Informal Value Transfer Systems and Criminal Organizations; A Study into So-Called Underground Banking Networks

Coalitions of reciprocity and the maintenance of financial integrity within informal value transmission systems: The operational dynamics of contemporary hawala networks

“…Prior to the passage of the Patriot Act, the only extended empirical study of the actual operation of IVTS networks was carried out by Nikos Passas on behalf of the Dutch Ministry of Justice. 10 But despite having been briefed to explore the extent to which IVTS networks were being used as vehicles for money laundering, Passas's conclusions were strikingly cautious: 'The material reviewed for this study suggests that IVTS do not represent a money laundering or crime threat in ways different from conventional banking or other legitimate institutions. While criminal entrepreneurs do make use of IVTS, it appears that the amounts involved represent a rather small part of the dirty money in circulation.…”

Management, Control and Governance of Hawala Networks in the Gulf Cooperation Council Region

“…A review of the existing research in the area of HNets reveals that most of the research has focused on defining what HNets do and describing the general mechanics of how money is transferred through the system (e.g., Ballard, 2003;El-Qorchi, Maimbo, & Wilson, 2003;Maimbo, 2003;Passas, 1999;2006;Schramm & Taube, 2002;Wilson, 2002). The current research on Hawala provides basic information on how the network operates and how the linkages among network members function (Ballard, 2005a); but leaves a number of important questions unanswered such as how these informal networks are governed, coordinated or how controls are established and exercised.…”

Brokerage in Cross-Border Mobility: Social Mechanisms and the (Re)Production of Social Inequalities

“…The transfer involves brokers such as an individual in Manchester, businesspeople in Dubai and intermediaries in Pakistan. Such informal practices, however, can also result in unintended negative consequences for migrants (Passas, 1994). This becomes visible, for example, when little information is available on the security of transfers organized by private individuals.…”