How Brexit and major police cuts are strengthening organized crime

Money is power.

People will assume that this statement is so obvious that it does not need to be emphasized. But in the area of organized crime and its dealings with corrupt officials within governments, financial institutions and the acquisition of property and companies across Europe – including Britain – this is the crucial element. It applies to the wider world, but in this piece I intend to focus on European countries, including Britain.

If this situation is so obvious and has been for over thirty years, how have UK law enforcement agencies, which in theory should be supported by the government, tackled this serious problem that affects entire populations even if they do not realize it ?

Drug Trafficking Act

We can go back to 1986, when new legislation allowed the search and seizure of drug-related assets, and allowed the aforementioned institutions to make suspicious transactions public. This legislation has subsequently been significantly improved. Were law enforcement agencies able to respond, then and now? In short, the answer to both is: no.

In 1986, a small team within the National Drug Intelligence Unit (NDIU) was formed to investigate and respond to this new area of research, working with financial institutions in the City of London and the wider United Kingdom. Each police force trained small, dedicated teams. As leader, I became the first British police officer to join the G7 Financial Action Task Force, attending meetings in Paris, Strasbourg and the US to ‘spread the word’.

International Crime Liaison

It soon became clear that there was a lack of connection with other enforcement agencies within Europe and the US. In many cases, there was not even operational and intelligence cooperation. Yes, there was Interpol for the routine exchange of messages and non-urgent investigations, but the requirement was live operational and intelligence contacts.

Between 1988 and 1990, drug and criminal intelligence liaison officers were stationed in Europe, the United States and to a lesser extent in South America and South East Asia. In Europe this included France, Germany, Netherlands, Spain, Portugal, Turkey and in my case Italy/Albania. The NDIU became the Serious and Organized Crime Agency (SOCA) and today the National Crime Agency (NCA). What would we achieve without the regular re-badging exercise?

Fighting the mafia

It quickly became clear to me and my colleagues that the enforcement services within Europe were very active in the world of financial investigation and intelligence. The classic example is Judge Giovanni Falcone and his team based in Sicily and later in Rome, whose whole ethos in arresting the upper echelons of Italy’s organized crime syndicates (the Mafia) was to ‘follow the money’.

By basing his investigation on this format, he managed to arrest and convict hundreds of known mafiosi across Europe and the US. In my work with Falcone, both in London, the Channel Islands and later in Italy, he never missed an opportunity to reinforce this mantra.

Of course, the situation has become even more important in 2022 and the power of organized crime groups has escalated across Europe. Yes, the Italian organized crime groups Cosa Nostra, Camorra and Ndrangheta are still extremely influential, but are now joined by often violent mafia groups from Russia, Turkey, Albania and beyond.

Human trafficking

The amount of money generated by the traditional forms of international crime, drug and arms trafficking, counterfeiting and fraud is now vastly increased by human trafficking and the enormous corrupt payments to local and ruling government and parliamentary officials, especially by corrupt Russian oligarchs. of whom they live in Great Britain.

The amounts of money collected through human trafficking are enormous, and the actual human trafficking operation does not include the inherent danger of arrest for the main principles (the leaders of crime syndicates). Therefore, financial intelligence, investigation and the seizure of criminal assets must be the main and crucial driver followed by enforcement agencies across Europe, in particular Britain.

Money laundering

Many within British law enforcement – and to a much lesser extent the government – have recognized that London is a money laundering center for international organized crime groups. Some say yes the center of the world’s money laundering activities. I have read that £150 billion is laundered through London every year, both in offshore accounts and within London’s vast property and business empire. I would suggest that this might be a conservative estimate.

So, what’s the response? Has the situation improved since those early, productive days of 1986? Yes, the legislation has improved, including the introduction of the rarely used ‘Unexplained Wealth Orders’. But has ‘skill’ also improved within the many law enforcement agencies that should deal with such an important part of criminal investigation? Has the seizure of criminal assets (homes, cars, yachts and businesses) increased dramatically? Unfortunately, the answer is no.

Budget cuts have decimated specialist crime teams

The majority of police forces do not have officers involved in this form of investigation. Many experienced employees within the central bodies have retired or are now working in the private sector. Government cuts to police forces and central agencies have led to the decimation of such teams, which were supposed to be at the forefront of major money laundering investigations.

The overseas connection network still exists. In fact, this situation has improved since those early days, but is seriously affected by the idiocy of Brexit and the beginning of the breakdown of law enforcement cooperation between Britain and the EU.

The danger of a return to the situation before the 1990s is constantly present. The power of organized crime groups has never been greater. The City of London continues to be compromised by corrupt Russian, Middle Eastern and offshore tax haven money and influence.

It is imperative that we return to Judge Giovanni Falcone’s mantra. It’s time to “follow the money” again!