Edited by Peter Reuter and Malay Majmundar

Tobacco use has declined because of measures such as high taxes on tobacco products and bans on advertising, but worldwide there are still more than one billion people who regularly use tobacco, including many who purchase products illicitly. By contrast to many other commodities, taxes comprise a substantial portion of the retail price of cigarettes in the United States and most other nations. Large tax differentials between jurisdictions increase incentives for participation in existing illicit tobacco markets. In the United States, the illicit tobacco market consists mostly of bootlegging from low-tax states to high-tax states and is less affected by large-scale smuggling or illegal production as in other countries. In the future, non-price regulation of cigarettes - such as product design, formulation, and packaging - could in principle, contribute to the development of new types of illicit tobacco markets.

Washington, DC: National Academies Press, 2015.

By KPMG

Imperial Tobacco Australia Limited (ITA) and Philip Morris Limited (PML) have commissioned KPMG UK to estimate the size of the consumption of illicit tobacco in Australia. Reports are produced annually. The purpose of this report is: 1. To provide an overview of the nature and dynamics of the legal and illicit tobacco markets in Australia, and 2. To provide an independent estimate of the size of the illicit tobacco market in Australia. This full year 2018 report measures the consumption of illicit tobacco in Australia. It reports on events occurring during the twelve month period from January 2018 through December 2018. This 2018 report is produced using a methodology in line with previous KPMG ‘Illicit Tobacco in Australia’ reports.

London: KPMG, 2019. 104p.

By KPMG

This report of key findings (the ‘Report’) has been prepared by KPMG LLP. The Report was commissioned by PMPSA (Philip Morris Products SA), described in this Important Notice and in this Report as the ‘beneficiary’, on the basis set out in a private contract agreed between the beneficiary and KPMG LLP dated 12 January 2022. Information sources, the scope of our work, and scope and source limitations are set out in the footnotes and methodology contained within this Report. The scope of our work, information sources used, and any scope and source limitations were fixed by agreement with the beneficiary. We have satisfied ourselves, where possible, that the information presented in this Report is consistent with the information sources used, but we have not sought to establish the reliability of the information sources by reference to other evidence. We relied upon and assumed without independent verification, the accuracy and completeness of information available from public and third‐ party sources. This Report has not been designed to benefit any specific organisation other than the beneficiary. In preparing this Report we have not taken into account the interests, needs, or circumstances of any specific organisation, other than the beneficiary.

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  This Report is not suitable to be relied on by any party (other than the beneficiary) wishing to acquire rights or assert any claims against KPMG LLP for any purpose or in any context. As such, any person or entity (other than the beneficiary) who reads this Report and chooses to rely on it (or any part of it) will do so at their own risk. To the fullest extent permitted by law, KPMG LLP does not assume any responsibility and will not accept any liability in respect of this Report other than to the beneficiary. In particular, and without limiting the general statement above, although we have prepared this Report in agreement with the beneficiary, this Report has not been prepared for the benefit of any other manufacturer of tobacco products nor for any other person or entity who might have an interest in the matters discussed in this Report, including for example those who work in or monitor the tobacco or public health sectors or those who provide goods or services to those who operate in those sectors.

London: KPMG, 2022. 231p.

Edited by Walter Kegö & Alexandru Molcean

A new criminal landscape is emerging in Europe. A key factor behind the dramatically increasing crime levels is Russian organized crime. While these groups are often comprised of Russians, they are not based solely on ethnicity, often members are also from former Soviet republics. According to Europol, these groups are among the most dangerous criminal groups operating in Europe today. They are involved in every type of illegal activity and excel in exploiting new opportunities in the economic and financial sectors. They make exorbitant amounts of money from illegal activities such as money laundering, human and drug trafficking, smuggling and extortion. Their activities have grown and spread to other countries to such an extent that they pose a serious problem affecting all EU member states. This report documents recent trends.

Stockholm: Institute for Security and Development Policy, 2012. 102p.

By Gavin Slade

'Thieves-in-law' (vory-v-zakone in Russian or kanonieri qurdebi in Georgian) are career criminals belonging to a criminal fraternity that has existed at least since the 1930s in the Soviet Gulag. These actors still exist in one form or another in post-Soviet countries and have integrated into transnational organised criminal networks. For reasons yet to be explicated, thieves-in-law became exceptionally prevalent in the Soviet republic of Georgia. Here, by the 1990s, they formed a mafia network where this means criminal associations that attempt to monopolize protection in legal and illegal sectors of the economy.

