Unlicensed Money Transmitting Calculator
Calculate sentencing for operating unlicensed money transmitting business under 18 USC §1960.
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Unlicensed Money Transmitting – What You Need to Know
If you’re facing white collar or organized crime charges in federal court, here’s what you need to understand: the government has likely been investigating for years before bringing charges. Calculate sentencing for operating unlicensed money transmitting business under 18 USC §1960.
These cases are prosecuted by specialized units within the U.S. Attorney’s Office – Public Corruption, Complex Fraud, or Organized Crime – and they bring significant resources to bear. Wiretaps, cooperating witnesses, forensic accounting, electronic surveillance. By the time you know about the investigation, the government has already built a substantial case. That’s the reality. But it doesn’t mean there aren’t defenses, and it doesn’t mean the outcome is predetermined.
How These Cases Are Sentenced
The guideline calculations in white collar and organized crime cases vary significantly depending on the specific offense. Bribery and corruption cases under §2C1.1 use the value of the bribe as the primary driver. RICO cases under §2E1.1 use the offense level for the underlying racketeering activity. Obstruction cases under §2J1.2 start at a base level of 14 with enhancements for the severity and extent of the obstruction.
Forfeiture is a critical component that many defendants underestimate. Under federal law, the government can seek forfeiture of all property derived from or used to facilitate the offense – real estate, bank accounts, vehicles, business interests. Forfeiture is mandatory for most organized crime and corruption convictions, and it can devastate defendants and their families financially. Addressing forfeiture from day one is essential.
For public corruption cases, the Supreme Court’s decision in McDonnell v. United States (2016) narrowed the definition of “official act” – creating real defenses for conduct that prosecutors previously charged routinely. If you’re facing corruption charges, this decision could be directly relevant to your case.
What Most People Don’t Realize About Unlicensed Money Transmitting
Most people underestimate the forfeiture exposure in these cases. Defense attorneys who focus exclusively on prison time may fail to protect assets that could be preserved through third-party claims, innocent-owner defenses, or negotiated forfeiture agreements. At our law firm, we address forfeiture in parallel with the criminal defense from the very beginning – because once assets are seized, getting them back is exponentially harder.
Another common mistake is failing to engage a forensic accountant early in the case. The government’s financial analysis forms the basis for the loss calculation, the bribery value, or the forfeiture amount – and these numbers are frequently inflated. You need your own expert to develop alternative numbers that are more favorable and equally defensible.
Why You Need the Right Federal Defense Attorney
White collar and organized crime cases require attorneys who can handle multiple tracks simultaneously – criminal defense, forfeiture defense, and often regulatory or professional licensing defense. These are complex cases with enormous consequences, and they demand experienced, specialized representation.
At Federal Lawyers, we have extensive experience defending clients against corruption, RICO, fraud, obstruction, and other white collar charges. We understand how these investigations work, how to challenge the government’s evidence, and how to protect our clients’ assets and professional reputations. If you’re facing these types of charges, you need a law firm that gets it – and has the resources to fight back.
Get Help Now – Risk Free Consultation
If you’re dealing with a situation involving unlicensed money transmitting, you need an attorney who gets it – and has experience handling these exact types of cases. At Federal Lawyers, our criminal defense attorneys have over 50 years of combined experience handling federal cases nationwide. We’ve handled some of the toughest cases in the country, and we’re not afraid to fight for the best possible outcome.
When you reach out to our law firm, the process begins with a risk-free consultation. You can ask us anything, regardless of how long it takes. We are available 24/7 to help you. Call us at (212) 300-5196 – your first consultation is free, and completely confidential.
Disclaimer: This calculator provides estimates based on the United States Sentencing Guidelines. It does not constitute legal advice. Federal sentencing involves many factors not captured here – including judicial discretion, cooperation agreements, and individual case circumstances. Always consult with a qualified federal criminal defense attorney.
Frequently Asked Questions
What does 18 U.S.C. §1960 require for unlicensed money transmitting business prosecutions?
Section 1960 criminalizes operating a money transmitting business (MTB) without the required state license or FinCEN registration, or transmitting funds known to derive from criminal activity. The government must prove the defendant operated an MTB as defined by 31 U.S.C. §5330 and failed to register or obtain state licensure. Critically, §1960(b)(1)(A) (operating without state license) does not require knowledge of the licensing requirement—it is effectively a strict liability offense regarding the regulatory obligation. USSG §2S1.3 applies with a base level of 6. Maximum penalty is 5 years. Defense counsel should challenge whether the defendant's activity constitutes "money transmission" under FinCEN's regulatory definition, particularly in the evolving cryptocurrency space.
How does FinCEN's guidance on virtual currency apply to §1960 prosecutions?
FinCEN's 2013 and 2019 guidance clarified that exchangers and administrators of convertible virtual currency are money transmitters subject to BSA registration. In United States v. Faiella (S.D.N.Y. 2014), the court held that Bitcoin exchanges constitute money transmitting businesses under §1960. Peer-to-peer traders who exchange cryptocurrency for fiat currency on a regular basis have been prosecuted even at relatively small volumes. However, persons who use cryptocurrency solely for purchasing goods or services are "users," not transmitters. Defense counsel should argue that the defendant was a user or investor, not a business, and challenge whether occasional personal transactions constitute "operating" a money transmitting business under the statute.
