The Special Organised Crime Unit (SOCU) appears to have unearthed a very interesting money laundering case involving three members of a Herstelling Family. From all indications, they were using their business to allegedly launder money for Chinese companies. The family tried to escape to the United States but were apprehended by police.
According to the Head of SOCU, Assistant Commissioner Fazil Karimbaksh, the parents, along with their son, conducted multiple suspicious transactions at several financial institutions in Guyana, raising concerns that they may be involved in money laundering activities.
He noted that SOCU became suspicious, after a large number of unsubstantiated cash deposits were being made via Kenneth Ramnarine’s business accounts, through his business, Ken’s Trading Enterprise.
The source of funds declarations submitted to several commercial banks show that most of the deposits were attributed to sales proceeds from biodegradable food boxes sold to local businesses, particularly Chinese restaurants.
The Head of SOCU claimed that a substantial number of wire transfers, amounting to over GY$3.7 Billion were sent to 22 companies in China under the pretext of importing raw materials to produce biodegradable products, while other sums were disguised locally totalling over $4.1 Billion.
Karimbaksh said SOCU’s investigators did not find any legitimate source of these funds. He said the actions suggested that the family may be operating as nominees for some Chinese businesses and also facilitating tax evasion through Ken’s Trading Enterprise.
“The team of investigators, which comprised several senior officers, contacted several prominent businesses in Georgetown during the course of the investigations, which commenced in August 2020, whom the accused listed on their source of fund declaration forms, and these businesses vehemently denied doing such large transactions with them,” the SOCU Head said.
As a result, SOCU conducted several covert and overt investigations and operations, monitoring the suspects and their lifestyles until enough evidence was collected beyond a reasonable doubt.
Thus far, 268 charges have been laid against the trio. More are reportedly pending.
