Donations From Illegal Property And Money Laundering At Mosque An Appraisal

Abstract

Money laundering is defined as the proceeds of an illegal source with any act to conceal it so that it appears as if it has become a legal asset. Meanwhile, Donation may derive from proceed of legal and/or illegal properties which is an offence under Anti-Money Laundering, Anti-Terrorism Financing and Proceeds of Unlawful Activities Act 2001 (AMLA) if the sadaqah from illegal properties. This study aims to evaluate the differences and similarities between them. Then, to determine the adequacy of the mosque's financial reporting standard in reporting Donations from the proceed of illegal properties in complying with AMLA requirements. The study is purely descriptive-qualitative based on library research. First, content analysis on Donations from illegal properties will be examined from article journal, statutes and cases will be scrutinized. The findings of this study will resolve the issue of defining the nature of Donations from illegal sources and money laundering. It tries to find a solution acceptable by both syariah and civil law in disposing of the Donations from illegal property/money laundering. This study will also assist religions administrator including but not limiting mosques, judges, legal practitioners, and enforcement officers in combating money laundering in our country using religious institutions to conceal illegal money.