Estimating the Extent of Money Muling: The Case of a University Campus in Nairobi, Kenya
Abstract
Money muling is not only a crime but is one of the major enablers of a 5 trillion United States Dollar (USD) criminal enterprise globally. Very little is known about money muling, yet it contributes significantly to money laundering, which is to blame for widespread terrorism, crime and proliferation financing globally. The lack of knowledge and data on this phenomenon significantly hampers efforts to measure, manage, and control money laundering and associated crimes. This study sought to assess and estimate the extent of money muling among university students at a university campus in Nairobi, Kenya, with the aim of adding to the literature and recommending tactical action. Using a sample of 121 respondents from a population of 174, the study found that there exist significant levels of money muling among respondents, with a 63% overall rate of involvement. Unwitting money muling was the most prevalent (90%), followed by complicit (44%) and witting (24%), respectively. This study also established that money muling was more prevalent among undergraduate students (93%), males (61%) and younger students aged below 40 years (93%). Consequently, several recommendations, including proposed amendments to the Proceeds of Crime and Anti-Money Laundering Act (POCAMLA) of 2009, targeted awareness and training of tertiary level students on financial crime and the need for better measurement and documentation of money laundering and crime statistics in universities and colleges ensued from the findings
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References
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