Financial Crime World

Extremist Ideology Fuels Wave of Violence in the US

Domestic Violent Extremists on the Rise

A growing number of domestic violent extremists (DVEs) are targeting civilians, law enforcement, symbols of government power, and mass public gatherings. According to a recent report, the insular nature of these individuals’ radicalization and mobilization to violence makes it challenging for authorities to detect and disrupt their activities before they occur.

Targets of Opportunity

The FBI has warned that DVEs may focus on accessible targets, including:

  • Civilians
  • Law enforcement
  • The military
  • Houses of worship
  • Retail locations
  • Mass public gatherings

Their actions are often motivated by a desire to challenge the authority of the government and promote an anti-authoritarian ideology.

Financial Frauds on the Rise

Meanwhile, fraud schemes have become a major concern for financial institutions and authorities. According to the Treasury Department, fraud generates the largest share of illicit proceeds in the US, with:

  • Healthcare fraud estimated to generate approximately $100 billion annually
  • Internet-enabled fraud schemes, such as romance scams and synthetic identity fraud, increasingly common

Combating Threats

To combat these threats, law enforcement agencies are working together to:

  • Disrupt and dismantle DVE networks
  • Prosecute those responsible for fraud
  • Launch investigations into COVID-19-related fraud schemes
  • Issue advisories on the topic

Foreign Intelligence Entities and Transnational Criminal Organizations

Foreign intelligence entities and their proxies have been using illicit financial practices to fund influence campaigns and facilitate espionage activity in the US. These entities:

  • Establish front companies
  • Conduct targeted investments to gain access to sensitive individuals, information, technology, and intellectual property

Transnational criminal organizations (TCOs) operating in the US are also a major concern, engaging in:

  • Cybercrime
  • Drug trafficking
  • Fraud
  • Wildlife trafficking
  • Human smuggling
  • Weapons trafficking

Enhancing Detection and Disruption Efforts

In response to these threats, authorities are working to enhance their ability to detect and disrupt illegal activity by:

  • Improving information sharing between agencies
  • Increasing funding for law enforcement and counterterrorism efforts
  • Developing new strategies to combat fraud and other forms of financial crime