CRITICISM LESSON PLAN

School - Online Teaching Subject -Economics Class –XII

Period-second Branch -Macro Economics Duration - 30 min
Topic -
Q1. Which factor mainly affected Indian
economy?
A1. --------------------------------------------------
Q1. Which factor mainly affected Indian
economy?

A1. Corruption factor mainly affected

Indian economy.
Q1. Which factor mainly affected Indian
economy?
A1. Corruption factor mainly affected Indian
economy?

Q2. What does generated

------------------------------------------------- from
corruption?
A2. ---------------------------------------------
Q1. Which factor mainly affected Indian
economy?
A1. Corruption factor mainly affected Indian
economy.
Q2. What does generated from corruption?

A2. Black money generated from

corruption.
Q1. Which factor mainly affected Indian economy?
A1. Corruption factor mainly affected Indian
economy.
Q2. What does generated from corruption?
A2. Black money generated from corruption.

Q3. What is the process by which black money

converted into white money?
A3.---------------------------------------------------
Q1. What are the ways of
generating money?

Q2. What do you understand

by black money?
 Money laundering
•The word “laundry "literally
means “cleaning”

•Metaphorically, Money
laundering refers to
“cleaning on money.
 Money laundering

“Any financial transaction which generates

an asset or a value as the result of an
illegal act.”
Money laundering is the practice of
engaging in financial transactions in order
to conceal the identity, source, and/or
destination of money, and is a main
operation of the underground economy.
According to Swiss Bank
 History/Background
• Money laundering as a crime only
attracted interest in the 1980s,
essentially within a drug trafficking
context. Money laundering method have
become more creative since the 1989and
1993.
 Cont..
• Terrorist financing, although only one aspect
of money laundering, has become a critical
concern following the events of September
11, 2001.
• The international dimension of money
laundering was evident in a study of Canadian
money laundering police files. They revealed
that over 80 per cent of all laundering
schemes had an international dimension.
 Money laundering includes
1. Drug Trafficking
2. Extortion
3. Corruption
4. Fraud
Q1. What do you
understand by
money laundering?
Q2.How Money
laundering affected
nations economy?
Q1.What do you mean by Drug
Trafficking?

Q2. What individuals do to hide

the origin of money generated ?
 Stages in Money Laundering
1. Placement: Obtaining the money or
introducing it into the financial system in some
way
2. Layering: Transferring or concealing the
source of the money through complex or
multiple transactions
3. Integration: Returning the money back into
the financial world so that it appears legitimate.
 Stages in Money launderings

Placement

Money
launderings
stages
Integration Layering
 Placement
• Placement refers to the physical disposal of bulk
cash proceeds derived from illegal activity. This is
the first step of the money-laundering process
and the ultimate aim of this phase is to remove
the cash from the location of acquisition so as to
avoid detection from the authorities.
• This is achieved by investing criminal money into
the legal financial system by opening up a bank
account in the name of unknown individuals or
organizations and depositing the money in that
account.
 Layering
Layering is the movement of funds from
institution to hide their origin. It consists of
putting funds, which have entered the financial
system, through series of financial operations to
mislead potential investigators and to give the
funds the appearance of having legal origins.
 Integration
Integration refers to the reinsertion of the laundered
proceeds back into the economy in such a way that
they re-enter the financial system as normal business
funds. The funds may be reintroduced in the economy
through, for instance, the purchase of luxury items or
through investment in assets such as shares in a
company or real estate.
Q1.Which one is not
a money laundering
stage

A)Placement
B)Layering
C)Integration
D)Staffing
Q2.Which one is the
second stage of money
laundering?
 Recaptualisation
Fill in the blanks
Q1. Placement ,_______& Integration stages of
money laundering.

Q2. _________ refers to the physical disposal of

bulk cash proceeds derived from illegal activity.

Q3. The series of financial operations to mislead

potential investigators done in _________stage
of money laundering.
 TRUE/ FALASE

A. Money laundering is helpful in

national development.

B. In Placement stage re-enter the

financial system as normal business
funds done.
Q:- Write down the
concept of money
laundering.