I spy money – no you don't!

Intelligence agencies are, by definition, secretive. So, too, are their budgets and how they finance covert activity, especially in foreign jurisdictions and where they carry out so-called ‘black ops’. If spies use techniques to quietly transfer funds that resemble the practices of organised crime or terrorist groups, there is one major difference, writes Paul Cochrane: the sometimes tacit cooperation between government agencies and the financial sector.

Espionage accounts

Nailing down proof of collaboration between government and financial institutions is not easy. In researching this piece, MLB was not, alas, granted access to the accounting books of the world’s intelligence agencies, so it is based on informed sources and research. Interestingly, of the anti-money laundering (AML), financial crime, compliance officers and other experts contacted, the vast majority were surprised by the topic itself and not able to comment. “Exotic”, the article was called by a few, while, in conversation with others, the words ‘Hollywood’ and ‘James Bond’ cropped up. Some, intrigued, speculated as to how spies could be financed but thought that money laundering was not involved. Others did not return requests for interviews despite initial interest. One reply was revealing, stating the article was “inappropriate”…