Escalating Tensions Between The United States And Iran Pose Potential Threats To The United States

Become a Patron!
True Information is the most valuable resource and we ask you to give back

The Joint Intelligence Bulletin (JIB) is planned to help bureaucratic, state, nearby, innate, and regional counterterrorism, digital, and law implementation authorities, and private segment accomplices, to viably stop, forestall, appropriate, or react to episodes, deadly tasks, or fear based oppressor assaults in the United States that could be led by or for the benefit of the Government of Iran (GOI) if the GOI were to see activities of the United States Government (USG) as demonstrations of war or existential dangers to the Iranian system. The GOI could act straightforwardly or enroll the participation of intermediaries and accomplices, for example, Lebanese Hizballah. The FBI, DHS, and NCTC had evaluated any active retaliatory assault would initially happen abroad. In the occasion the GOI were to decide to direct a Homeland assault, potential targets and strategies for assault in the Homeland could run from digital activities, to focused deaths of people considered dangers to the Iranian system, to damage of open or private foundation, including US army installations, oil and gas offices, and open tourist spots. USG activities may likewise incite vicious radical supporters of the GOI to submit assaults in retaliation, with next to zero notice, against US-based Iranian protesters, Jewish, Israeli, and Saudi people and interests, and USG faculty.

Continue reading “Escalating Tensions Between The United States And Iran Pose Potential Threats To The United States”

Website Defacement Activity Indicators Of Compromise And Techniques Used To Disseminate Pro-Iranian Messages

Become a Patron!
True Information is the most valuable resource and we ask you to give back

Following a week ago’s US airstrikes against Iranian military initiative, the FBI watched expanded revealing of site ruination movement spreading Pro-Iranian messages. The FBI accepts a few of the site disfigurement were the consequence of digital on-screen characters misusing realized vulnerabilities in content administration frameworks (CMSs) to transfer ruination documents. The FBI exhorts associations and individuals worried about Iranian digital focusing on be acquainted with the markers, strategies, and procedures gave in this FLASH, just as strategies and methods gave in as of late spread Private Industry Notification “Notice on Iranian Cyber Tactics and Techniques” (20200109-001, 9 January 2020).

Continue reading “Website Defacement Activity Indicators Of Compromise And Techniques Used To Disseminate Pro-Iranian Messages”

Cyber Criminals Use Social Engineering and Technical Attacks to Circumvent Multi-Factor Authentication

Become a Patron!
True Information is the most valuable resource and we ask you to give back.

The FBI has watched digital entertainers bypassing multifaceted verification through normal social building and specialized assaults. This Stick clarifies these techniques and offers relief procedures for associations and elements utilizing multifaceted confirmation in their security endeavors. Multifaceted validation keeps on being a solid and compelling safety effort to secure online records, as long as clients play it safe to guarantee they don’t succumb to these assaults.

Multifaceted validation is the utilization of an assortment of strategies to affirm a client’s personality rather than just utilizing a username and secret phrase. Regularly this sort of verification utilizes an optional token which changes after some time to give a one-time password, yet numerous organizations currently utilize biometrics or social data, for example, time of day, geolocation, or IP address—as a type of validation.

Danger Diagram

FBI detailing distinguished a few strategies digital on-screen characters use to go around prevalent multifaceted verification systems so as to acquire the one-time password and access ensured accounts. The essential techniques are social building assaults which assault the clients and specialized assaults which target web code.

In 2019 a US banking establishment was focused by a digital assailant who had the option to exploit a blemish in the bank’s site to evade the two-factor confirmation actualized to ensure accounts. The digital assailant signed in with taken injured individual accreditations and, when arriving at the optional page where the client would typically need to enter a Stick and answer a security question, the aggressor entered a controlled string into the Internet URL setting the PC as one perceived on the record. This enabled him to sidestep the Stick and security question pages and start wire moves

from the exploited people’s records.

In 2016 clients of a US banking establishment were focused by a digital assailant who ported their telephone numbers to a telephone he possessed—an assault called SIM swapping. The aggressor considered the telephone organizations’ client care delegates, discovering some who were all the more ready to give him data to finish the SIM swap. When the aggressor had command over the clients’ telephone numbers, he called the bank to demand a wire move from the unfortunate casualties’ records to another record he possessed. The bank,

perceiving the telephone number as having a place with the client, didn’t request full security questions yet mentioned a one-time code sent to the telephone number from which he was calling. He additionally mentioned to change PINs and passwords and had the option to connect unfortunate casualties’ charge card numbers to a versatile installment application.

Through the span of 2018 and 2019, the FBI’s Web Wrongdoing Grievance Center and FBI unfortunate casualty grumblings watched the above assault—SIM swapping—as a typical strategy from digital culprits trying to go around two-factor validation. Casualties of these assaults have had their telephone numbers taken, their financial balances depleted, and their passwords and PINs changed. A large number of these assaults depend on socially building client care agents for significant telephone organizations, who offer data to the assailants.

In February 2019 a digital security master at the RSA Gathering in San Francisco, exhibited a huge assortment of plans and assaults digital on-screen characters could use to dodge multifaceted validation. The security master exhibited ongoing instances of how digital entertainers could utilize man-in-the-center assaults and session capturing to block the traffic between a client and a site to lead these assaults and keep up access for whatever length of time that conceivable. He likewise showed social building assaults, including phishing plans or fake instant messages implying to be a bank or other help to make a client sign into a phony site and surrender their private data.

At the June 2019 Hack-in-the-Crate gathering in Amsterdam, digital security specialists exhibited a couple of devices—Muraena and NecroBrowser—which worked pair to robotize a phishing plan against clients of multifaceted confirmation. The Muraena instrument captures traffic between a client and an objective site where they are mentioned to enter login qualifications and a token code not surprisingly. When validated, NecroBrowser stores the information for the casualties of this assault and seizes the session treat, permitting digital on-screen characters to sign into these private records, take them over, and change client passwords and recuperation email addresses while keeping up access as far as might be feasible.

Moderation Systems

Guarding against multifaceted confirmation assaults requires consciousness of the assaults which evade the security and consistent watchfulness for social designing assaults.

Instruct clients and heads to distinguish social building deceit—how to perceive counterfeit sites, not tap on maverick connections in email, or square those connections altogether—and show them how to deal with basic social designing strategies.

Consider utilizing extra or progressively complex types of multifaceted validation for clients and overseers, for example, biometrics or conduct verification strategies, however this may add burden to these clients.

FBI Cyber Research revealed

Become a Patron!
True Information is the most valuable resource and we ask you to give back.

