The negative effects of Money Laundering are as follows:-
(i) Infiltration of financial institutions- by organised criminal gangs.
(ii) Acquiring control of large sectors of economy- by criminals.
(iii) Increase in offering of bribes - toPublic Officials and Governments.
(iv) Threat - to the security of the Country.
(v) Wrong influence - on the Govt. orGovernment Departments.
(vi) Increase of crime and encouragement - ofillegal activities.
(vii) Abnormal and unrealistic increase - inprices of real estate, gold etc.
(viii) Negative influence - on the Youth of thecountry.
(ix) Fall - in ethical and moral standards ofthe Society.
Conclusion- Thus, the economic and political influence of criminal organizations - can weakenthe society, ethical standards and ultimately the democratic institutions ofthe Country.