Money Laundering
On the drive home Joe talked almost constantly. Val sat silently beside him, mentally rerunning her adventure with the older man.
God, she had been so easy. He'd kissed her once and she let him fuck her. Joe had talked her into it before they ever got there and it happened. And it had been so deliciously good being bad.
They were about two miles from home when Val broke her silence, saying, "That Kimberly was something. She was certainly very sexy. Was she really a model?"
"Yeah, she is," he said, drawing out the words. He coughed, and followed with, "Yeah, nice looking too, I agree. She wants to have lunch sometime and talk about me handling her stocks and other funds. I gave her some ideas. Did you like her?"
"Did you handle any of her other assets, Joe dear?" Val asked, fighting the impulse to laugh in his face.
"Shit, Val, you know damn well I did her."
"So you take me to a party, tell me to fuck the host and go off with some... was she really a model?"
"Maybe... I don't know. So... did you and Gerry...."
Val chose to ignore him, and asked, "And you screwed Kimberly. Don't try telling me otherwise."
"You're right. Gerry gave her to me to keep me company while he was with you."
"Thanks for the honesty, Joe. It means a lot," Val said with a certain sarcasm Joe was all too familiar with. "Now tell me, what did you get from Gerry for my services?"
"I'll tell you, but it's a long story. Can it wait awhile?"
"I guess," she replied.
"So... did you and Gerry?"
"Yes, you know we did. You saw me in the window."
"That was you?"
"Come on, don't act so surprised, Joe."
"But, Val, I didn't know, I couldn't tell who it was...." he finished lamely.
"Is Gerry good in your business world, or just someone with a lot of money?"
"Gerry's very good in banking. Actually, he's one of the finest minds in the field."
"He's got a hell of a lot of expertise in bed too...I thought I'd clue you in on that aspect of his abilities while we're talking about him."
"Oh," Joe mumbled under his breath, he had thought Gerry a horny, old man, incapable of arousing his wife to any appreciable degree. He began to regret using Val to get what he wanted from Gerry.
Val sensed he had some regrets about committing her to Gerry, and decided to wait to hear just what her body had bought them materially. Still, she couldn't resist goading him a little. "I'm seeing him again one day next week," she said, her tone did not invite further comment from Joe.
"Well, I guess that's all right," he said after a moment of silence, just as they pulled into their driveway.
****
Val went straight to the shower, and later slid into bed nude and curled up next to Joe. "So, Val, still interested in what I needed to get from Gerry that was so important?"
"I certainly am," Val replied.
"It begins with Iran...well, what happened in Iran after the United States and other countries placed economic sanctions on them in 1978. This triggered a severe balance of payments pressure on them because they also had to deal with the revolution, capital flight, and by an overall decline in the exportation of oil.
"Now, stop me if I'm boring you," Joe said, looking at her to determine if he should continue or not.
"Go on. I understand this so far."
"Okay, the decline in oil accounted for almost all of their exports during the period, say, 1978 through the present. Iran responded to these pressures by imposing severe controls on capital and added a multiple exchange rate system before they caught on and began to trade oil for drugs. They developed a system for laundering the resulting monies with several Fortune 500 companies, including several prominent US oil companies.
"Have you ever heard of the parallel market?"
"No, I can't say that I have."
"Neither had I, until very recently. But parallel marketing is really an illicit form of importing certain goods or materials. Companies set different price points for their products in different markets. Parallel importers ordinarily purchase products in one country at a price, say $100.00, which is cheaper than the price at which they are sold in a second country, say $150.00. Then they sell the product in a third country at a price which is usually between $100 and $150, and the profit is the difference between the market prices.
"It's called arbitrage. But the reality is that these companies are selling their stuff to launder Columbian drug money. Any company with a high priced product: oil, booze, cigarettes... anything along those lines, can contact the drug lords in Medellin and cut a deal."
"Jesus Christ!" Val blurted. "I see it! Maybe I ... you better explain it some more."
"Okay," Joe said, warming up to the subject now that his wife was obviously interested. "Let's just say that Carlos in Columbia has ten million sitting around in Miami that requires laundering. There are a lot of factors involved, but I'll try to keep it short and sweet."
"I like the sweet part, baby," Val cooed and squeezed his cock.
"Mmmm, nice, but better let me finish."
"Sorry, go ahead, baby."
"The key thing is they want the money to wind up in Columbia with them, understand?"
"No, not really."
"Well, there are a bunch of foreign trade companies that do this on a daily basis. They operate in the duty free zones all over the world. They've been doing this stuff for years already."
"And no one's bitched about it?"
"Very few people have the slightest idea it's going on."
"Jesus, talk about keeping a secret."
"It's in their best interest to keep it quiet. It's not that very powerful people don't know about it. It's exactly the opposite. Powerful people are in on it, and want to keep it going. They'll do almost anything to keep it going, understand?"
Val nodded her head vigorously.
"Anyway, let's say we have ten million dollars, right? What are we gonna buy, oil, cigarettes, or booze? They're the main commodities, although there are many others. Let's say booze. So a company that produces Scotch is contacted. We buy ten million dollars worth of Scotch. Well, not actually; some commissions come out of it, so it's approximately 10 million. Okay?"
"Wow."
"Arrangements are made to deliver the Scotch to a duty-free zone. We're discussing laundering drug money, so the zone would most likely be located in the Caribbean because of the proximity to Columbia. There is still some smuggling going to take place, but that entails almost no risk. Usually they pick an isolated town near the Columbian border. So they buy the Scotch with drug money and use the duty-free company as sort of a middleman. When everyone involved agrees on their cut, the ten million is handed over to the carrier who delivers it to a friendly bank. That's me.
"I deposit it, then wire it to one or two other US banks, thereby wiping out the paper trail. Next, I wire it to a bank in the Cayman Islands where it's held and earmarked for the scotch company to pay for the Scotch when it arrives in Columbia. What makes this deal especially sweet for the Scotch maker is that there are little if any taxes paid for their product. They simply sell it to the druggies for the retail price, with taxes added on.
"The druggies don't care so much; I mean, they may lose about thirty percent off the top, but can claim they're legitimate booze brokers and not worry about being prosecuted by law enforcement agencies."
"So where do you come in?"
"Gerry is putting me in touch with a couple people who will introduce me to the necessary contacts to the big companies and a drug lord or two."
"You're not getting involved in drugs, are you?" Val said, suddenly alarmed.
"Ah, no, and that's the sheer beauty of parallel marketing. When the druggies receive the booze, all I do is pick up their money from a Cayman bank and wire it to the Scotch company. For this little service the duty-free zone takes three percent. Me? I rake in 18%, or close to two million; and there is no record of the deal taking place."
"Jesus Christ, that's incredible!"
"You bet it is. Now do you understand why I agreed to... as you put it, 'give you to Gerry?' Do you forgive me?"
"Yes, I forgive you. I would have done the same under the circumstances. Tell me something else."
"What?"
"Was that hooker, Kimberly, a good lay?"
"She was, but then not nearly as good as you are."
"You're just saying that."
"No. I mean it. You're a great lay... the best I've ever had."