In 2005, Mikhail Saakashvili, the current president of Georgia claimed that 'in the past 15 years...Georgia was not ruled by [former President] Shevardnadze, but by thieves-in-law.' Directly transferring anti-organised crime policy from Italy and America, Saakashvili's government made reform of the criminal justice system generally and an attack on the thieves-in-law specifically a cornerstone of the Rose Revolution. New legislation criminalises the possession of the status of ‘thief-in-law’ and of membership of criminal associations that constitute what is known as the ‘thieves’ world’ (qurduli samkaro). Along with a sweeping reform of the police and prisons and a ‘culture of lawfulness’ campaign, Georgian criminal justice reforms since 2003 may be seen as the first sustained anti-mafia policy to be implemented in a post-Soviet country. It also appears to have been very successful.

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  The longevity and sudden decline of the thieves-in-law in Georgia provides the main questions that the following study addresses: How do we account for changes in the levels of resilience to state attack of actors carrying the elite criminal status of ‘thief-in-law’? How has this resilience been so effectively compromised since 2005? Utilising unique access to primary sources of data such as police files, court cases, archives and expert interviews this thesis studies the dynamics of changing mafia activities, recruitment practices, and structural forms of a criminal group as it relates to changes in the environment and, in particular, the recent anti-organised crime policy.

Oxford, UK: St. Anthony's College, 2011. 339p.

By Jakub Lonsky

This paper studies the origins and consequences of the Russian mafia (vory-v-zakone). Using a unique web scraped dataset containing detailed biographies of more than 5,000 mafia leaders, I first show that the Russian mafia originated in the Soviet Gulag archipelago, and could be found near the gulags' initial locations in mid-1990s Russia, some three decades after the camps were officially closed down. Then, using an instrumental variable approach that exploits the proximity of the Russian mafia to the gulags, I show that Russian communities with mafia presence in the mid-1990s experienced a dramatic rise in crime driven by elite violence which erupted shortly after the collapse of the Soviet Union in 1991. The violence – initially confined to the criminal underworld – eventually spilled over, leading to indiscriminate attacks against local businessmen, managers of state-owned enterprises, judges, and members of the state security apparatus. However, there was no increase in politically-motivated violence, suggesting a widespread collusion between the mafia and local politicians in the early post-Soviet Russia.

Global Labor Organization (GLO), 2020. 58p.

By Marcena Hunter

The Global Initiative against Transnational Organized Crime published a policy brief about possibilities on sanctions against Russia’s illicit gold trade. As gold finds itself increasingly cut off from foreign currency and financial systems, illicit gold markets and gold laundering are one way Moscow (and other sanctioned actors) could seek to generate profits and move finances across borders. The wheels of the global illicit gold market are well oiled and offer a variety of economic options to an increasingly beleaguered Moscow, along with other sanctioned actors.2 It is therefore critical to understand the potential for using criminal networks to move and launder gold to evade sanctions. Developing targeted responses to tackle abuse of gold markets will not only be critical to maximize the effectiveness of responses, but also to minimize unintended harms.

Geneva: Global Initiative Against Transnational Organized Crime, 2022. 23p,

By James O. Finckenauer and Yuri A. Voronin

The general definition of "organized crime" used in this paper is "crime committed by criminal organizations whose existence has continuity over time and across crimes, and that use systematic violence and corruption to facilitate their criminal activities." The distinctiveness of Russian organized crime is the degree to which it is embedded in the post-Soviet political system. The transnational character of Russian organized crime, when combined with its high degree of sophistication and ruthlessness, has made it a global concern. In tracing the historical, political, and economic contextual features of Russian organized crime, this paper discusses actions by the Russian government since 1991 to cope with its crime problem. It also presents a case study of organized crime in the Urals region of Russia. The paper concludes with a discussion of the actual and potential impacts of Russian organized crime on the United States. The latter discussion notes that the greatest threat to the West, the United States in particular, comes from the expansion of Urals-based criminal activities abroad. It is estimated that some 12 to 15 loosely categorized criminal groups with international ties to Russia or other former Soviet republics are currently operating in the United States, having an estimated 500-600 members.

