Transcript Document

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Project Jackal for Businesses and
Financial Institutions
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Basic Premises
• The primary focus of Organised Crime Groups is to make
money not to commit crime
• Making money in any enterprise implies an ability to exploit
competitive advantage in relevant markets
• Competitive advantage relies on the successful exploitation
of Distinctive Capabilities
• Understanding the distinctive capabilities of OCGs will offer
options and opportunities for dismantlement, disruption
and restricting their ability to make money
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What are the Distinctive Capabilities?
• Architecture – The network of customers, suppliers,
professional enablers and other business contacts that sustain
the OCG business presence in both legitimate and illegitimate
markets
• Innovation - The ability of the OCG to innovate in terms of
accessing and developing new products; reaching, exploiting
and protecting new markets; developing new business alliances
in both legitimate and illegitimate business markets
• Reputation – Reputation is crucial to OCGs in terms of
achieving all of is goals in the criminal world. But legitimacy is
also a key objective enabling OCGs to exploit legitimate
business opportunities, win public sector contracts and enjoy the
benefits of legitimised earnings
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Strategic Assets
• Successful exploitation of distinctive capabilities can enable
certain OCGs to achieve a dominant market position which in
turn becomes a STRATEGIC ASSET - another source of
competitive advantage
• A dominant market position can be achieved in terms of control
by reputation of a geographical area or exploitation of a
transportation channel or control of over the production line of
synthetic drug products
• Criminal distinctive capabilities can also be deployed to win
dominant positions in legitimate markets essentially by
eliminating competition through threat and fear
• This can lead to cartelisation of the supply of core services
required by public sector agencies
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An approach based on partnership
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Breaking the SPINE of Organised Crime
SPINE – Intelligence about SOCG cash flows and
command structures
PROACTIVE DISRUPTION – Intelligence about SOCG
businesses and markets; their customers and suppliers
INVENTORY – Intelligence about assets of SOCG
businesses and principals
NOT FORGETTING TAX – Intelligence about any
SOCG issue that indicates tax avoidance or benefit fraud
EDUCATION – The message to SOCGs that Scotland is a
hostile place for Organised Crime
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Jackal Objectives
S
• Identify Cash Spines
• Build Command Structures
P
• Identify Competitive Strengths and Weaknesses
• Assess harm and develop interventions
opportunities
I
• Identify Business Assets
• Maximise Recoveries
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Jackal Objectives
Not forgetting
TAX
• SOCG Achilles Heel
• Opportunities improve with
level of business
awareness
EDUCATION
• Telling the Story protects
the Public
• Credibility of response
deters SOCGs
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What kind of intelligence?
• Where does the money the SOCG generates come from, how
do they use it and where it is going to?
• Who in the OCG controls the flow of money – what does it tell
you about who is in charge and who is helping to manage the
money?
• How does the SOCG survive as a business – what is its
business support network?
• Who are its customers?
• Who are its suppliers?
• Who are its professional advisers?
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How do we use the Intelligence?
Cash Spines – Development of DETECT and
DETER opportunities based on evidence of
placement of criminal money and SOCG command
structures defined by the way money is controlled
and directed
Competitive Advantage – Development of DISRUPT
and DIVERT opportunities based on understanding
of Competitive Strengths and Weaknesses and
Interfaces between criminal and legitimate business
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A Common Goal
• ‘ Illicit drug markets are a huge economic challenge. According
to the United Nations Office on Drugs and Crime, 70% of the
criminal proceeds of drug trafficking are laundered through the
financial system and then penetrate our licit economy. We need
to be better able to identify this impact on European society and
on the EU economy. This is the reason why future work should
aim to quantify and analyse how illicit drug markets interact with
the licit economy’
Cecilia Malmstrőm
European Commissioner for Home Affairs
Foreword to EMCDDA/Europol EU Drug Markets Report
‘A Strategic Analysis’ 2012
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CONTACT
Kenneth Murray MA CA
Head of Forensic Accountancy
Police Scotland
Specialist Crime Division
Scottish Crime Campus
Craignethan Drive
Gartcosh G69 8AE
[email protected]
Tel: 01236 818918
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