From: The Advertiser March 19, 2011 12:00AM

http://www.adelaidenow.com.au/ipad/loyalty-led-to-money-laundering/story-fn6bqphm-1226024283680

KAREN Muriel Whyte was so loyal to drug dealer Rocco Carbone she agreed to launder cash for him.

When they and 12 others were arrested, the bank manager refused to confess out of fear her admission would "compromise" Carbone.

Yesterday, District Court Judge Steven Milsteed said Whyte's "unimpressive" attitude would have its consequences.

"Well, what a fool she is," he said.

"Don't be surprised if I don't give her any discount (on her sentence) at all."

Whyte, 56, of Elizabeth Downs, has pleaded guilty to one count of money laundering.

She is one of 14 people yet to be sentenced over a methylamphetamine racket.

Prosecutors had alleged Whyte had gone to Perth to collect a sum of money for Carbone.

Yesterday Tim Dibden, for Whyte, said his client's crime sprang from "unfailing blind loyalty" to Carbone.

He said she "volunteered" to take a trip to Perth, and collect money for Carbone, as a result.

"She is smart, but perhaps smitten," he said.

"She told a psychologist `I would do anything for Rocky if it wasn't illegal or immoral'.

"She has pleaded guilty on the basis of recklessness, in that she should have known the money she collected was the result of unlawful activity."

Mr Dibden said Whyte had received no reward for taking the trip.

Judge Milsteed said he found that hard to believe.

"How generous of her ... I'm not impressed," he said.

Whyte and her co-accused will be sentenced on a date to be set.