Last week, the Netherlands Labour Authority's Investigation Service arrested a woman on suspicion of laundering care funds through her sole proprietorship in 2023 and 2024. Instead of actually providing care to clients, the suspect is believed to have used part of the care funds for other purposes, including private expenses.
The Investigation Service launched the investigation following a report from the Financial Intelligence Unit (FIU). The FIU had flagged several unusual transactions in the suspect's sole proprietorship bank accounts as suspicious.
FIU
An FIU report is a mandatory response to an unusual transaction under the Money Laundering and Terrorist Financing (Prevention) Act. Such reports are made by financial institutions and intended to help identify and combat criminal flows of money.
Low care and labour costs
In 2023 and 2024, the suspect is believed to have received more than € 2 million in care funds through her sole proprietorship's bank account. Examination of the sole proprietorship's accounting records suggests that around 50 percent of the care funds received, more than € 1 million, does not appear to have been spent on care- and labour-related costs. That proportion is unusual for a labour-intensive business such as a care provider.
Money laundering
Investigators from the Investigation Service then examined what the money had been spent on. This gave rise to suspicion that the care funds had been laundered by withdrawing cash, transferring money to the suspect's private bank accounts and/or making transfers described as loans. The care funds are also believed to have been used to purchase a car and other luxury goods.
The Investigation Service's investigation is led by the Public Prosecution Service's National Public Prosecutor's Office for Serious Fraud, Environmental Crime and Asset Confiscation.
