Illinois Money Laundering Laws

Created by FindLaw's team of legal writers and editors | Last reviewed January 17, 2018

Money laundering may seem like a complex law that's used to prosecute drug kingpins and gangsters. However, if you make money in an illegal manner, such as selling bootleg movies or through illegal gambling, you break the law each time you spend that money.

Money laundering is simply the act of taking illegally obtained money and making it appear as if it was from a legitimate source. As you'll soon learn, Illinois has tough laws prohibiting money laundering.

Elements of Money Laundering in Illinois

Money Laundering is a complex and fact-specific crime. State prosecutors need to prove each element of the government's case beyond a reasonable doubt for a conviction. A person violates Illinois' money laundering law in the following manner:

They make or try to make a financial transaction, such as buying a TV, paying a phone bill, or depositing the money in a bank account;
For this transaction, they use or attempt to use money that they know is from criminally derived origins; and
At the time, the defendant knew the transaction was designed in part to conceal the source of the criminally derived property.

Different Degrees of Money Laundering Charges

In Illinois, laundering money is always considered a felony. Penalties can include hefty fines of up to $25,000 and prison sentences between two and 15 years. The greater the value of the money involved, the more severe the punishment. The government can also seize your property in forfeiture to make up for the cash that was laundered.

Common Money Laundering Defense

A money laundering conviction requires solid evidence that the defendant intended to commit a crime and understood the outcome of their actions. For example, if the defendant was an accountant and is accused of investing illegal funds, it could be argued that the defendant didn't know the money was from an illegal source and had no intent to conceal illegally obtained money. The following are a few common strategies for a legal defense in money laundering cases:

Lack of criminal intent
Duress, being forced to commit the crime
Mistake
No evidence that money was derived from a crime

Overview of Illinois Money Laundering Laws

Below you will find key provisions of Illinois's money laundering laws.

Illinois Statute

Illinois Penal Code § 720-5-29b-1 Money Laundering

Money Laundering Penalties

Value up to $10,000:

Class 3 felony
Punishable by a up to 2 to 5 years in prison

More than $10,000 up to $100,000:

Class 2 felony
Punishable by 3 to 7 years in prison

More than $100,000 up to $500,000:

Class 1 felony
Punishable by 4 to 15 years in prison

Value is more than $500,000:

Class 1 non-probationable felony
Punishable by 4 to 15 years in prison

Note: State laws are always subject to change through the passage of new legislation, rulings in the higher courts (including federal decisions), ballot initiatives, and other means. While we strive to provide the most current information available, please consult an attorney or conduct your own legal research to verify the state law(s) you are researching.