Overview of Transnational Organized Crime

Author- Sanjana Suri*

Introduction

Organized crime has become a new form of transnational organized crime (TNOC). While TNOC has been around for many years, for example, international drug trafficking. TNOC has evolved further in recent decades due to new globalized criminal opportunities arising from the evolution of international transactions. Practices, which are facilitated by the changes in global capital created by new mobile technologies, especially the Internet and social media. TNOCs are now emerging online, so it is necessary to determine when the Internet is used to help, to allow complete control of crime. We, therefore, need to separate cyber-assisted TNOCs from cyber-activated and cyber-dependent NWTs to better understand these changes and operationalize concepts to track and measure CNOTs and offenders. [1]

TNOC groups, like traditional organized crime groups, appear to be linked by trusting relationships such as family, ethnicity, or business. These may be traditional hierarchical lines of authority, rooted in geographic location, ethnicity, or culture. Alternatively, they can be bonds formed by the desire to make money or take revenge, or to change a political landscape. In practice, there are combinations of these factors. New communication and commerce technologies facilitate these links and new types of links (e.g. reputation) across international borders.

At the center of each of these bonds of trust is the expression of power that can take place openly (coercion), secretly (manipulation of the agenda) or unconsciously (via ideology). TNOC groups prefer to give the illusion of coercion to achieve conformity and express power by manipulating agendas and ideologies so that they do not draw the attention of the police and the state to their activities, although this depends on their overall objective, as some TNOC groups with political objectives will want the opposite, particularly in failed States, where they might in fact represent the only form of law.

Transnational organized crime activity takes place in a changing socio-political and socio-technical environment, particularly with e-commerce technologies, which means that new demand and supply models now make TNOC’s activities more attractive as a crime choice and as a career choice, which encourages the formation of online criminal organizations to protect criminals.

New forms of online TNOC groups are emerging in new distributed forms that are non-hierarchical and flat in structure with non-physically connected members. There is little evidence that traditional mafia groups (criminal organizations that control victims’ markets and protect criminal activities) are moving online, other than to make their organization more effective. Evidence suggests that different groups of actors with very different profiles, motivations and personal paths in crime are currently involved in new forms of online TNOC; for example, hackers.[2]

Due to the above, a flexible approach needs to be taken to understand transnational organized criminal groups: a) Sustainable models of TNOC groups b) Ephemeral models of TNOC groups c) Hybrid TNOC

Transnational organized crime units: changing socio-political and socio-technical environment

It is important that the framework or models described here explain new or changing phenomena, especially when the motivations may not be purely financial or political, religious or moral. They will also have to respond to contemporary socio-technical and socio-political changes and changes in behavioural norms. Changes in the socio-technical environment resulting from advanced social media are creating new lateral forms of social communication via globalized networks. These lateral forms of communication bypass more traditional social classes or cultural hierarchies and rapidly alter expectations and opinions by bringing them together or polarizing them. Changes in the socio-political environment are catalyzed by socio-technical changes that cause the decline of neoliberal hegemony and the rejection of progressive neoliberalism that “mixes truncated ideals of emancipation and deadly forms of capitalism.”

The driving force here is public anger and thirst for change that emerges within the wider population from the contradiction stemming from the illusion of neoliberal ideals against the harsh reality of modern capitalism of excluding the realization of wealth through zero-hour contracts, high housing costs, increased education costs with less certainty of benefits,   minimum pensions, plus austerity measures and predatory debt, and protective measures such as those once provided by trade unions and ambivalent attitudes towards religious diversity. The new post-progressive-neoliberal socio-political environment demotivates individuals by making them feel they should count, but in reality, they are ignored and, as such, will never realize their personal potential. It has the effect of replacing existing political norms with a “new political normal”. In this new “political normality”, explanations based on conventional values no longer apply, they are rejected, raising questions about what is normal and acceptable in this modern globalized world. Hence the surprise of the Renzi anti-reform vote in Italy; the rise and success of disruptive politics in the United States; Brexit 2016 and the failure in 2015 of poll predictors in the UK; the rise of the National Front in France, Germany and elsewhere; through the various movements of the “Arab Spring” in Tunisia, Egypt and elsewhere; and finally. This new “disrupted” socio-political environment arguably creates new behavioural norms that the TNOC and new transnational terrorist networks are now exploiting, such as the movement of mass populations from Africa to Europe, as well as extreme politics and religious attitudes.

