence; even where a person believes funds are legitimate, institutions and authorities may take steps against the mule. Banks monitor transactions and may freeze or close accounts believed to be involved in money mule activity.

Impact and prevention: People recruited as mules can face criminal charges, civil liability, and damage to their financial records and future prospects. Public awareness campaigns, financial education, and vigilant account monitoring aim to reduce recruitment. Individuals are advised to ignore suspicious job offers and report scams.