Andrew Schulz's Flagrant with Akaash Singh
Andrew Schulz's Flagrant with Akaash Singh
"Money laundering is a way to make that money clean to show that it came from a clean business source in some sense of the world." — Jason Goldman
"Money laundering is not illegal because you're circumventing the government from getting their cut. That's tax evasion. Money laundering is illegal because they don't want you to profit off of doing something illegal such as selling drugs in the United States." — Jason Goldman
"It's all about your tax paying money hit them with their pockets, right? Just think about just think about the subway turnstile case. It'll stick with me forever." — Andrew
This episode features an in-depth discussion on money laundering and criminal defense with Jason Goldman, a criminal defense attorney. Goldman breaks down money laundering into its fundamental purpose: disguising the origins of "dirty" money from illegal activities to appear as legitimate income. He explains that while simple businesses like lemonade stands or nail salons might not generate enough income to warrant scrutiny from tax authorities, large sums from narcotics or other illegal enterprises require a process to integrate them into the legal economy. This is necessary because any significant purchase made with untraceable cash would raise red flags with entities like the IRS.
The conversation explores various methods of money laundering, with casinos being highlighted as a prime example due to their cash-intensive nature and ability to generate high reported revenue. Other methods discussed include the use of shell companies to obscure ownership, inflating business expenses to reduce reported profits, and the practice of under-reporting revenue in legitimate businesses like restaurants or nail salons. Goldman clarifies that the illegality of money laundering stems from profiting from illegal activities, distinguishing it from tax evasion, which is about circumventing tax payments. He also touches upon the use of offshore accounts and cryptocurrency as potential tools in these schemes, though emphasizing the increasing difficulty in concealing illicit activities due to technological advancements and stricter regulations.
A significant portion of the discussion revolves around the role of criminal defense attorneys, with Goldman sharing his personal journey from prosecutor to defense counsel. He recounts his experience defending high-profile cases, including El Chapo's legal team, and addresses the common perception of defending individuals accused of serious crimes. Goldman articulates his belief that the justice system can sometimes overreach, and his work as a defense attorney is to ensure individuals receive a fair trial. He also shares a personal anecdote about defending a client in a case involving an underage individual, illustrating how complex factual circumstances and potential entrapment can be crucial in defense strategies, and how his role is to understand the deeper causes behind alleged criminal behavior, often finding more nuance than the initial public perception suggests.