Turkish Regulatory Authorities Launch Investigation on Social Media Influencers for Money Laundering

Turkey’s Minister of Social and Labour Security Department stated they are conducting an in-depth investigation on celebrity endorsements of the 600 influencers, including their financial statements. 

Turkey’s Labor and Social Security Ministry is set to look into 600 social media influencers after discovering shell businesses and dubious transactions totalling hundreds of millions of Turkish Lira during the money laundering probe against the online superstar Polat couple. Turkey’s government is also designing rigid policies for crypto trading platform promotions on social media and celebrity endorsements. These policies aim to reduce cryptocurrency speculation and protect investors from potential risks. They are also intended to prevent people from investing in cryptocurrencies without understanding the full risks. Furthermore, the government wants to ensure that cryptocurrency investments are not used for money laundering and terrorist financing.

In the social media investigation, Turkey’s regulatory authorities planned to look at influencers’ social media posts to show a luxurious life and question them about their money trail and source of income. Additionally, the Trade Ministry is moving forward with the Product Safety in e-Commerce Project, which would require a more stringent examination of products that are sold online. Previously, Turkey’s regulatory authorities stated they would develop rigid regulations for crypto service platforms focusing on licensing and taxation. As the world’s fourth largest crypto trading country, they strive to get off the international Financial Action Task Force (FATF) grey list. 

These strict actions against the influencers come after the shocking detention of the Turkish influencer pair Polat on charges of “laundering of crime revenues.” Dilan Polat was a social media influencer and the proprietor of a network of beauty salons in 46 regions in Turkey and beyond. Her business partner was her spouse, Engin Polat. Via her online store, the Polats also offered cosmetics for sale. Tukey’s Financial Crimes Investigation Board (MASAK) shell companies are linked with suspicious transactions worth 7 million dollars. 

Suggested Reads: 

TURKEY SET TO TOUGHEN AML LAWS ON CRYPTO ASSET PLATFORMS

TURKEY REMAINS ON THE FATF GRAY LIST FOR AML REGULATIONS FAILURES

TURKEY AT RISK OF BECOMING A HAVEN FOR RUSSIAN SANCTIONS