The FBI identified incidents over the past few months in which cyber actors scanned for and sought to exploit audio and visual communication devices on networks to identify vulnerabilities which could later be used to gain access and unlawfully acquire information about the organization. In addition to targeting corporate information, vulnerable devices may be targeted for compromise for use in botnets or other criminal activities. The types of devices targeted include: Voice over Internet Protocol (VoIP) phones, video conferencing equipment, conference phones, VoIP routers, and cloud-based communication systems. While cyber actors have targeted VoIP and other communication devices in the past, the FBI continues to see these devices scanned by cyber actors for vulnerabilities.

Threat

Specifically, the FBI observed cyber actors identifying and probing communication devices by issuing HTTP GET requestsa to a business server or network to retrieve device configuration files. Information contained in configuration files often reveals IP addresses, usernames, passwords, system management URLs, and assigned phone numbers – all of which could be used by cyber actors for malicious purposes. Many of the requests are specific to particular brands of devices. Victims will often receive several GET requests in succession with the actors scanning for multiple brands of devices.

In addition, cyber actors retrieve IP addresses for further exploitation by using businesses’ customer service VoIP hyperlinks, which are traditionally made available for customers to use in contacting the business. Once those hyperlinked calls are answered, the actor retrieves the IP address belonging to the phone which answered the call. Once the IP address is retrieved, an actor could send a large volume of packets to the IP address, overloading it and taking the service offline for the targeted business and its legitimate customers.

In addition to the above techniques, cyber actors target devices with brute-force attacks, attempting unauthorized access through the use of common usernames and passwords. Open source scanning tools can also be used to identify vulnerable communication devices and any associated ports.

All of the information obtained through scans and other methods are likely used for specific targeting efforts by cyber actors. This includes leveraging access to compromised audio and video devices to eavesdrop on meetings or conference calls, placing fraudulent international phone calls, leveraging the compromised device for use in botnets, and conducting man-in-the-middle attacks to redirect corporate network traffic.

Recommendations

The following recommendations may limit the success of these types of attacks:

Conduct daily server log reviews to identify unusual activity, including GET and POST requests from external IP addresses.

Work with the communication device/system providers to ensure servers are patched and updated regularly.

Consider restricting access to configuration files or configuring firewalls to block traffic from unauthorized IP addresses.

Restrict communication devices/systems to only non-sensitive business networks.

Conduct regular penetration testing exercises on communication devices to identify and address vulnerabilities in a timely matter.

Enable encryption on teleconference programs and applications and consider disabling auto-answer capabilities.

Password protect configuration files, if possible.

Regularly review and update users with access to administrative accounts.

Segment configuration files on the network. Be sure to protect configuration and other device-related files after getting the device out of the box. Don’t just plug and play.

 

DHS & FBI about ISIS Leader Baghdadi’s current Situation

Become a Patron!
True Information is the most valuable resource and we ask you to give back.

Image result for baghdadi video

Executive Summary:
(U//FOUO) This Joint Intelligence Bulletin (JIB) is intended to provide information on the recent video appearance by the Islamic State of Iraq and ash-Sham (ISIS) leader Abu Bakr al-Baghdadi. The video addresses the group’s territorial defeat in Syria, discusses the acceptance of pledges of allegiance from ISIS supporters, and praises recent attacks in Sri Lanka and Saudi Arabia. This JIB is provided by the FBI, DHS, and NCTC to support their respective activities and to assist federal, state, local, tribal, and territorial government counterterrorism and law enforcement officials and private sector security partners in deterring, preventing, or disrupting terrorist attacks against the United States. All video details described in this JIB are taken from the translated transcript of Baghdadi’s speech. The information cutoff date is 1 May 2019.

(U) Details of ISIS Leader Abu Bakr al-Baghdadi’s Video Message

(U//FOUO) On 29 April 2019, ISIS’s al-Furqan Media Establishment publicly released an 18-minute video message in Arabic titled “In the Company of the Amir of the Believers”, which shows ISIS leader Abu Bakr al-Baghdadi sitting on a carpet in an undisclosed location with an assault rifle at his side. This is Baghdadi’s first public statement since his August 2018 audio message, and his first video appearance since July 2014, when Baghdadi was filmed introducing himself as “caliph” of the newly-declared caliphate at the Grand Mosque in Mosul, Iraq.

(U) Baghdadi Vows a “Long Battle Ahead” Despite Defeat in Syria

• (U//FOUO) Baghdadi emphasizes that ISIS’s fight is not over, stating, “In truth, the battle between Islam and its people with the Cross and its people is long.” He further explains that ISIS is engaged in a multigenerational struggle and they plan to wear down their enemies with attrition, emphasizing that “jihad will continue until Judgement Day” and that “God Almighty ordered us to wage jihad and did not order us to achieve victory.”

• (U//FOUO) Baghdadi acknowledges that ISIS lost the war in Baghuz, Syria, but emphasizes that the “bravery, steadfastness, and endurance of the Ummah of Islam was evident.” He states that ISIS’s soldiers did not abandon their faith during the battle, and sacrificed their lives rather than giving away land to ISIS’s enemies.

• (U//FOUO) Baghdadi praises the members in all of ISIS’s provinces for their “unified raid to avenge their brothers in Syria, which amounted to 92 operations in eight countries.” He states these attacks indicate the cohesion and steadfastness of the “mujahedeen.” Baghdadi praises and thanks the now-deceased emirs, provincial governors, military personnel, and media members from various countries for their support to ISIS.

(U) Baghdadi Praised the Attacks in Sri Lanka and Saudi Arabia and Calls for Additional Operations

• (U//FOUO) Video footage displays the Sri Lanka attackers—who conducted a series of suicide bombings against luxury hotels and Christian churches in Sri Lanka on 21 April, killing approximately 250 people—pledging allegiance to Baghdadi, while audio of purportedly Baghdadi’s voice is heard stating, “You brothers in Sri Lanka have pleased the monotheists by their commando operations that unsettled the Crusaders in their Easter celebrate to avenge their brothers in Baghuz.” Baghdadi continues with “praise be to God, for among those killed were some Americans and Europeans.” Baghdadi congratulates the Sri Lanka attackers on their pledge of allegiance to join the “caliphate,” and asked God to accept them as martyrs.

• (U//FOUO) Baghdadi acknowledges the attack in Saudi Arabia—where ISIS fighters attacked a Saudi security building in Az Zulfi on 21 April—and asked God that it be “followed by another one.” He calls on members in Saudi Arabia “to continue down the path of jihad” against the Saudi regime.

• (U//FOUO) While Baghdadi appears in discussion with unidentified men, text on the screen indicates he was giving directives to “double the effort and intensify the blows against the Crusaders, apostates, and their supporters.”

