Report reveals widespread laundering of Amazon crime profits through US
Environmental crimes in the Amazon—often associated with deforestation, illegal mining, and wildlife trafficking—are largely financed through U.S.-linked shell companies and lax regulatory frameworks, a new report reveals.
Aimee Gabay reports for Mongabay.
In short:
- A FACT Coalition report found that 76% of Amazon-region environmental crimes used shell or front companies to launder profits, often in foreign countries, especially the U.S.
- Only one-third of cases analyzed included financial investigations, limiting the ability to target high-level criminals responsible for environmental destruction.
- The report suggests implementing the U.S. Corporate Transparency Act could help close significant loopholes exploited for laundering Amazon crime profits.
Key quote:
“When it comes to environmental crimes that are committed in countries in the Amazon region, many cases are discovered accidentally.”
— Julia Yansura, program director for environmental crime and illicit finance at the FACT Coalition
Why this matters:
Illegal activities in the Amazon harm local communities, disrupt biodiversity, and contribute to global environmental challenges. Weak anti-laundering oversight facilitates these crimes, allowing bad actors to profit and evade accountability. Strengthening financial transparency and investigative practices could mitigate these damaging cycles.