Emergence of new forms of TNOC

The changes described above in socio-political and socio-technical environments are likely to be the cause of the development of new forms of transnational distributed crime and their organization, in addition to existing more traditional organized crime groups (Wall, 2015). See, for example, some of the actions of recent years of “The Impact Team” – the Ashley Madison Hackers (Alba, 2015), and Anonymous, the hacking group that defends Wikileaks (Coleman, 2015) and the groups they sympathize with. These groups tend to exploit digital and networked technologies to connect and organize and reach a wider and sympathetic audience to spread messages that create fear and even terror. They do not have the detailed division of labour that tends to be found in more traditional criminal organizations and the forms of governance (especially hierarchical) associated with them. It is important to note that the “link” between transnational organized crime and terrorist networks (using everyday crime to spread fear and terror) has become more important and has also changed in nature (see Hutchinson and O’Malley, 2007 and Basra et al., 2016, see also Walter Wehrmeyer’s research project later in this report). Online, in globalized cyberspace, there is usually a lack of control over competing criminals and victims’ markets that is normally offline and, as a result, there is much more freedom of competition between criminals for victims. User anonymity and behaviour do not reproduce what manifests in real life, making possible crimes such as phishing, scams, or data hacking (Dhamija, Tygar, & Hearst, 2006).

Online offenders are connected and organized by social media technologies, but not in the same physical and visceral way as traditional organized and transnational crime groups. Today, offenders are likely to have never met, and yet the gain from their class actions, combined with the relatively low risk of being held accountable for their actions, increases their confidence to commit more illegal activities in the future (Wall, 2007: 45; Wainwright, 2016). This does not mean, however, that organised crime or terrorist actions are less carefully planned. Fellman (2015), for example, argues that they may be premeditated. In such a virtual context, there are new and additional motivations that arise, which redefine the priorities of the old ones. These motivations explain why this modern context is so different from the one theorized by, say, Becker (1968). In fact, modern criminals value potential gains and being discovered and judged for their actions differently (Cárdenas et al., 2009).

Well-known and understood motivations, such as finances, reputation gain and revenge, rub shoulders with other motivations such as intellectual challenge, to impress friends or simply that criminals want to see what will happen; because they have the tools and skills to commit and perpetrate illicit activities. Sometimes online criminal activity will evolve even from the simple act of “playing crime” and mimicking computer gambling behaviour that produces a fake crime or “gambling” that is never intended to result in a serious crime but does so by the nature of its impact in the real world. This is very often the case when young players are “seduced by cybercrime” and digitally drift towards more serious activities, such as terror.

These individuals are considered by the criminal justice system to be serious organized criminals and they and their friends are classified as an organized criminal group (see Wall, 2015 below). But, in terms of traditional criminal justice thinking, they are quite atypical offenders (see CAS, 2017; Aitken, et al., 2017). They are not psychologically prepared for the criminal justice system. Many will not even be prosecuted because they are either vulnerable because of their neurodiversity and age, or fear being “protected” by organized criminals in prison and being called upon to perform “favors” (cyber) when released (Wall, 2013; 2018). As a result, new forms of thinking about criminal actions and criminal organization are needed, not only criminal forums in which criminal ideas circulate and “criminal” problems solved but also the distributed organization of criminal and terrorist networks online. This is particularly the case in the link between organized crime and terrorism, where the ideas of organized criminal groups overlap or spill over into ideas supporting terrorist networks, such as the gentle grooming of vulnerable youth, idealizing “the cause” and the romantic ideal, combined with their inner anger to encourage them to turn their thoughts into action. The key questions to be answered here are, first, where is the tipping point between the discussion of ideas of transnational crime or terrorism and their implementation. What, for example, converts a train of thought into a criminal or terrorist action? Secondly, how do criminal justice systems adapt to these new forms of a transnational criminal organisation with a reasoned and proportionate response that achieves justice objectives for all countries concerned?