(U) Baghdadi Accepts Pledges of Allegiance and Praises Global Network

• (U//FOUO) The video shows Baghdadi being handed booklets by one of the unidentified men which are labeled with the names of ISIS provinces, including Libya, Khorasan, Somalia, Yemen, Caucasus, West Africa, Central Africa, and Turkey, as well as Tunisia, which is not publicly identified as a province. This is the first time ISIS has referred to Turkey as an official province, or “wilayah,” in its media releases.

• (U//FOUO) Additionally, Baghdadi accepts pledges of allegiance from ISIS members in Burkina Faso and Mali, and congratulates them for joining the “caliphate.” He recommends they intensify their attacks against France and its allies and to avenge their brothers in Iraq and Syria.

• (U//FOUO) Baghdadi congratulates ISIS members in Libya for their resoluteness and their raid on the town of Al Fugaha, Libya. He states that despite their withdrawal from it, they have shown their enemies that they are capable of taking the initiative, knowing their battle today is a battle of attrition.

(U) Baghdadi’s Image Starkly Contrasts with Last Appearance in 2014

(U//FOUO) The video’s presentation of Baghdadi as an insurgent leader—similar to the images of now-deceased al-Qa‘ida (AQ) leader Usama Bin Laden and now-deceased AQ in Iraq leader Abu Musab al-Zarqawi from prior videos—contrasts with Baghdadi’s July 2014 appearance at the Grand Mosque in Mosul, Iraq, where he delivered a formal address from the mosque’s pulpit wearing a black turban and robe probably to evoke images of the last caliphs who ruled from Baghdad.

(U) Outlook

(U//FOUO) The FBI, DHS, and NCTC assess Baghdadi’s appearance almost certainly will bolster the morale for ISIS’s existing supporters around the world, including those in the United States, by indicating Baghdadi is alive and in control of the group as of late April 2019. Most homegrown violent extremists (HVEs) generally do not mobilize to violence in response to specific events and instead are usually influenced by a confluence of sociopolitical, ideological, and personal factors.a However, those wavering in their commitment to ISIS might feel a sense of renewed devotion to the group as Baghdadi is alive and apparently still managing ISIS.

Christchurch May Inspire Other Terrorists – DHS-FBI

Become a Patron!
True Information is the most valuable resource and we ask you to give back.

This Joint Intelligence Bulletin (JIB) is intended to provide information on Australian national and violent extremist Brenton Tarrant’s 15 March 2019 attacks on two mosques in Christchurch, New Zealand. These attacks underscore the enduring nature of violent threats posed to faith-based communities. FBI, DHS, and NCTC advise federal, state, local, tribal, and territorial government counterterrorism and law enforcement officials and private sector security partners responsible for securing faith-based communities in the Homeland to remain vigilant in light of the enduring threat to faith-based communities posed by domestic extremists (DEs), as well as by homegrown violent extremists (HVEs) who may seek retaliation. This JIB is provided to assist federal, state, local, tribal, and territorial counterterrorism and law enforcement officials and private sector security partners to effectively deter, prevent, preempt, or respond to incidents and terrorist attacks in the United States.

(U) Attack Details

(U//FOUO) On 15 March 2019, New Zealand police arrested an Australian national who appeared to be inspired by a white supremacist ideology and who allegedly conducted a shooting attack on two mosques in Christchurch, New Zealand. This attack highlights the enduring threat of violence posed to faith-based communities. There are currently 49 victims deceased, and 20 others are listed as being in critical condition following the attack.

» (U//FOUO) On 15 March 2019, at about 1:40 PM local time, Australian national Brenton Tarrant used firearms to attack the Masjid Al Noor Mosque in the city of Christchurch, New Zealand, before conducting a similar shooting attack at the Linwood Masjid Mosque, approximately four miles away. Tarrant drove to the attack sites and livestreamed a video of the attack. Police also discovered improvised explosive devices in a vehicle connected with the attack. Tarrant is currently the only known perpetrator; however, investigation of his movements and associates continues.

» (U//FOUO) Tarrant disseminated a manifesto prior to the shooting which detailed his concerns of perceived “white genocide.” The manifesto contains a wide range of anti-immigrant and anti-Muslim views. One reason listed as to why he carried out the attack was “to create conflict…within the United States on the ownership of firearms in order to further the social, cultural, political, and racial divide within the United states [sic].”

» (U//FOUO) Tarrant claimed to have been planning the attack for two years and recently relocated to New Zealand to live temporarily while he “planned and trained.” He claimed to have chosen to conduct his attack in Christchurch three months prior to show such attacks could happen anywhere.

(U) Mosque Attacks Could Incite Like-Minded and Retaliatory Attacks

(U//FOUO) We are concerned online sharing of Tarrant’s livestreamed footage could amplify viewer reaction to the violent attack and possibly incite similar attacks by those adhering to violent extremist ideologies in the United States and abroad, as well as retaliatory attacks from HVEs and individuals otherwise affiliated with foreign terrorist organizations. Tarrant appeared to have been influenced by prior attacks by violent extremists in the United States and other countries, and we remain concerned that US-based DEs of similar ideologies could become inspired by this attack. Although most HVEs generally do not mobilize to violence in response to specific events and instead are usually influenced by a confluence of sociopolitical, ideological, and personal factors, exceptions may occur and we remain concerned for the potential of retaliatory attacks by some HVEs, as we have already seen calls for attacks by violent extremists online.

» (U//FOUO) Tarrant claimed Norwegian mass attacker Anders Brevik gave his “blessing” for the attack. Tarrant’s ammunition cases also displayed handwritten names of violent extremists in Canada and elsewhere who previously conducted violent attacks on Muslims or in support of violent extremist ideologies.

» (U//FOUO) An examination of online jihadist media following the mosque attacks indicates various al-Qa‘ida and ISIS supporters are posting attack images to express outrage and are calling upon all Muslims to respond to the New Zealand attacks by launching their own near-term attacks in retaliation.

The Daily Show – A Special Prosecutor Steps In

Become a Patron!
True Information is the most valuable resource and we ask you to give back.

