Privacy concerns raised as government cracks down on money laundering

There are concerns that a proposed anti-money laundering laws will be an intrusion of privacy for many Pacific Island families who send money home to their families every month.

It's a common tradition for many Islander families, and could make them a target for the police as the government cracks down on money laundering. 

From November 1, banks will be required to hand over a customer's name, address, phone number, and IP address if their transaction exceeds the new limits. 

For international transfers that's above $1,000 and any cash transactions within New Zealand above $10,000. 

Police estimate that more than $1.5 billion is laundered through New Zealand bank transfers each year. 

"The question we have to ask is, can the police be trusted in relation to this?" said human rights lawyer Michael Bott. 

"Do we need to have this level of intrusion into people's private lives?

However, Prime Minister Bill English said the changes aren't set in stone and there will be an opportunity to scrutinise the legislation more. 

International wire transfers of $1,000 and domestic transactions greater than $10,000 will soon be reported to police. Source: 1 NEWS