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Objectives: To combat money laundering, banks raise and review alerts on transactions that exceed confidential thresholds. However, the thresholds may be leaked to criminals, allowing them to break up large transactions into amounts under…

General Economics · Economics 2025-07-22 Rasmus Ingemann Tuffveson Jensen , Joras Ferwerda , Christian Remi Wewer

Money laundering presents a persistent challenge for financial institutions worldwide, while criminal organizations constantly evolve their tactics to bypass detection systems. Traditional anti-money laundering approaches mainly rely on…

Machine Learning · Computer Science 2026-04-06 Haseeb Tariq , Marwan Hassani

Today, money laundering poses a serious threat not only to financial institutions but also to the nation. This criminal activity is becoming more and more sophisticated and seems to have moved from the clichy of drug trafficking to…

Databases · Computer Science 2016-09-06 Nhien-An Le-Khac , Sammer Markos , Tahar Kechadi

Money laundering (ML) is the behavior to conceal the source of money achieved by illegitimate activities, and always be a fast process involving frequent and chained transactions. How can we detect ML and fraudulent activity in large scale…

Computers and Society · Computer Science 2021-03-24 Xiaobing Sun , Jiabao Zhang , Qiming Zhao , Shenghua Liu , Jinglei Chen , Ruoyu Zhuang , Huawei Shen , Xueqi Cheng

Money launderers exploit the weaknesses in detection systems by purposefully placing their ill-gotten money into multiple accounts, at different banks. That money is then layered and moved around among mule accounts to obscure the origin…

Machine Learning · Computer Science 2025-01-03 Haseeb Tariq , Marwan Hassani

Money laundering poses severe risks to global financial systems, driving the widespread adoption of machine learning for transaction monitoring. However, progress remains stifled by the lack of realistic benchmarks. Existing…

Money laundering has become one of the most relevant criminal activities in modern societies, as it causes massive financial losses for governments, banks and other institutions. Detecting such activities is among the top priorities when it…

Conventional anti-money laundering (AML) systems predominantly focus on identifying anomalous entities or transactions, flagging them for manual investigation based on statistical deviation or suspicious behavior. This paradigm, however,…

Social and Information Networks · Computer Science 2025-07-16 Danny Butvinik , Ofir Yakobi , Michal Einhorn Cohen , Elina Maliarsky

Money laundering and financial fraud remain major threats to global financial stability, costing trillions annually and challenging regulatory oversight. This paper reviews how artificial intelligence (AI) applications can modernize…

Artificial Intelligence · Computer Science 2025-12-09 Chuanhao Nie , Yunbo Liu , Chao Wang

Every year, criminals launder billions of dollars acquired from serious felonies (e.g., terrorism, drug smuggling, or human trafficking) harming countless people and economies. Cryptocurrencies, in particular, have developed as a haven for…

Machine Learning · Computer Science 2021-10-06 Joana Lorenz , Maria Inês Silva , David Aparício , João Tiago Ascensão , Pedro Bizarro

Money laundering detection faces challenges due to excessive false positives and inadequate adaptation to sophisticated multi-stage schemes that exploit modern financial networks. Graph analytics and AI are promising tools, but they…

Distributed, Parallel, and Cluster Computing · Computer Science 2026-04-15 Haojie Ye , Arjun Laxman , Yichao Yuan , Krisztian Flautner , Nishil Talati

Anti-money laundering (AML) regulations play a critical role in safeguarding financial systems, but bear high costs for institutions and drive financial exclusion for those on the socioeconomic and international margins. The advent of…

Social and Information Networks · Computer Science 2019-08-08 Mark Weber , Giacomo Domeniconi , Jie Chen , Daniel Karl I. Weidele , Claudio Bellei , Tom Robinson , Charles E. Leiserson

The complexity and interconnectivity of entities involved in money laundering demand investigative reasoning over graph-structured data. This paper explores the use of large language models (LLMs) as reasoning engines over localized…

Machine Learning · Computer Science 2026-05-12 Erfan Pirmorad

Given a stream of money transactions between accounts in a bank, how can we accurately detect money laundering agent accounts and suspected behaviors in real-time? Money laundering agents try to hide the origin of illegally obtained money…

Social and Information Networks · Computer Science 2022-01-26 Xiaobing Sun , Wenjie Feng , Shenghua Liu , Yuyang Xie , Siddharth Bhatia , Bryan Hooi , Wenhan Wang , Xueqi Cheng

Money laundering enables organized crime by moving illicit funds into the legitimate economy. Although trillions of dollars are laundered each year, detection rates remain low because launderers evade oversight, confirmed cases are rare,…

Social and Information Networks · Computer Science 2025-09-26 Johan Östman , Edvin Callisen , Anton Chen , Kristiina Ausmees , Emanuel Gårdh , Jovan Zamac , Jolanta Goldsteine , Hugo Wefer , Simon Whelan , Markus Reimegård

Money launderers take advantage of limitations in existing detection approaches by hiding their financial footprints in a deceitful manner. They manage this by replicating transaction patterns that the monitoring systems cannot easily…

Machine Learning · Computer Science 2026-04-15 Haseeb Tariq , Alen Kaja , Marwan Hassani

Money laundering is a crime that makes it possible to finance other crimes, for this reason, it is important for criminal organizations and their combat is prioritized by nations around the world. The anti-money laundering process has not…

Multiagent Systems · Computer Science 2018-01-04 Claudio Alexandre , João Balsa

Anti-money laundering (AML) actions and measurements are among the priorities of financial institutions, for which machine learning (ML) has shown to have a high potential. In this paper, we propose a comprehensive and systematic approach…

Artificial Intelligence · Computer Science 2025-09-12 Khashayar Namdar , Pin-Chien Wang , Tushar Raju , Steven Zheng , Fiona Li , Safwat Tahmin Khan

Purpose: We introduce GARG-AML, a fast and transparent graph-based method to catch `smurfing', a common money-laundering tactic. It assigns a single, easy-to-understand risk score to every account in both directed and undirected networks.…

Social and Information Networks · Computer Science 2026-04-24 Bruno Deprez , Bart Baesens , Tim Verdonck , Wouter Verbeke

Combating money laundering has become increasingly complex with the rise of cybercrime and digitalization of financial transactions. Graph-based machine learning techniques have emerged as promising tools for Anti-Money Laundering (AML)…

Cryptography and Security · Computer Science 2024-11-12 Fabrianne Effendi , Anupam Chattopadhyay