Special Prosecutor Russia, Special Prosecutor Definition, Special Prosecutor Trump, Special Prosecutor Trump Russia, Special Prosecutor Nixon, Special Prosecutor Vs Independent Commission, Special Prosecutor Mueller, Special Prosecutor Appointment, Special Prosecutor Clinton, Special Prosecutor Obama, Special Prosecutor Appointment, Special Prosecutor Act, Special Prosecutor And Trump, Special Prosecutor Authority, Special Prosecutor Appointed Today, Special Prosecutor Archibald, Special Prosecutor Attorney General, Special Prosecutor Assigned, Special Prosecutor After Cox, Special Prosecutor Announcement, Special Prosecutor Benghazi, Special Prosecutor Bush, Special Prosecutor Bbc, Special Prosecutor Bad Idea, Special Prosecutor Budget, Special Prosecutor Bc, Special Prosecutor Clinton, Special Prosecutor Cox, Special Prosecutor Clinton Emails, Special Prosecutor Congress, Special Prosecutor Comey, Special Prosecutor Criminal, Special Prosecutor Cases, Special Prosecutor Candidates, Special Prosecutor Conflict Of Interest, Special Prosecutor Crs, Special Prosecutor Definition, Special Prosecutor Donald Trump, Special Prosecutor Doj, Special Prosecutor Duties, Special Prosecutor During Obama, Special Prosecutor Department Of Justice, Special Prosecutor Definition Quizlet, Special Prosecutor Dead, Special Prosecutor Dershowitz, Special Prosecutor Document, Special Prosecutor Examples, Special Prosecutor Explained, Special Prosecutor Ethics, Special Prosecutor Expert, Special Prosecutor Scott Ellington, Special Prosecutor Hillary Email, Special Prosecutor Clinton Email, Special Prosecutor Thomas E. Carluccio, Eulex Special Prosecutor’s Office, Special Prosecutor For Trump, Special Prosecutor For Russia, Special Prosecutor For Watergate, Special Prosecutor Fitzgerald, Special Prosecutor For Trump Russia, Special Prosecutor For Clinton, Special Prosecutor Fbi, Special Prosecutor For Benghazi, Special Prosecutor For Nixon, Special Prosecutor Fired By Nixon, Special Prosecutor Gop, Special Prosecutor Grand Jury, Special Prosecutor George Bush, Special Prosecutor Good For Trump, Special Prosecutor Ghana, Special Prosecutor Gansler, Special Prosecutor Freddie Gray, Special Prosecutor Vs Grand Jury, Special Prosecutor Attorney General, Garner Special Prosecutor, Special Prosecutor Hillary, Special Prosecutor History, Special Prosecutor House Of Cards, Special Prosecutor How, Special Prosecutor Hired, Special Prosecutor How Appointed, Special Prosecutor How Does It Work, Special Prosecutor Hillary Email, Special Prosecutor Us History Definition, Special Prosecutor Independent Commission, Special Prosecutor In Watergate, Special Prosecutor Investigation, Special Prosecutor Independent Counsel, Special Prosecutor Iran Contra, Special Prosecutor In Spanish, Special Prosecutor Investigated President Clinton’s Investments, Special Prosecutor Independent Investigation, Special Prosecutor Investigating Trump, Special Prosecutor Independent, Special Prosecutor Job, Special Prosecutor Justice Department, Special Prosecutor Jeff Sessions, Special Prosecutor Jaworski, Special Prosecutor Grand Jury, Special Prosecutor Vs Grand Jury, Special Prosecutor Ken, Special Prosecutor Korean, Special Prosecutor Kosovo, Special Prosecutor Kent Schaffer, Special Prosecutor Killed, Koschman Special Prosecutor, Special Prosecutor Law, Special Prosecutor Letter, Special Prosecutor Legislation, Special Prosecutor List, Special Prosecutor Law 1999, Special Prosecutor Lawrence Walsh, Special Prosecutor Lapse, Special Prosecutor Law Expiration, Special Prosecutor Law Usa, Special Prosecutor Mueller, Special Prosecutor Meme, Special Prosecutor Meaning, Special Prosecutor Molar, Special Prosecutor Mccain, Special Prosecutor March, Special Prosecutor Mcconnell, Special Prosecutor Mueller Wiki, Special Prosecutor Mandate, Special Prosecutor Mueller Age, Special Prosecutor Nixon, Special Prosecutor Needed, Special Prosecutor News, Special Prosecutor Nixon Fired, Special Prosecutor Npr, Special Prosecutor Now, Special Prosecutor Names, Special Prosecutor New York Times, Special Prosecutor Not The Answer, Special Prosecutor Named Today, Special Prosecutor Obama, Special Prosecutor Vs Special Counsel, Special Prosecutor On Russia, Special Prosecutor Or Commission, Special Prosecutor Vs Independent Commission, Special Prosecutor Obama Administration, Special Prosecutor Office, Special Prosecutor In Watergate, Special Prosecutor On Trump, Special Prosecutor Options, Special Prosecutor Process, Special Prosecutor Poll, Special Prosecutor Patrick, Special Prosecutor Pros And Cons, Special Prosecutor Police Misconduct, Special Prosecutor Pay, Special Prosecutor President Clinton, Special Prosecutor Past, Special Prosecutor Protest, Special Prosecutor Power, Special Prosecutor Quizlet, Special Prosecutor Qualifications, Special Prosecutor Russia, Special Prosecutor Russia Trump, Special Prosecutor Rules, Special Prosecutor Requirements, Special Prosecutor Robert, Special Prosecutor Republican, Special Prosecutor Role, Special Prosecutor Regulations, Special Prosecutor Reagan, Special Prosecutor Rod Rosenstein, Special Prosecutor Statute, Special Prosecutor Starr, Special Prosecutor Salary, Special Prosecutor Special Counsel, Special Prosecutor Schumer, Special Prosecutor Scalia, Special Prosecutor Statute Expired, Special Prosecutor Select Committee, Special Prosecutor Script, Special Prosecutor Senate, Special Prosecutor Trump, Special Prosecutor Trump Russia, Special Prosecutor Twitter, Special Prosecutor Trump Clinton, Special Prosecutor Trump Comey, Special Prosecutor To Investigate Clinton, Special Prosecutor To Investigate, Special Prosecutor Today, Special Prosecutor Tax Returns, Special Prosecutor Trump Investigation, Special Prosecutor Unconstitutional, Special Prosecutor Us History, Special Prosecutor Usa, Special Prosecutor Under Obama, Special Prosecutor Under Bush, Special Prosecutor Used In A Sentence, Special Prosecutor Uk, Special Prosecutor Us History Definition, Special Public Prosecutor Under Crpc, Special Victims Unit Prosecutor, Special Prosecutor Vs Independent Commission, Special Prosecutor Vs Special Counsel, Special Prosecutor Vs Select Committee, Special Prosecutor Vs Independent Counsel, Special Prosecutor Vote, Special Prosecutor Vs Independent Investigation, Special Prosecutor Cox, Special Prosecutor Vs Commission, Special Prosecutor Vs Independent, Special Prosecutor Vs Counselor, Special Prosecutor Wiki, Special Prosecutor Who Appoints, Special Prosecutor Whitewater, Special Prosecutor Watergate, Special Prosecutor Walsh, Special Prosecutor White House, Special Prosecutor With Larry Klayman, Special Prosecutor Wapo, Special Prosecutor West Wing, Special Prosecutor Washington Post, Special Prosecutor New York, Special Prosecutor New York State, Special Narcotics Prosecutor New York, Zimmerman Special Prosecutor

Revealed – FBI Updates Congress on Threats Involving Insiders

C. Frank Figliuzzi speaking before House Committee on Homeland Security
C. Frank Figliuzzi, assistant director of the Counterintelligence Division, briefs members of Congress.

