The number of reported money laundering cases has more than doubled in Sweden as banks detects more illegal activities.

The amount of reported cases of money laundering hiked 116 percent in 2008 compared to the previous year, Sweden’s Financial Police said in a yearly report.

A total of 13.048 cases of suspected money laundering were reported, adding up to 9 billion kronor (€818 million, $1.2 billion).

The hike in reported cases is partly explained by the fact that banks and financial intermediaries have become far better at reporting and detecting illegal activities. Last year Swedish banks filed 7.232 reports, up from only 1.310 reports in 2007.

“It’s an indication that the banks have implemented better procedures and have also built intelligent detection systems,” said Thomas Palmberg, vice head of the Financial Police, to the daily Svenska Dagbladet.

However, the Financial Police pointed out that cash-intensive industries such as casinos, auto dealers and real estate agents aren’t very helpful in the hunt on money-launderers. Swedish car dealers only reported 17 suspected cases last year while no real estate broker filed any reports.

“I’m sure there are considerably more cases of money laundering in cash-intensive industries than what is reported,” said Thomas Palmberg.

Last month the Swedish National Council for Crime Prevention said that the number of reported frauds swelled 23 percent during the first half of 2009 as more criminals turn to easy cash on the web.

“The internet is a grateful arena for criminals”, she said to The Swedish Wire. “For example, car thefts are decreasing as it gets harder to break into cars. Instead criminals turn to the internet and fake invoices”.