Amid the current crisis in Ukraine, with Russian President Vladimir Putin ignoring international concern over his invasion of the country, there is another story that is gaining traction: Former Ukrainian President Viktor Yanukovych and his son have been charged with money laundering through different shell companies across Europe.
Because of the increased scrutiny on Yanukovych and his alleged financial dealings, Members of the European Parliament (MEPs) are looking to crack down on the ability of individuals and companies to launder money in the European Union. Some have even begun working on drafting legislation that would make money laundering tougher.
One of the proposed laws would require owners of any financial institution — a company, bank, trust or other entity — to register on an official public record. This way, the companies will have provided accurate information about who is moving the money around, in an effort to keep them honest about all of their financial dealings.
The crackdown on money laundering is important after what has gone on in the Ukraine, according to Dutch Green MEP Judith Sargentini. Yanukovych, although no longer in power, has been accused of stealing billions of dollars from the country's public funds. Having a way to regulate the finances of the European Union will make laundering money illegally more difficult.
Knowing who is in control of the money is also a good way to crack down on the potential for terrorism being funded through European companies.
"A lot of large sums of money are being used through the money laundering process to aid major criminals and terrorists, not only those in Europe, but those might want to cause problems to us here in Europe from outside," said Timothy Kirkhope, a Conservative MEP from Britain.
While the Ukrainian crisis has led to an international stalemate with Russia, Europe is taking concrete actions to protect itself from potential financial problems.