Different forms: TNOC

Different forms of transnational organized crime

Transnational organized crime does not stagnate, but is an ever-changing industry, adapting to markets and creating new forms of crime. In short, it is an illicit activity that transcends cultural, social, linguistic, and geographical boundaries and knows no borders or rules.

Drug trafficking continues to be the most lucrative form of business for criminals, with an estimated annual value of $320 billion.  2 In 2009, UNODC estimated the approximate annual value of the global cocaine and opiate markets alone at $85 billion and $68 billion, respectively.[3]

Human trafficking is a global crime in which men, women and children are used as products for sexual or labour-based exploitation. Although the numbers vary, an estimate by the International Labour Organization (ILO) in 2005 indicated that the number of victims of trafficking at any given time was about 2.4 million, with annual profits of about $32 billion. Recent research on general trends in forced labour, however, suggests that the scale of the problem is much greater. In Europe, trafficking, mainly of women and children, for the purpose of sexual exploitation alone brings in $3 billion a year and affects 140,000 victims at a time, with an annual flow of 70,000 victims.[4][5][6]

Migrant smuggling is a well-organized activity that transports people around the world through criminal networks, groups, and routes. Organized crime groups can offer migrants a “smuggling package,” and the treatment they receive along the route is the price they pay to their smugglers. In the smuggling process, their rights are often violated, and they can be stolen, raped, beaten, held for ransom or even left for dead in some cases, when the risks become too high for their smugglers. Many smugglers don’t care if migrants drown in the sea, die of dehydration in a desert, or suffocate in a container. Every year, this trade is valued at billions of dollars. In 2009, some $6.6 billion was generated by the illegal smuggling of 3 million migrants from Latin America to North America, while the previous year, 55,000 migrants were smuggled from Africa to Europe for a sum of $150 million.[7][8]

The illicit trade in firearms brings in between $170 million and $320 million a year and puts handguns and assault rifles in the hands of criminals and gangs. It is difficult to count the victims of these illicit weapons, but in some regions (such as the Americas) there is a strong correlation between homicide rates and the percentage of homicides committed with firearms.[9][10]

Trafficking in natural resources includes the smuggling of raw materials such as diamonds and rare metals (often from conflict zones). Timber trafficking in Southeast Asia generates annual revenues of $3.5 billion. In addition to funding criminal groups, this aspect of criminal activity ultimately contributes to deforestation, climate change and rural poverty. [11]

The illegal wildlife trade is another lucrative activity for organized crime groups, with poachers targeting skins and body parts for export to foreign markets. Trafficking of elephant ivory, rhino horn and tiger parts from Africa and Southeast Asia to Asia generates $75 million in criminal profits each year and threatens the existence of certain species. Organized crime groups also deal with live and rare plants and animals that threaten their very existence to meet the demand of collectors or unwitting consumers. According to WWF, traffickers illegally move more than 100 million tons of fish, 1.5 million live birds and 440,000 tons of medicinal plants per year.[12][13]

The sale of fraudulent drugs is a worrying activity, as it represents a potentially deadly business for consumers. Building on the increase in legitimate trade in pharmaceuticals from Asia to other developing regions, criminals are trafficking fraudulent medicines from Asia, particularly to Southeast Asia and Africa worth $1.6 billion.  Instead of curing people, however, they can lead to death or cause resistance to drugs used to treat deadly infectious diseases like malaria and tuberculosis. In addition to traditional methods of trafficking, criminals continue to create a lucrative online trade in fraudulent drugs targeting both developed and developing countries, which can also have repercussions on the health of consumers. [14]

Cybercrime encompasses several areas, but one of the most profitable for criminals is identity theft, which generates about $1 billion each year.  Criminals are increasingly exploiting the Internet to steal private data, gain access to bank accounts and fraudulently obtain their payment card details. [15]

Global threats, local effects

Although transnational organized crime is a global threat, its effects are felt locally. When organized crime takes root, it can destabilize entire countries and regions, undermining development assistance in those regions. Organized crime groups can also work with local criminals, resulting in an increase in corruption, extortion, racketeering and violence, as well as a range of other more sophisticated crimes at the local level. Violent gangs can also turn city centres into dangerous areas and put citizens’ lives at risk.

