Acsar
PDF

The nexus between money laundering and corruption

Vol. 1 No. 1 (2026): Anti-Corruption Studies and Research

Published 2026-06-30

Authors
  • Richard Joyce
Richard Joyce
Regional Dialogue
DOI link:
https://doi.org/10.71559/ACSAR.1.1.2026.37

Abstract

This article explores the intertwined dynamics of money laundering and corruption, examining how these two forms of financial crime are not only related but often mutually reinforcing. The study addresses a critical gap in the literature by analyzing the relationship between laundering mechanisms and corrupt practices within a transnational context, where illicit financial flows often cross borders and exploit systemic regulatory weaknesses. The research aims to deepen understanding of how laundering serves as both a consequence and enabler of corruption, undermining governance, transparency, and the rule of law. The findings reveal that money laundering and corruption operate in a feedback loop: illicit wealth derived from corruption is laundered through complex financial systems, while the laundering process itself relies on corrupt networks to avoid detection and enforcement. In examining these cases, the article also identifies international best practices that have proven effective in disrupting this cycle, such as beneficial ownership transparency, cross-border data sharing, and targeted enforcement. The conclusions emphasize that effective anti-money laundering (AML) efforts must be integrated with broader anti-corruption strategies to be impactful. The study offers insights for both policymakers and scholars, underscoring the need for more coordinated global responses and recommending further empirical research into emerging laundering methods, including those involving digital finance and offshore service providers.

Keywords

  • Money laundering,
  • corruption,
  • illicit financial flows

How to Cite

Joyce, R. (2026). The nexus between money laundering and corruption. Anti-Corruption Studies and Research, 1(1), 120-139. https://doi.org/10.71559/ACSAR.1.1.2026.37

References

  1. Dinika, A. (n.d.). Angola and the Isabel Dos Santos web | Good Governance Africa. https://gga.org/angola-and-the-isabel-dos-santos-web/
  2. FATF. (n.d.). Corruption. https://www.fatf-gafi.org/. https://www.fatf-gafi.org/en/topics/corruption.html#:~:text=Corruption%20and%20money%20laundering%20are,were%20generated%20from%20criminal%20activity
  3. FATF. (2018). Professional Money Laundering. https://www.fatf-gafi.org/content/dam/fatf-gafi/reports/Professional-Money-Laundering.pdf
  4. Garcia, M. N. & Federal Prosecution Service. (2017). The Brazilian experience in fighting corruption through leniency programs and plea agreements. In https://www.unodc.org/. https://www.unodc.org/documents/treaties/UNCAC/COSP/session7/SpecialEvents/Apresentacao_CoSP_2017_Dra.Monica.pdf
  5. ICIJ Offshore Leaks Database | Bellingcat’s online investigation toolkit. (n.d.-b). Bellingcat’s Online Investigation Toolkit. https://bellingcat.gitbook.io/toolkit/more/all-tools/icij-offshore-leaks-database
  6. Immunities and Criminal Proceedings (Equatorial Guinea v. France). (n.d.). : https://sherloc.unodc.org/cld/en/case-law-doc/corruptioncrimetype/_irb/2018/immunities_and_criminal_proceedings_equatorial_guinea_v._france.html
  7. Jacopo, C. (2022). The nexus between corruption and money laundering: deconstructing the Toledo-Odebrecht network in Peru. Trends in Organized Crime, 27(3), 342–363. https://doi.org/10.1007/s12117-021-09439-6
  8. Justice Department Recovers Over $53M in Profits Obtained from. (2025, February 6). https://www.justice.gov/archives/opa/pr/justice-department-recovers-over-53m-profits-obtained-corruption-nigerian-oil-industry
  9. Ige, I. & UNODC. (n.d.). Abacha and the Bankers: Cracking the Conspiracy. https://www.unodc.org/documents/treaties/publications/abacha_bankers.pdf
  10. IMF. (n.d.). Overview. https://www.imf.org/. https://www.imf.org/en/topics/financial-integrity/amlcft
  11. Kalonji, A. B. C. &. B. D. I. F. (n.d.). Glencore, Gertler and the Congo. 2026. https://www.publiceye.ch/en/topics/commodities/rohma/when-commodity-traders-get-caught/glencore-gertler-and-the-congo
  12. Learn about UNCAC. (n.d.). United Nations : Office on Drugs and Crime. https://www.unodc.org/corruption/en/uncac/learn-about-uncac.html
  13. Member countries. (n.d.). World Bank. https://www.worldbank.org/en/about/leadership/members
  14. OECD. (n.d.). Working Group on Bribery. https://www.oecd.org/en/about/committees/working-group-on-bribery.html#:~:text=Membership,Bribery%20is%20Kathleen%20Roussel.
  15. Stolen Asset Recovery Initiative. (n.d.). Our Work. https://star.worldbank.org/our-work
  16. Stolen Asset Recovery Initiative. (2025, September 26). Corruption and bribery in connection with steel trading (Abacha case) (Liechtenstein chapter). https://star.worldbank.org/asset-recovery-watch-database/corruption-and-bribery-connection-steel-trading-abacha-case
  17. The World Bank. (n.d.). Key Findings. In https://thedocs.worldbank.org/. https://thedocs.worldbank.org/en/doc/7c59be03efa5db6a571162b03a2ef59f-0260012014/original/9789264226616-en.pdf#:~:text=,and%20information%20and
  18. About the UNCAC - UNCAC coalition. (2025, December 8). UNCAC Coalition. https://uncaccoalition.org/the-uncac/about-the-uncac/#:~:text=About%20the%20UNCAC%20The%20UN,laundering%20%28Article%2014
  19. United States House of Representatives Committee on Financial Services. (2024, May 8). N/A. https://democrats-financialservices.house.gov/uploadedfiles/050724-cmw_nigeria_ltr.pdf
  20. UNODC. (n.d.). 1Malaysia Development Berhad (1MDB) Scandal MALAYSIAN ANTI-CORRUPTION COMMISSION (MACC). In https://www.unodc.org/. https://www.unodc.org/documents/corruption/LimaEGM2018/Presentations/1MDB_Scandal_-_Shukri_Abdull.pdf
  21. UNODC around the world. (n.d.). United Nations : Office on Drugs and Crime. https://www.unodc.org/unodc/en/field-offices.html#:~:text=The%20UNODC%20field%20office%20network,Libya

Copyright (c) 2026 Richard Joyce (Author)

Creative Commons License

This work is licensed under a Creative Commons Attribution 4.0 International License.