Question: IT at Work

Money Laundering, Organized Crime, and Terrorist Financing

According to the U.S. Department of State (state.gov), organized crime rings rely on money laundering to fund their operations. This practice poses international and national security threats. It undermines free enterprise by crowding out the private sector, and it threatens the financial stability of nations. Funds used to finance terrorist operations are very difficult to track. Despite this obscurity, by adapting methods used to combat money laundering, such as financial analysis and investigations, authorities can significantly disrupt the financial networks of terrorists and build a paper trail and base of evidence to identify and locate leaders of terrorist organizations and cells. International organized crime syndicates, al-Qaeda groups, and other cybercriminals steal hundreds of billions of dollars every year. Cybercrime is safer and easier than selling drugs, dealing in black market diamonds, or robbing banks. Online gambling offers easy fronts for international money-laundering operations.