ORGANIZED CRIME

Characteristics of Organized Crime  Conspiratorial activity: requires coordination of many persons  Hierarchical  Primary goal is economic gain  Not limited to illicit services/products  Predatory tactics, e.g. intimidation, violence, corruption  Swift, effective control of members, associates, and victims

Organized Crime is NOT:  …synonymous with “Mafia,” which is one of many organized crime groups  …associated with political terrrorism, at least not directly

OC Illicit Activities  Illicit drug distribution  “Loan sharking”  Prostitution  Cargo theft  “Fencing” expensive items

OC “money laundering”  2 forms:  Offshore banking  Establishing legitimate businesses  3 characteristics of OC-susceptible businesses  Low tech  Uniform products/services  Rigid markets (demand is consistent, stable)

Money laundering, continued  5 methods for selection and control of legitimate enterprises  OC looks for businesses that will provide a convenient “front”  OC will engage in predatory exploitation (eg, demand protection money)  OC will organise monopolies/cartels to limit competition  OC will gain advantages over competition by bribing uions/politicians  OC will illegally manipulate legal vehicles, like stocks

The Mafia Myth  Alien Conspiracy Theory  The idea that all organized crime groups are working together under an umbrella is groundless and mythical, but one that OC exploits to give the impression of omnipotence.