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  These varied criminal groups are extensively involved in a broad array of frauds and scams, including health care fraud, insurance scams, stock frauds, antiquities swindles, forgery, and fuel tax evasion schemes. Russians have become the principal ethnic group involved in credit-card fraud in the United States. The laundering of the huge profits of Russian organized crime abroad is increasing its penetration into legitimate sectors of the global economy, and Federal and regional governments do not have the resources to counter its money-based power and influence. Legitimate businesses, including the movie business and textile industry, have become targets of criminals from the former Soviet Union. Countering transnational organized crime networks will require a costly and lengthy international effort in which the United States must play a major role.

Washington, DC: U.S. Department of Justice Office of Justice Programs National Institute of Justice, 2001. 40p.

Edited by Louise Shelley, Erik R. Scott and Anthony Latta

Georgia is one of the most corrupt and crime-ridden nations of the former Soviet Union. In the Soviet period, Georgians played a major role in organized crime groups and the shadow economy operating throughout the Soviet Union, and in the post-Soviet period, Georgia continues to be an important source of international crime and corruption. Important changes have been made since the Rose Revolution in Georgia to address the organized crime and pervasive corruption. This book, based on extensive original research, surveys the most enduring aspects of organized crime and corruption in Georgia and the most important reforms since the Rose Revolution. Endemic crime and corruption had a devastating effect on government and everyday life in Georgia, spurring widespread popular discontent that culminated with the Rose Revolution in 2003. Some of the hopes of the Rose Revolution have been realized, though major challenges lie ahead as Georgia confronts deep-seated crime and corruption issues that will remain central to political, economic, and social life in the years to come.

London; New York: Routledge, 2007. 144p.

By David F. Marley

This captivating resource covers the bloody history of Mexican drug cartels from their rise in the 1980s to the latest round of brutal violence, which has seen more than 125,000 Mexican citizens killed over the past decade.

This comprehensive reference work offers a detailed exploration of the vicious drug organizations that have enveloped Mexico in extreme violence since the 1980s. Organized alphabetically, the book features more than 200 entries on the major individuals and organizations that have dominated Mexico's booming illegal drug trade, as well as the Mexican armed forces and police units that have faced off against them in the escalating War on Drugs.

Santa Barbara, California : ABC-CLIO, 2019. 352p.

Edited by William J. Chambliss , Raymond Michalowski and Ronald Kramer

State Crime in the Global Age brings together original writings from leading scholars in the field to explore the many ways that the use and abuse of state power results in grave social harms that outweigh, by far, the consequences of ordinary street crime. The topics covered include the crimes of empire, illegal war, the bombing of civilians, state sanctioned torture, state sacrifice of human lives, and judicial wrongdoing. The book breaks new ground through its examination of the ways globalization has intensified potentials for state crime, as well as bringing novel theoretical understandings of the state to the study of state crime, and exploring strategies for confronting state crime. This book, while containing much that is of interest to scholars of state crime, is designed to be accessible to students and others who are concerned with the ways individuals, social groups, and whole nations are victimized by the misuse of state power.

Cullompton, Devon, UK: Willan, 2010. 322p.

By Dawn L Rothe and David O. Friedrichs

This book addresses immensely consequential crimes in the world today that, to date, have been almost wholly neglected by students of crime and criminal justice: crimes of globalization. This term refers to the hugely harmful consequences of the policies and practices of international financial institutions – principally in the global South. A case is made for characterizing these policies and practices specifically as crime. Although there is now a substantial criminological literature on transnational crimes, crimes of states and state-corporate crimes, crimes of globalization intersect with, but are not synonymous with, these crimes.

Identifying specific reasons why students of crime and criminal justice should have an interest in this topic, this text also identifies underlying assumptions, defines key terms, and situates crimes of globalization within the criminological enterprise. The authors also define crimes of globalization and review the literature to date on the topic; review the current forms of crimes of globalization; outline an integrated theory of crimes of globalization; and identify the challenges of controlling the international financial institutions that perpetrate crimes of globalization, including the role of an emerging Global Justice Movement.

Abingdon, Oxon, UK: Routledge, 2015. 158p.

