Dateline: 08/28/00
New Trends in Organized Crime
Organized crime knows no borders, according to a report from the Canadian Security Intelligence Service (CSIS), the Canadian government agency responsible for national security. The globalization of the world economy and sophisticated new technology means organized crime has moved from "low-level" activities like drug trafficking, prostitution and illegal gambling to "corporate" activities, like migrant smuggling, environmental crime, bank fraud, and large-scale insurance fraud.
In "Transnational Criminal Activity: A Global Context," CSIS says new trends are evolving in organized crime:
- cybercrime - organized crime can take advantage of international computerized financial networks to launder money from illegal activities quickly, and make it much harder to trace. Soon, organized crime may be hacking into corporate networks to extract confidential and proprietary information, and then using it in extortion schemes.
- legitimization - organized crime uses money from illegal activities to set up legal business operations. Some even donate to community and social causes.
- co-operation - large criminal syndicates work together, like their legal corporate counterparts, and they'll work in any country where they find legal and bureaucratic loopholes.
Organized Crime in Canada
CSIS says that there are somewhere between five and 150 criminal organizations operating in Canada - Asian triads, Colombian cartels, Mafia groups, Russian Mafia and Nigerian crime groups. The Hells Angels also have "enormous criminal clout" and are involved in drug trafficking, prostitution and money laundering through their 18 chapters in Canada.
The impact on Canada comes mostly from
- economic crime - there is potential for Canadian stock markets to be used for shell companies to launder money.
- environmental crime - trade in ozone depleting substances and the illegal treatment and disposal of hazardous waste.
- illicit drug trade - CSIS says the illicit drug market in Canada may run between $7 billion and $10 billion annually.
- illegal migration - a 1998 report for the Solicitor General of Canada said that up to 16,000 people may be smuggled into Canada each year. As illegal migration increases in Canada, it has an impact on legal immigration and visa processes. It also puts stress on Canada's relations with the United States.
- money laundering - a report by the U.S. State Department lists Canada as one of 48 countries of "primary concern" for money laundering.
