Changes in Organized Crime: From Local to Transnational

Why were the presidential commissions on organized crime made?

To investigate organized crime activities and determine the policies needed to reduce the scope of these activities

What are the two presidential commissions called?

Task Force Report on Organized Crime in 1967 and Report by the President’s Commission on Organized Crime in 1986

What were the final reports of the presidential commissions based on?

Information provided by public officials, researchers, and criminal informants

What were the 1967 presidential commission based on, Senate hearings?

Kefauver (50-51) and McClellan (1963)

What did the 1967 presidential commission focus on?

Criminal activities of Italian-American mafia families. 24 across the US (structure and code of conduct were described), and group contains a total of 5,000 members.

What did the 1967 presidential commission view as the largest source of income?

Gambling, followed by loansharking; devoted little attention to infiltration of labor unions and drug trafficking

What did the 1967 presidential commission find regarding public officials?

found that corruption of public officials led to increased prosperity of organized crime groups. Bribery of local gov. officials granted organized crime figures a certain degree of immunity from arrest or prosecution.

What were the recommendations by the 1967 presidential commission?

Witness protection program, federal wiretapping law, special grand juries that would evaluate evidence in organized crime cases. Establishment of specialized organized crime units in police departments across large cities with an organized crime presence. Greater inter-agency coordination, more severe penalties. Increase the public’s interest in organized crime.

What did the 1986 presidential commission focus on?

Focused on a variety of organized crime groups. Examined activities conducted by mafia families and 10 other types of organized crime groups.

What did the 1986 presidential commission view as the largest source of income?

Drug trafficking that constituted for 40% of all organized crime activity in the country and generated more than $100 billion every year.

What other crimes did the 1986 president commission examine?

Infiltration of labor union, labor racketeering, money laundering through investment in real estate and legal business, and illegal gambling

What did the 1986 presidential commission find regarding corruption?

Corruption in commercial banks, some failed to comply with the Bank Secrecy Act. Did not report large cash deposits (may have been allowing money laundering to be committed in their banks.

What were the recommendations by the 1986 presidential commission?

Several in regarding drug-related crimes such as increase the severity of punishments, take steps to reduce the American public’s demand for illicit substances, and seize drug traffickers’ assets to fund drug enforcement activities. Increase cooperation between different law enforcement agencies in organized crime investigations.

Other recommendations by the 1986 presidential commission?

Tackle labor racketeering through civil lawsuits and increase reliance on existing law and resources. Ex. RICO underused until 1985.

Similarities between both presidential commissions.

Recommended more severe punishments for drug-related offenses. 1967 - promoted more severe punishment as main method of reducing while 1986 recognized the benefits of other methods as well.

What has happened since the publication of the 1986 presidential commission report?

Fall of the Soviet Union and other communist regimes, invention of the internet, and increased ownership of personal computers.

Since the publication of the 1986 presidential commission report, what changes occurred relating to offenders?

Facilitated communication between offenders in different countries and presented new opportunities for organized criminal activities such as international stolen vehicle smuggling, drug trafficking, human trafficking, and cybercrimes.

International Stolen Vehicle Smuggling

200,000 stolen vehicles are shipped each year from the US to other countries and sold there. People tend to buy due to lack of availability of certain vehicles in many other countries. Save money by avoiding high fees to importing these cars legally. Tends to be multinational and multiethnic rings.

What is the multifaceted operation of stolen car smuggling?

After stolen, members of ring in the US falsify multiple items - vehicle identification number, certificate of Title that displays the new VIN, and shipping documents. Then, placed in a shipping container and transported to destination country covertly. Yearly financial cost of International car smuggling is estimated at $1 billion.

International drug trafficking.

Generates at least $300 billion each year. Trafficking route begins in a country where the plants needed to manufacture illicit substances grow. The drugs are manufactured either in the country where they were cultivated or in a secondary country with weak border security.

Drugs and where they are grown and what they produce.

Coca leaves grow in Colombia, Peru, and Bolivia and produce cocaine. Opium poppies grow in Afghanistan, Myanmar, and Mexico and produce heroin.

International drug trafficking after produced.

Smuggled to consumer nations through variety of methods. Cocaines biggest consumer are European countries and the US while heroin are European countries and Russia. Manufacturers of the drugs are paid after the drugs are sold in their consumer nations either by electronic transfer of money that has been laundered through a legitimate business or cash that is smuggled back to their countries.

International Human Trafficking

Promised legitimate employment by someone in their country of origin, and when arrive to new country, forced into sex work or unpaid labor. Or, people use a smuggler to enter a country illegally.

Three elements of human trafficking

Acquiring victims, exploitive work, detention of victims through coercion. Threats to lives or the lives of their loved ones back home and scaring w/ consequences of escaping and going to police. Deception about the potential consequences of escape, concealment of their passport

International human trafficking differing by continent

Forced into sex work in Europe, Central Asia, and the Americas. Forced into unpaid labor in Africa, Middle East, and Southeast Asia.

Indicators of International Human Trafficking

• Living in place of employment, not getting paid for work completed, working excessive hours, no access to identification documents (ex. passport). Exhibiting injuries that are consistent with assault or restraint, no freedom of movement or communication, apprehensive about communication w/ government officials, little to no knowledge of local language and, no awareness of current location (ex. the person may not know what city they are located in at the moment)

Cybercrimes and the two types

Crimes that use digital devices as an instrument and crimes in which digital devices are targets. Cybercrime rings are often composed of individuals from multiple countries who have never met one another in person.