By Peter Andreas

America is a smuggler nation. Our long history of illicit imports has ranged from West Indies molasses and Dutch gunpowder in the 18th century, to British industrial technologies and African slaves in the 19th century, to French condoms and Canadian booze in the early 20th century, to Mexican workers and Colombian cocaine in the modern era. Contraband, it turns out, has been an integral part of American capitalism.<span class='showMoreLessContentElement' style='display: none;'> Far from being a new and unprecedented danger to America, the illicit underside of globalization is actually an old American tradition. As the author shows, it goes back not just years but centuries. And its impact has been decidedly double-edged, not only subverting but also empowering America.

Far from being a new and unprecedented danger to America, the illicit underside of globalization is actually an old American tradition. As Andreas shows, it goes back not just years but centuries. And its impact has been decidedly double-edged, not only subverting but also empowering America

New York: Oxford University Press, 2014. 472p.

Edited by Peter Andreas and Kelly M. Greenhill

At least 200,000-250,000 people died in the war in Bosnia. "There are three million child soldiers in Africa." "More than 650,000 civilians have been killed as a result of the U.S. occupation of Iraq." "Between 600,000 and 800,000 women are trafficked across borders every year." "Money laundering represents as much as 10 percent of global GDP." "Internet child porn is a $20 billion-a-year industry." These are big, attention-grabbing numbers, frequently used in policy debates and media reporting. Peter Andreas and Kelly M. Greenhill see only one problem: these numbers are probably false. Their continued use and abuse reflect a much larger and troubling pattern: policymakers and the media naively or deliberately accept highly politicized and questionable statistical claims about activities that are extremely difficult to measure. As a result, we too often become trapped by these mythical numbers, with perverse and counterproductive consequences.

This problem exists in myriad policy realms. But it is particularly pronounced in statistics related to the politically charged realms of global crime and conflict-numbers of people killed in massacres and during genocides, the size of refugee flows, the magnitude of the illicit global trade in drugs and human beings, and so on. In Sex, Drugs, and Body Counts, political scientists, anthropologists, sociologists, and policy analysts critically examine the murky origins of some of these statistics and trace their remarkable proliferation. They also assess the standard metrics used to evaluate policy effectiveness in combating problems such as terrorist financing, sex trafficking, and the drug trade.

Ithaca, NY: Cornell University Press, 2010. 304p.

By Anthea McCarthy

Over the past decade Mexican drug cartels’ power and the violent struggles between them have increased exponentially. Previously Mexico, and in particular the border regions with the US, were the key battle grounds for control of distribution routes. However, today Mexican drug cartels are now looking abroad in an attempt to extend their operations. This expansion has seen several cartels moving into lucrative international markets in Europe and the Asia Pacific.

It is in this context that Australia has now become a target of several Mexican cartels. They have already established linkages in the Asia Pacific and are further attempting to strengthen and expand these — with a particular focus on penetrating the Australian market. These developments show how Mexican drug cartels operate as ‘dark-networks’, successfully creating a global system that seeks to capture new markets, and further extend their control and dominance of the flow of illicit drugs around the world.

For Australia, the emergence of Mexican drug cartels in local markets presents not only criminal but strategic challenges. The size of these operations, their resources and ‘dark-network’ structure makes them a difficult opponent. Their presence threatens to not only increase the supply of illicit drugs in Australia, but encourage turf wars, increase the amount of guns in the country, tax border security resources and threaten the stability and good governance of South Pacific transit spots.

This represents the end of Australia’s ‘tyranny of distance’, which previously acted as a buffer and protected Australia from the interests of remote criminal groups such as the Mexican cartels.

Canberra: Australian National University, Strategic & Defence Studies Centre ANU College of Asia & the Pacific , 2016. 12p.

By Colleen W. Cook

This report provides an overview of: Mexican cartels and their operations, including the nature of cartel ties to gangs such as the Mara Salvatrucha; Mexican cartel drug production in the United States; and the presence of Mexican cartel cells in the United States. Mexican cartels allegedly have used their vast financial resources to corrupt Mexican public officials who either turn a blind eye to cartel activities or work directly for them. Since 2005, the Mexican government has made numerous efforts to purge corrupt police. In December 2006, President Felipe Calderón launched operations against the cartels in 9 of Mexico's 32 states. He has pledged to use extradition as a tool against drug traffickers, and sent 73 criminals to the United States as of August 2007, including the alleged head of the Gulf Cartel. This report also examines potential policy approaches to the problem of drug trafficking and violence. Current U.S. and Mexican policy emphasizes interdiction and eradication. Supporters of this policy maintain that these efforts have reduced the supply of drugs in the United States. Critics maintain that Administration officials have refused to release data showing that cocaine prices are falling, suggesting that the drug supply is growing, not shrinking. These critics suggest that more emphasis should be placed on demand reduction in the United States, including drug prevention education and treatment. The Mexican government urges the United States to increase its efforts to reduce U.S. demand for drugs, stating that it cannot succeed in its efforts against the cartels so long as cartels stand to earn billions of dollars annually from the U.S. illicit drug market. Critics of current policy, including the Mexican government, are also calling for increased efforts to combat arms trafficking from the United States to Mexico.