FBI Counterintelligence executive C. Frank Figliuzzi briefed members of a House subcommittee on our efforts to disrupt economic espionage activity in the U.S., which—based on our pending cases—has resulted in losses of more than $13 billion to the American economy. Figliuzzi highlighted two growing threats: the willingness of so-called insiders to steal trade secrets and other proprietary information and hand it over to foreign entities; and the illegal transfer of U.S. technology, which could potentially end up in weapons of mass destruction.

The hearing, titled “Economic Espionage: A Foreign Intelligence Threat to Americans Jobs and Homeland Security,” also featured officials from the Department of Homeland Security’s Immigration and Customs Enforcement, the U.S. Patent and Trademark Office, and the U.S. Government Accountability Office. Figliuzzi noted that the “partnerships represented at this hearing”—coupled with public awareness—are a vital component to combating economic espionage.

Secret from the FBI – CIO of Hedge Fund Sentenced to One Year in Prison for Insider Trading Scheme

NEWARK, NJ—The chief investment officer and portfolio manager of the Clay Capital Fund, a hedge fund based in Summit, New Jersey, was sentenced today to 12 months in prison for participating in an insider trading scheme which netted more than $2.5 million in illicit profits, U.S. Attorney Paul J. Fishman announced.

James Turner, 45, of Traverse City, Michigan, previously pleaded guilty before U.S. District Judge Dennis M. Cavanaugh to an information charging him with securities fraud. Judge Cavanaugh imposed the sentence today in Newark federal court.

According to documents filed in this case and statements made in court:

Beginning in 2006, Turner received inside information from his brother-in-law, Scott Vollmar, and from Scott Robarge, Turner’s friend and former college classmate. Vollmar, who was formerly employed as a director of business development at Autodesk Inc., a software company based in California, passed inside information to Turner concerning Autodesk’s confidential negotiations to acquire Moldflow Corp. Turner admitted he used that inside information to purchase more than $7 million worth of Moldflow stock for the Clay Capital Fund and for himself and his family members. Following the public announcement of Autodesk’s acquisition of Moldflow, Turner sold the Moldflow shares he had bought, realizing illicit profits of more than $1.7 million. Turner admitted he received inside information from Vollmar in advance of the public release of Autodesk’s earnings reports and that he used this information to trade Autodesk stock, resulting in illicit profits of more than $500,000.

Scott Robarge, who was formerly employed as a recruiting technology manager at Salesforce.com Inc., a software company based in California, passed inside information to Turner concerning Saleforce’s quarterly sales results. Turner admitted he used this inside information to trade Salesforce stock, realizing illicit profits of more than $200,000.

In addition to the prison term, Judge Cavanaugh sentenced Turner to three years of supervised release and fined him $25,000.

Vollmar and Robarge have both previously pleaded guilty and are scheduled to be sentenced on May 14, 2012.

U.S. Attorney Fishman credited special agents of the FBI, under the direction of Special Agent in Charge Michael Ward in Newark; postal inspectors of the U.S. Postal Inspection Service, under the direction of Postal Inspector in Charge Philip R. Bartlett; and the U.S. Securities and Exchange Commission’s Chicago Regional Office, under the direction of Merri Jo Gillette, for the investigation leading to today’s plea. He also thanked the SEC Market Abuse Unit, under the direction of Daniel M. Hawke, for its important role in the investigation leading to today’s sentence.

The government is represented by Assistant U.S. Attorney Christopher J. Kelly of the U.S. Attorney’s Office Economic Crimes Unit in Newark.

This case was brought in coordination with President Barack Obama’s Financial Fraud Enforcement Task Force. President Obama established the interagency Financial Fraud Enforcement Task Force to wage an aggressive, coordinated, and proactive effort to investigate and prosecute financial crimes. The task force includes representatives from a broad range of federal agencies, regulatory authorities, inspectors general, and state and local law enforcement who, working together, bring to bear a powerful array of criminal and civil enforcement resources. The task force is working to improve efforts across the federal executive branch, and with state and local partners, to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, combat discrimination in the lending and financial markets, and recover proceeds for victims of financial crimes.

The FBI reports about the Sicilian Mafia

Italian Organized Crime

Overview

Analysts training in the classroom

Since their appearance in the 1800s, the Italian criminal societies known as the Mafia have infiltrated the social and economic fabric of Italy and now impact the world. They are some of the most notorious and widespread of all criminal societies.

There are several groups currently active in the U.S.: the Sicilian Mafia; the Camorra or Neapolitan Mafia; the ’Ndrangheta or Calabrian Mafia; and the Sacra Corona Unita or United Sacred Crown.

We estimate the four groups have approximately 25,000 members total, with 250,000 affiliates worldwide. There are more than 3,000 members and affiliates in the U.S., scattered mostly throughout the major cities in the Northeast, the Midwest, California, and the South. Their largest presence centers around New York, southern New Jersey, and Philadelphia.

Their criminal activities are international with members and affiliates in Canada, South America, Australia, and parts of Europe. They are also known to collaborate with other international organized crime groups from all over the world, especially in drug trafficking.

The major threats to American society posed by these groups are drug trafficking and money laundering. They have been involved in heroin trafficking for decades. Two major investigations that targeted Italian organized crime drug trafficking in the 1980s are known as the “French Connection” and the “Pizza Connection.”

These groups don’t limit themselves to drug running, though. They’re also involved in illegal gambling, political corruption, extortion, kidnapping, fraud, counterfeiting, infiltration of legitimate businesses, murders, bombings, and weapons trafficking. Industry experts in Italy estimate that their worldwide criminal activity is worth more than $100 billion annually.

A Long History

These enterprises evolved over the course of 3,000 years during numerous periods of invasion and exploitation by numerous conquering armies in Italy. Over the millennia, Sicilians became more clannish and began to rely on familial ties for safety, protection, justice, and survival.

An underground secret society formed initially as resistance fighters against the invaders and to exact frontier vigilante justice against oppression. A member was known as a “Man Of Honor,” respected and admired because he protected his family and friends and kept silent even unto death.

Sicilians weren’t concerned if the group profited from its actions because it came at the expense of the oppressive authorities. These secret societies eventually grew into the Mafia.

