In turn, this was followed by the: Central Bank of Nigeria (CBN) Anti-Money Laundering Compliance Manual, guidelines from Economic and Financial Crimes Commission (EFCC, 2003), Independent Corrupt Practises Commission (ICPC, 2000), setting out take the role of implementation and supervision.
Laundering money in Nigeria had worsened in recent times, covering the image of decent and hardworking people in the country.
With reference to (Robinson in Steel, 2006), he says money laundering is said to be what it is because it shows how illegal and dirty monies are put through a cycle of transactions and washed, so it could come out as clean/legal money.
In other words, ‘the source of illegally obtained funds is obscured through a succession of transfers and deals that those same funds can eventually be made to appear as legitimate income'.
The legislation of Money laundering varies in different countries, in the UK for example, it is governed by four Acts of primary legislation which are: The Terrorism Act 2000, The Anti-Terrorism Crime and Security Act 2001, The Proceeds of Crime Act 2002 and Serious Organised Crime and Police Act 2005 whilst the secondary legislation is provided in the Money Laundering Regulations 2007.
Due to the wide range of how criminals take advantage of the different national authorities and international restrictions, bringing about cooperation between enforcement agencies, financial institutions and competent authorities is very significant.
He stated that the Nigerian system is dominated by criminals who in past years were influenced by international traders who could not operate due to the foreign exchange control measures and the inspection in customs, resulting in traders based in Nigeria operating businesses offshore.
Nigeria's historical record of exploitation goes as far back as when her people where used as slaves under British colony and as an independent and a sovereign country experiencing transition from a military dictatorship to a democratic form of government, after over 16 years of military rule.
Silkscreen (1994) and Steel (2006) claimed that it all started from mafia ownership of Laundromats in the United States where they needed to prove the genuine source for their monies, as they earned their cash from extortion, prostitution, gambling and bootleg liquor.
With its developments in recent past and over the next four millennia, the principles of money laundering have still not changed, but the mechanisms have.