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I don’t understand the scheme you are describing. If you have a hotel/bar and you falsely inflate the customer income then you are done. The previously illegiti

I don’t understand the scheme you are describing. If you have a hotel/bar and you falsely inflate the customer income then you are done. The previously illegitimate cash is now legitimate. Why would you want to complicate it more with the fake rennovation works? Especially when a hotel is so much easier. You can just put fake guests on the book. (Or report longer stays for your real guests.) With the renovation business you have to somehow cook up bills for the “new” materials and the workforce. So many more things the authorities could check there and thus so many more chances to slip up and get caught.

defrost 2y ago
Without getting into the nitty gritty of trace back forensic accounting the added layer is akin to why people use proxy relay's in networking, diffusing cash outwards through layered shell companies makes the origin point(s) less visibly "hot". The ideal here is to have many injection points that can be inflated to a degree that doesn't quite raise suspicion .. and fewer collection filters (fake plumbing businesses, etc) that each 'charge' several injection points for non existant work and pool money that's invoiced and trackable (from hotel to plumber). Also, as noted by SilasX in a peer comment the books for the fake work can include higher than normal payments for "supplies" to cartel owned suppliers .. yet another (fake but) documented trail to explain income and profits. As the pooled money grows larger it's increasingly better documented. It's literally a full time occupation to generate a mountainous pyramid of a paper trail to "explain" a million or so a week.
- thaumasiotes 2y ago
  > The ideal here is to have many injection points that can be inflated to a degree that doesn't quite raise suspicion .. and fewer collection filters (fake plumbing businesses, etc) that each 'charge' several injection points for non existant work and pool money that's invoiced and trackable (from hotel to plumber). You might note that this scheme doesn't involve you owning the hotel to any degree. You only need to own the plumbing business. That's the opposite of the situation on the show.
  - defrost 2y ago
    Control of the hotel is required - that's the cash business that fabricates fake customers and orders non existent repair and upgrade work. The work is billed by fake (or better, partially fake) contractors who do no work but charge for time, labor and supplies. It's a funnel with many cash casual customer locations inflate their intake and spend the excess on illusionary busywork "performed" by the next tier in the pyramid. The entire paper tiger is controlled by the same entity .. who likely firewall and partition sections away (eg: the part that Marty did in Ozark (I read the synopsis) would be the cash flow in and a good number of lower level shell companies that he indirectly controlled) from each other and only are connected in a legal way to the upper layers that have documentation for their inputs from below.
    - thaumasiotes 2y ago
      Control of the hotel is required in a sense. Ownership isn't. It's actually much better for you if you come to an informal agreement with the owner of the hotel than if you take a legal ownership stake.
dgfitz 2y ago
Nah I get it. If 100% of a hotel clientele only ever pays in cash, are you really any better off?

defrost 2y ago

Without getting into the nitty gritty of trace back forensic accounting the added layer is akin to why people use proxy relay's in networking, diffusing cash outwards through layered shell companies makes the origin point(s) less visibly "hot". The ideal here is to have many injection points that can be inflated to a degree that doesn't quite raise suspicion .. and fewer collection filters (fake plumbing businesses, etc) that each 'charge' several injection points for non existant work and pool money that's invoiced and trackable (from hotel to plumber). Also, as noted by SilasX in a peer comment the books for the fake work can include higher than normal payments for "supplies" to cartel owned suppliers .. yet another (fake but) documented trail to explain income and profits. As the pooled money grows larger it's increasingly better documented. It's literally a full time occupation to generate a mountainous pyramid of a paper trail to "explain" a million or so a week.

thaumasiotes 2y ago
> The ideal here is to have many injection points that can be inflated to a degree that doesn't quite raise suspicion .. and fewer collection filters (fake plumbing businesses, etc) that each 'charge' several injection points for non existant work and pool money that's invoiced and trackable (from hotel to plumber). You might note that this scheme doesn't involve you owning the hotel to any degree. You only need to own the plumbing business. That's the opposite of the situation on the show.
- defrost 2y ago
  Control of the hotel is required - that's the cash business that fabricates fake customers and orders non existent repair and upgrade work. The work is billed by fake (or better, partially fake) contractors who do no work but charge for time, labor and supplies. It's a funnel with many cash casual customer locations inflate their intake and spend the excess on illusionary busywork "performed" by the next tier in the pyramid. The entire paper tiger is controlled by the same entity .. who likely firewall and partition sections away (eg: the part that Marty did in Ozark (I read the synopsis) would be the cash flow in and a good number of lower level shell companies that he indirectly controlled) from each other and only are connected in a legal way to the upper layers that have documentation for their inputs from below.
  - thaumasiotes 2y ago
    Control of the hotel is required in a sense. Ownership isn't. It's actually much better for you if you come to an informal agreement with the owner of the hotel than if you take a legal ownership stake.

dgfitz 2y ago

Nah I get it. If 100% of a hotel clientele only ever pays in cash, are you really any better off?