Since the 1900s, thousands of Italian organized crime figures—mostly Sicilian Mafiosi—have come illegally to this country. Many who fled here in the early 1920s helped establish what is known today as La Cosa Nostra or the American Mafia.

Charles “Lucky” Luciano, a Mafioso from Sicily, came to the U.S. during this era and is credited for making the American La Cosa Nostra what it is today. Luciano structured the La Cosa Nostra after the Sicilian Mafia. When Luciano was deported back to Italy in 1946 for operating a prostitution ring, he became a liaison between the Sicilian Mafia and La Cosa Nostra.

Sicilian Mafia (based in Sicily)

The Sicilian Mafia formed in the mid-1800s to unify the Sicilian peasants against their enemies. In Sicily, the word Mafia tends to mean “manly.” The Sicilian Mafia changed from a group of honorable Sicilian men to an organized criminal group in the 1920s.

In the 1950s, Sicily enjoyed a massive building boom. Taking advantage of the opportunity, the Sicilian Mafia gained control of the building contracts and made millions of dollars. Today, the Sicilian Mafia has evolved into an international organized crime group. Some experts estimate it is the second largest organization in Italy.

The Sicilian Mafia specializes in heroin trafficking, political corruption, and military arms trafficking—and is also known to engage in arson, frauds, counterfeiting, and other racketeering crimes. With an estimated 2,500 Sicilian Mafia affiliates it is the most powerful and most active Italian organized crime group in the U.S.

The Sicilian Mafia is infamous for its aggressive assaults on Italian law enforcement officials. In Sicily the term “Excellent Cadaver” is used to distinguish the assassination of prominent government officials from the common criminals and ordinary citizens killed by the Mafia. High-ranking victims include police commissioners, mayors, judges, police colonels and generals, and Parliament members.

On May 23, 1992, the Sicilian Mafia struck Italian law enforcement with a vengeance. At approximately 6 p.m., Italian Magistrate Giovanni Falcone, his wife, and three police body guards were killed by a massive bomb. Falcone was the director of Criminal Affairs in Rome. The bomb made a crater 30 feet in diameter in the road. The murders became known as the Capaci Massacre.

Less than two months later, on July 19, the Mafia struck Falcone’s newly named replacement, Judge Paolo Borsellino in Palermo, Sicily. Borsellino and five bodyguards were killed outside the apartment of Borsellino’s mother when a car packed with explosives was detonated by remote control.

Under Judge Falcone’s tenure the FBI and Italian law enforcement established a close working relationship aimed at dismantling Italian organized crime groups operating in both countries. That relationship has intensified since then.

Camorra or Neapolitan Mafia (based in Naples)

The word “Camorra” means gang. The Camorra first appeared in the mid-1800s in Naples, Italy, as a prison gang. Once released, members formed clans in the cities and continued to grow in power. The Camorra has more than 100 clans and approximately 7,000 members, making it the largest of the Italian organized crime groups.

In the 1970s, the Sicilian Mafia convinced the Camorra to convert their cigarette smuggling routes into drug smuggling routes with the Sicilian Mafia’s assistance. Not all Camorra leaders agreed, leading to the Camorra Wars that cost 400 lives. Opponents of drug trafficking lost the war.

The Camorra made a fortune in reconstruction after an earthquake ravaged the Campania region in 1980. Now it specializes in cigarette smuggling and receives payoffs from other criminal groups for any cigarette traffic through Italy. The Camorra is also involved in money laundering, extortion, alien smuggling, robbery, blackmail, kidnapping, political corruption, and counterfeiting.

It is believed that nearly 200 Camorra affiliates reside in this country, many of whom arrived during the Camorra Wars.

’Ndrangheta or Calabrian Mafia (based in Calabria)

The word “’Ndrangheta” comes from the Greek meaning courage or loyalty. The ’Ndrangheta formed in the 1860s when a group of Sicilians was banished from the island by the Italian government. They settled in Calabria and formed small criminal groups.

There are about 160 ’Ndrangheta cells with roughly 6,000 members. They specialize in kidnapping and political corruption, but also engage in drug trafficking, murder, bombings, counterfeiting, gambling, frauds, thefts, labor racketeering, loansharking, and alien smuggling.

Cells are loosely connected family groups based on blood relationships and marriages. In the U.S., there are an estimated 100-200 members and associates, primarily in New York and Florida.

Sacra Corona Unita or United Sacred Crown (based in the Puglia region)

Law enforcement became aware of the Sacra Corona Unita in the late 1980s. Like other groups, it started as a prison gang. As its members were released, they settled in the Puglia region in Italy and continued to grow and form links with other Mafia groups. The Sacra Corona Unita is headquartered in Brindisi, located in the southeastern region of Puglia.

The Sacra Corona Unita consists of about 50 clans with approximately 2,000 members and specializes in smuggling cigarettes, drugs, arms, and people. It is also involved in money laundering, extortion, and political corruption. The organization collects payoffs from other criminal groups for landing rights on the southeast coast of Italy, a natural gateway for smuggling to and from post-Communist countries like Croatia, Yugoslavia, and Albania.

Very few Sacra Corona Unita members have been identified in the U.S., although some individuals in Illinois, Florida, and New York have links to the organization.

 


La Cosa Nostra

La Cosa Nostra is the foremost organized criminal threat to American society. Literally translated into English it means “this thing of ours.” It is a nationwide alliance of criminals—linked by blood ties or through conspiracy—dedicated to pursuing crime and protecting its members.

La Cosa Nostra, or the LCN as it is known by the FBI, consists of different “families” or groups that are generally arranged geographically and engaged in significant and organized racketeering activity. It is also known as the Mafia, a term used to describe other organized crime groups.

The LCN is most active in the New York metropolitan area, parts of New Jersey, Philadelphia, Detroit, Chicago, and New England. It has members in other major cities and is involved in international crimes.

History of La Cosa Nostra

Although La Cosa Nostra has its roots in Italian organized crime, it has been a separate organization for many years. Today, La Cosa Nostra cooperates in various criminal activities with different criminal groups that are headquartered in Italy.

Giuseppe Esposito was the first known Sicilian Mafia member to emigrate to the U.S. He and six other Sicilians fled to New York after murdering the chancellor and a vice chancellor of a Sicilian province and 11 wealthy landowners. He was arrested in New Orleans in 1881 and extradited to Italy.

New Orleans was also the site of the first major Mafia incident in this country. On October 15, 1890, New Orleans Police Superintendent David Hennessey was murdered execution-style. Hundreds of Sicilians were arrested, and 19 were eventually indicted for the murder. An acquittal generated rumors of widespread bribery and intimidated witnesses. Outraged citizens of New Orleans organized a lynch mob and killed 11 of the 19 defendants. Two were hanged, nine were shot, and the remaining eight escaped.

