Michael Bosscher, Richard Franks accused of $4.5m money laundering scheme

A high-profile Brisbane ­lawyer and Gold Coast ­businessman laundered $4.5 million in proceeds of crime using fake bank accounts, police allege.

A high-profile Brisbane ­lawyer and a Gold Coast ­businessman used sham bank accounts to launder millions of dollars that were proceeds of crime, police allege.

Australian Federal Police on Tuesday swooped on lawyer Michael Bosscher, 53, and business consultant Richard Franks, 67, alleging they were involved in a $4.5m money laundering syndicate.

Both were charged with conspiring to deal in the ­proceeds of general crime of $1m or more.

Police allege Franks used personal information from ­clients of his consultancy business to open fraudulent bank accounts in their names, ­believed to be without their knowledge.

Investigators allege Bosscher supplied millions of ­dollars of funds – that they say are suspected proceeds of crime – to be deposited into the accounts to avoid detection by authorities.

Officers raided properties in Graceville, the City and Bardon in Brisbane, and Helensvale on the Gold Coast.

Police seized $70,000 from two safes hidden under stairs and a cash counter at a Bardon home, while $160,000 was seized from a safe at the home of a Helensvale man.

Bosscher faced Brisbane Magistrates Court on Tuesday morning where his lawyer Ken Mackenzie applied for bail, noting his client had been in private practice for 25 years and was a “family man”.

Richard Franks leaves the Southport watch-house. Picture: Adam Head

Mr Mackenzie said the ­allegations relied on speculation and there was no claim about the original source of the funds that were alleged to be proceeds of crime.

“There is no detail or understanding of the business relationship which may have existed between Mr Bosscher and the co-accused or ­between the various corporate entities which are listed in that document,” he said.

Commonwealth prosecutor Christopher Moore said the allegations related to the movement of just under $4m in about 35 instances of transactions over a 20-month period, all while Bosscher was on bail for separate aggravated fraud and falsification of record charges, the court heard.

“Police located a large sum of cash at an address associated with the defendant,” he said.

Police allege Bosscher met with Franks, who then deposited large sums of money often in ways to avoid detection, such as below $10,000.

“And then the money ultimately returned to accounts associated with the defendant, minus a sum of money which we say was the fee the co-­accused collected for his ­involvement,” Mr Moore said

The prosecutor said the Crown did not have to point to a specific crime that the ­alleged proceeds came from, but could rely on the circumstances surrounding the money to show it was suspect.

High profile lawyer Michael Bosscher leaves the Brisbane watch-house on Tuesday night. Picture: Lachie Millard

This included the alleged meetings between Bosscher and Franks in the early hours of the morning, the large sums of money being moved and their ultimate transfer back to Bosscher.

“Further investigations are ongoing and may shed more light on the movement of the funds and potentially the source,” Mr Moore said.

The court heard Bosscher’s separate fraud charge related to the allegation that money received from legal clients was not deposited into the firm’s accounts.

Mr Mackenzie said as it ­related to his client there was alleged to be unexplained ­income of about $50,000 over a period of five years “which we hope in due course be able to explain”.

Acting Magistrate Rowan Silva said Bosscher had been on bail since November 2017 for the separate fraud charge and had faithfully complied with the conditions, other than what was currently being alleged.

Mr Silva said the allegations were “extremely serious” but decided to grant Bosscher, who has no criminal history, bail with conditions, including that he not contact the people whose identities were allegedly stolen to open the bank accounts. His matter was adjourned to December 2.

Bosscher declined to ­comment as he was released from the Brisbane watch-house, ­except to say the ­charges would be “vigorously contested”.

Bags of cash among $160,000 allegedly seized from a safe at a Gold Coast home. Picture: Australian Federal Police

Franks was arrested by police just after arriving back on the Gold Coast after a weekend away with his wife.

He appeared in Southport Magistrates Court by video link on Tuesday where he was also granted bail.

The 67-year-old, a grandfather of nine with no previous criminal history, is a dual citizen after arriving in Australia from the UK as a nine-year-old.

He also been charged with 29 counts of conducting transactions so as to avoid reporting requirements relating to threshold transactions.

He runs a number of consultancy firms on the Gold Coast and his matter is due back in court on February 6.

Franks emerged from the watch-house late on Tuesday vowing to clear his name.

“Of course,” he said when asked if he intended to fight the charges.

He described himself and Bosscher as good friends before saying: “I would be happy to talk if you make an appointment with my lawyer.”

On Monday, Franks posted a photo on Facebook on-board a plane with his wife saying they had enjoyed a weekend away without the kids. Soon after he was ­ arrested.

Originally published as Michael Bosscher, Richard Franks accused of $4.5m money laundering scheme