ABSTRACT
There is growing recognition of the importance of understanding the dangers of illicit financial flows in South Africa. This chapter discusses illicit financial activities associated with churches, traditional healing, and small businesses. We have chosen to call illegal financial activities associated with these entities “under the radar” financial flows. The approach used to identify entities susceptible to being “under the radar” was risk-based methodology. The concepts of risk scoping and assessment were applied to identify entities that provide goods or services but are exempt from paying tax, are not regulated, or do not have accounting systems. The analysis found that under-the-radar financial flows originate from businesses and services that are informal, unregulated, and do not pay tax. The chapter proposes measures to control illicit financial activities within the identified entities.