Organized crime affects people in both developing and developed countries. Money is laundered by banking systems. People are victims of identity theft, and 1.5 million people are trapped every year. In many developed countries, criminal groups trafficke women for sexual exploitation and children for forced begging, burglary, and pickpocketing. Car theft is also an organized business, with vehicles stolen to order and taken abroad. Fraudulent medicines and food products enter the legal market and not only defraud the public but can also put their lives and health at risk. Added to this is the trade in counterfeit goods, which deprives countries of tax revenues. It can also impact legitimate businesses when illegally produced goods replace sales of original products, hurting employers’ incomes.

Organized crime adds to the increase in public spending on security and law enforcement and undermines the very human rights standards that many countries strive to preserve, especially when activities such as human trafficking, kidnapping and extortion are taken into account. It can also fuel local crime, which in turn drives up costs such as insurance premiums and adds to the overall level of crime and insecurity in society.

Conclusion

Combating a global phenomenon such as transnational organized crime requires partnerships at all levels. Governments, businesses, civil society, international organizations, and people from all corners of the world have a role to play. Here are some key aspects of the fight against organized crime:

• Coordination: Integrated action at the international level is crucial to identify, investigate and prosecute the individuals and groups behind these crimes.
• Education and awareness: Ordinary citizens should learn more about organised crime and its effects on everyday life. Express your concerns to policymakers and decision-makers so that this truly global threat is considered by politicians as a top priority among the top public concerns. Consumers also have a key role to play in knowing what you’re buying, doing it ethically, and making sure you’re not fueling organized crime.
• Intelligence and technology: Criminal justice systems and conventional methods of law enforcement often do not compete against powerful criminal networks. Better intelligence methods need to be developed through the training of more specialized law enforcement units, which should be equipped with state-of-the-art technology.
• Assistance: Developing countries need help to build their capacity to counter these threats. An important tool that can help in this is the United Nations Convention against Transnational Organized Crime, which has been ratified by 170 parties and provides a universal legal framework to help identify, deter and dismantle organized criminal groups. In October 2012, the sixth session of the Conference of the Parties to the United Nations Convention against Transnational Organized Crime will be held in Vienna. This series of biennial meetings bring together Governments from around the world to promote and review the implementation of the Convention in order to ensure better implementation of this international issue. [16]

On a practical level, UNODC is helping to strengthen the capacity of States to monitor and prevent money-laundering through training and technical assistance to track money. These measures can help cut off the profits from crime.

*The Author is a final year BBA LLB Student at the United World School of Law.

Disclaimer:  The views, thoughts, and opinions expressed in the text belong solely to the author and not to the Jurisedge Academy.

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[1] TNOC: Transnational Organized Crime

[2] Besides information on transnational organized crime is available on http://www.esrc.ac.uk/funding/funding-opportunities/transnational-organised-crimes-call/

[3] World Drug Report: 2011

[4] World Drug Estimate Report

[5] International Labour Organization, Global Estimate 2012

[6] United Nations Office on Drugs and Crime

[7] Globalization of crime: Transnational Organized Crime Threat Assessment, 2010 report.

[8] Ibid.

[9] UNODC

[10] United Nations Office on Drugs and Crime: 2011 Global Study on Homicides.

[11] Globalization of crime: a threat assessment of transnational organized crime.

[12] Ibid..

[13] http://wwf.panda.org/about_our_earth/species/problems/illegal_trade/

[14] Globalization of crime: a threat assessment of transnational organized crime.

[15] Ibid.

[16] http://treaties.un.org/pages/viewdetails-TREATY//