Organized Crime and Cybercrime: An Evolving Global Threat

The Evolving Landscape of Organized Crime and Cybercrime

I. Overview: Evolution and Impact of Organized Crime

• Organized crime, initially synonymous with the Italian and Sicilian Mafia (La Cosa Nostra, LCN Mafia), originated in the United States in the early $1800s$. These ethnic and racially based organizations have undergone significant transformations, altering the nature of the threat they pose.

• Throughout the $1900s$ and into the $21$st century, criminal organizations have become increasingly sophisticated, largely due to the pervasive use of technology and its global reach.

• Eastern European countries, particularly those tracing their history to the former Republics of the Soviet Union, have notably leveraged technology to advance their organized crime activities.

• New groups, such as the Russian Business Network, specializing full-time in criminal cyber activities, are achieving growing success.

• 2013 United Nations Comprehensive Study on Cybercrime: This study highlighted several critical findings concerning the escalating threat of cybercrime:

  • $60 \%$ of all Internet users reside in developing countries.

  • $45 \%$ of all Internet users are below the age of $25$.

  • The study noted the significance of age, stating that the majority of emerging criminal organizations in developing countries are composed of subcultures of young men who engage in a wide array of computer-related financial frauds.

• Current Major Cybercrime-Focused Organizations:

  • Russian mobsters who immigrated to the United States after the collapse of the Soviet Union.

  • Groups from African countries, notably Nigeria, predominantly focusing on financial schemes and drug trafficking.

  • Chinese tongs (brotherhoods), the Japanese Yakuza, and other Asian crime rings.

  • Criminal enterprises based in Eastern European nations such as Romania and Hungary.

• All these groups maintain a current presence in the United States and/or conduct their illicit activities via the Internet.

• Disturbing Trend: Recent developments indicate increasing collaboration and cooperation among these diverse criminal organizations.

II. Broader Impact of Organized Crime

• Measurement Challenges: The impact of organized crime, especially cyber-related crimes, is difficult to quantify precisely. There are significant discrepancies in estimates of global cybercrime profits, ranging from as high as $\$1$ trillion to as