The American Mafia has evolved over the years as various gangs assumed—and lost—dominance over the years: the Black Hand gangs around 1900; the Five Points Gang in the 1910s and ‘20s in New York City; Al Capone’s Syndicate in Chicago in the 1920s. By the end of the ‘20s, two primary factions had emerged, leading to a war for control of organized crime in New York City.

The murder of faction leader Joseph Masseria brought an end to the gang warfare, and the two groups united to form the organization now dubbed La Cosa Nostra. It was not a peaceful beginning: Salvatore Maranzano, the first leader of La Cosa Nostra, was murdered within six months.

Charles “Lucky” Luciano became the new leader. Maranzano had established the La Cosa Nostra code of conduct, set up the “family” divisions and structure, and established procedures for resolving disputes. Luciano set up the “Commission” to rule all La Cosa Nostra activities. The Commission included bosses from six or seven families.

Luciano was deported back to Italy in 1946 based on his conviction for operating a prostitution ring. There, he became a liaison between the Sicilian Mafia and La Cosa Nostra.

Other Historical Highlights:

1951: A U.S. Senate committee led by Democrat Estes Kefauver of Tennessee determined that a “sinister criminal organization” known as the Mafia operated in this nation.

1957: The New York State Police uncovered a meeting of major LCN figures from around the country in the small upstate New York town of Apalachin. Many of the attendees were arrested. The event was the catalyst that changed the way law enforcement battles organized crime.

1963: Joseph Valachi became the first La Cosa Nostra member to provide a detailed looked inside the organization. Recruited by FBI agents, Valachi revealed to a U.S. Senate committee numerous secrets of the organization, including its name, structure, power bases, codes, swearing-in ceremony, and members of the organization.

Today, La Cosa Nostra is involved in a broad spectrum of illegal activities: murder, extortion, drug trafficking, corruption of public officials, gambling, infiltration of legitimate businesses, labor racketeering, loan sharking, prostitution, pornography, tax-fraud schemes, and stock manipulation schemes.

The Genovese Crime Family

Named after legendary boss Vito Genovese, the Genovese crime family was once considered the most powerful organized crime family in the nation. Members and their numerous associates engaged in drug trafficking, murder, assault, gambling, extortion, loansharking, labor racketeering, money laundering, arson, gasoline bootlegging, and infiltration of legitimate businesses.

Genovese family members are also involved in stock market manipulation and other illegal frauds and schemes as evidenced by the recent FBI investigation code named “Mobstocks.”

The Genovese crime family has its roots in the Italian criminal groups in New York controlled by Joseph Masseria in the 1920s. The family history is rife with murder, violence, and greed.

Early History—Masseria and Maranzano

Masseria sparked the so-called “Castellammarese War” in 1928 when he tried to gain control of organized crime across the country. The war ended in 1931 when Salvatore Maranzano conspired with Masseria’s top soldier, Charles “Lucky” Luciano, to have Masseria killed. Maranzano emerged as the most powerful Mafia boss in the nation, setting up five separate criminal groups in New York and calling himself “Boss of Bosses.”

Two of the most powerful La Cosa Nostra families—known today as the Genovese and Gambino families—emerged from Maranzano’s restructuring efforts. Maranzano named Luciano the first boss of what would later be known as the Genovese family. Luciano showed his appreciation less than five months later by sending five men dressed as police officers to Maranzano’s office to murder him.

Luciano, Costello, and Genovese

With Maranzano out of the way, Luciano become the most powerful Mafia boss in America and used his position to run La Cosa Nostra like a major corporation. He set up the LCN Commission, or ruling body, composed of seven bosses, and divided the different rackets among the families.

In 1936, Luciano was sentenced to 30 to 50 years in prison. Ten years later, he was released from prison and deported to Italy, never to return. When he was convicted, Frank Costello became acting boss because Genovese—then just an underboss—had fled to Italy to avoid a murder charge. His return to the states was cleared when a key witness against him was poisoned and the charges were dropped.

Costello led the family for approximately 20 years until May of 1957 when Genovese took control by sending soldier Vincent “the Chin” Gigante to murder him. Costello survived the attack but relinquished control of the family to Genovese. Attempted murder charges against Gigante were dismissed when Costello refused to identify him as the shooter.

In 1959, it was Genovese’s turn to go to prison following a conviction of conspiracy to violate narcotics laws. He received a 15-year sentence but continued to run the family through his underlings from his prison cell in Atlanta, Georgia.

Valachi Sings—and Lombardo Leads

About this time, Joseph Valachi, a “made man,” was sent to the same prison as Genovese on a narcotics conviction. Labeled an informer, Valachi survived three attempts on his life behind bars. Still in prison in 1962, he killed a man he thought Genovese had sent to kill him. He was sentenced to life for the murder.

The sentencing was a turning point for Valachi, who decided to cooperate with the U.S. government. On September 27, 1963, he appeared before the U.S. Senate Permanent Subcommittee on Investigations and testified that he was a member of a secret criminal society in the U.S. known as La Cosa Nostra.

In 1969, several years after Valachi began cooperating with the FBI, Vito Genovese died in his prison cell. By then the Genovese family was under the control of Philip “Benny Squint” Lombardo. Unlike the bosses before him, Lombardo preferred to rule behind his underboss. His first, Thomas Eboli, was murdered in 1972. Lombardo promoted Frank “Funzi” Tieri, and later Anthony “Fat Tony” Salerno as his front men.

Throughout the 1980s, the Genovese family hierarchy went through several changes. Tieri, recognized on the street as the Genovese family boss in the late 1970s, was convicted for operating a criminal organization through a pattern of racketeering that included murder and extortion.

Salerno then fronted as boss until he had stroke in 1981. In 1985, Salerno and the bosses of the other four New York families were convicted for operating a criminal enterprise—the LCN Commission. Lombardo, his two captains in prison and his health failing, turned full control of the Genovese family over to Gigante—the man who tried to kill Costello 30 years earlier.

Fish on the Hook

In 1986, a second member turned against the Genovese family when Vincent “Fish” Cafaro, a soldier and right-hand-man to Anthony Salerno, decided to cooperate with the FBI and testify. According to Cafaro’s sworn statement, Gigante ran the family from behind the scenes while pretending to be mentally ill. Cafaro said this behavior helped further insulate Gigante from authorities while he ran the Genovese family’s criminal activities.