Washington, DC: Congressional Research Service, 2008. 21p.

By Alex Zemek

• Transnational Criminal Organizations (TCOs) / Drug Trafficking Organizations (DTOs) represent a clear and present danger to stability in Mexico and Central America and have wide-spread secondary and tertiary impacts on the United States. • Illegal immigration, which has skyrocketed under the Biden Administration, contributes to the growth and power of these dangerous TCOs/DTOs. • As Communist China is an integral part of the cartels’ drug supply chain, the current paradigm weakens the U.S. and strengthens this adversary. • These cartels are violent and dangerous groups that exploit, both financially and sexually, the children, women, and men who seek to enter the United States, and as such anything that supports and empowers the cartels is inhumane. • In addition to the perils faced by illegal immigrants themselves, permitting illegal immigration has ramifications that threaten the safety, health, and welfare of all Americans. • Confronting these organized crime networks begins with maintaining border integrity and reducing the demand by American citizens for drugs, particularly addictive narcotics. Additionally, the U.S. should support efforts to thwart cartels’ illicit activities and those materially supporting them, and should seek more accountability from the Mexico, and other foreign governments, in combating transnational criminals.

Arlington, VA : American First Policy Institute, 2022. 21p.

By John Coyne

Whether in Mexico, the US or Australia, the image of the transnational serious and organised crime (OC) threat from ‘Mexican cartels’ used to construct policy doesn’t appear to engage with the reality that there’s no homogeneous Mexican cartel, cartels or OC group.

This report argues that, for Australia and Asia, the menace of Mexican OC is no longer looming on the horizon; it has already arrived.

However, the nature of the Mexican OC problem in Australia and Asia is not likely to be the same as that found in either the US or Mexico. To respond effectively to this rising threat, Australian policymakers need to approach the issue with a more informed perspective that engages with the complex nature of the various groups that collectively form what’s broadly considered to be Mexican OC.

Furthermore, the policy response to Mexican OC will need to more agile than the measures contained in Australia’s current National Organised Crime Response

Canberra: Australian Strategic Policy Institute, 2017. 28p.

By Lauren Greenwood and Kevin Fashola

According to the U.S. Centers for Disease Control and Prevention (CDC), synthetic opioids—primarily illicit fentanyl—remain the largest cause of overdose deaths in the United States. 1 The CDC estimates that in the United States, there were more than 93,000 drug overdose deaths in 2020, of which an estimated 69,710 were opioid overdoses. This is a more than 30 percent increase from the 50,963 opioid overdoses in 2019. *2 Stay-home orders, disruption of normal routines, economic hardships, and other stressors related to the novel coronavirus (COVID19) pandemic contributed to the rise in abuse of illicit opioids in the United States in 2020,3 despite the increased price of street fentanyl.

Washington, DC: U.S.-China Economic and Security Review Commission, 2021. 15p.

By Laura Y. Calderón

Mexico had the most violent year in its history in 2019, reporting 29,406 intentional homicide cases, resulting in 34,588 individual victims.1 However, violence remains a highly focalized phenomenon in Mexico, with 23% of all intentional homicide cases concentrated in five municipalities and three major clusters of violence with homicide rates over 100 per 100,000 inhabitants. Following the national trend, the state of Guanajuato also had its most violent year in 2019, with one of its largest cities featured in the country’s top five most violent municipalities. This paper will analyze the surge in violence in Guanajuato in 2019, comparing the number of intentional homicide cases with the increasing problem of fuel theft in the state, and describing some of the state and federal government measures to address both issues.

San Diego: Justice in Mexico, University of San Diego, 2020. 28p.