Gigante’s odd behavior and mumbling while he walked around New York’s East Village in a bathrobe earned him the nickname “the Odd Father.” After an FBI investigation, Gigante was convicted of racketeering and murder conspiracy in December 1997 and sentenced to 12 years. Another FBI investigation led to his indictment on January 17, 2002, accusing him of continuing to run the Genovese family from prison. He pled guilty to obstruction of justice in 2003.

Gigante died in prison in December 2005 in the same federal hospital where Gambino family leader John Gotti had died in 2002.

 


The Italian American Working Group

Over the years, FBI investigations have revealed how organized criminal groups have proliferated and impacted much of the world. Partnerships with foreign law enforcement agencies are essential to combat global organized crime groups.

Among the partnerships the FBI is involved with is the Italian American Working Group, which meets every year. The group addresses organized crime, cyber crime, money laundering, international terrorism, illegal immigration, cooperating witnesses, drug smuggling, art theft, extradition matters, and cigarette smuggling. The U.S. and Italy take turns hosting the meetings.

 


Labor Racketeering

Labor racketeering is the domination, manipulation, and control of a labor movement in order to affect related businesses and industries. It can lead to the denial of workers’ rights and inflicts an economic loss on the workers, business, industry, insurer, or consumer.

The historical involvement of La Cosa Nostra in labor racketeering has been thoroughly documented:

  • More than one-third of the 58 members arrested in 1957 at the Apalachin conference in New York listed their employment as “labor” or “labor-management relations.”
  • Three major U.S. Senate investigations have documented La Cosa Nostra’s involvement in labor racketeering. One of these, the McClellan Committee, in the late-1950s, found systemic racketeering in both the International Brotherhood of Teamsters and the Hotel Employees and Restaurant Employees International Union.
  • In 1986, the President’s Council on Organized Crime reported that five major unions—including the Teamsters and the Laborers International Union of North America—were dominated by organized crime.
  • In the early 1980s, former Gambino Family Boss Paul Castellano was overheard saying, “Our job is to run the unions.”

Labor racketeering has become one of La Cosa Nostra’s fundamental sources of profit, national power, and influence.

FBI investigations over the years have clearly demonstrated that labor racketeering costs the American public millions of dollars each year through increased labor costs that are eventually passed on to consumers.

Labor unions provide a rich source for organized criminal groups to exploit: their pension, welfare, and health funds. There are approximately 75,000 union locals in the U.S., and many of them maintain their own benefit funds. In the mid-1980s, the Teamsters controlled more than 1,000 funds with total assets of more than $9 billion.

Labor racketeers attempt to control health, welfare, and pension plans by offering “sweetheart” contracts, peaceful labor relations, and relaxed work rules to companies, or by rigging union elections.

Labor law violations occur primarily in large cities with both a strong industrial base and strong labor unions, like New York, Buffalo, Chicago, Cleveland, Detroit, and Philadelphia. These cities also have a large presence of organized crime figures.

We have several investigative techniques to root out labor law violations: electronic surveillance, undercover operations, confidential sources, and victim interviews. We also have numerous criminal and civil statutes to use at our disposal, primarily through the Racketeer Influenced and Corrupt Organization (RICO) Statute.

The civil provisions of the RICO statute have proven to be very powerful weapons, especially the consent decrees. They are often more productive because they attack the entire corrupt entity instead of imprisoning individuals, who can easily be replaced with other organized crime members or associates.

Consent decrees are most effective when there is long-term, systemic corruption at virtually every level of a labor union by criminal organizations. A civil RICO complaint and subsequent consent decree can restore democracy to a corrupt union by imposing civil remedies designed to eliminate such corruption and deter its re-emergence.

The Teamsters are the best example of how efficiently the civil RICO process can be used. For decades, the Teamsters has been substantially controlled by La Cosa Nostra. In recent years, four of eight Teamster presidents were indicted, yet the union continued to be controlled by organized crime elements. The government has been fairly successful at removing the extensive criminal influence from this 1.4 million-member union by using the civil process.

We work closely with the Office of Labor Racketeering in the Department of Labor and with the U.S. Attorneys’ offices in investigating violations of labor law.

Confidential from the FBI – Cargo Theft How a Memphis Task Force Combats a Costly Problem

fter many hours on the road, the long-haul driver pulled his tractor-trailer into a Tennessee truck stop for a break and a hot meal. But by the time he looked over the menu, a crew of professional thieves had made off with his rig and all its contents.

 

 

truck trailer

Partnerships Make a Difference

In 2005, two large pharmaceutical companies were the victims of major cargo thefts at the same truck stop within a short time period, and each had no idea what had happened to the other. When they found out later, a meeting was called among pharmaceutical industry leaders, and the concept of a security coalition was born. The coalition would consist not only of industry members but also law enforcement.

Today, the Pharmaceutical Cargo Security Coalition shares information about thefts and best practices for reducing risk, according to Charles Forsaith, director of supply chain security for Purdue Pharma Technologies, who coordinates the coalition.

“We educate everyone in our industry,” said Forsaith, “and we work together with law enforcement to stop these crimes. That partnership has yielded a measurable decline in cargo theft.”

In 2008, for example, the pharmaceutical industry reported losses of 16 full trailer loads each valued in excess of $1 million. In 2011, Forsaith said, there were only four such losses valued over $1 million. In 2008, the odds of recovering a lost load were 31 percent. Today, he said, with the help of GPS tracking devices and a strong working relationship with law enforcement, the odds for recovery are better than 65 percent.

“We realized that we couldn’t put a stop to these crimes on our own,” he said. “In addition to educating our industry, we knew we needed buy-in from law enforcement, and we have been extremely pleased working with the FBI’s cargo theft task forces.”

Cargo theft is a multi-billion-dollar criminal enterprise in the U.S., and the FBI has seven task forces located around the country to combat the problem. In the Memphis region, according to Special Agent Conrad Straube, coordinator of the Memphis Cargo Theft Task Force, “there is an average of one cargo theft every day of the year.”

Memphis—located along major interstate highways and home to a variety of product distribution centers—is a hot spot for cargo theft. The thieves steal trucks with trailers or just the trailers and their contents. Often, goods are stolen from distribution center warehouses or even from moving rail cars.

On a recent day, Straube and his task force partners from the Memphis Police Department, Shelby County Sheriff’s Office, and the U.S. Marshals Service were on the road, following up on leads at truck stops and other locations in and around Memphis. The task force is busy—and successful. From January 2011 to the end of September, it recovered more than $1.5 million in stolen cargo and vehicles.

Task force member Barry Clark, a detective with the Shelby County Sheriff’s Office, explained that some of the theft crews are so organized that each member has his own specialty, from the break-in artist who can steal a rig in seconds to professional drivers, surveillance experts, and the guys who know how to defeat the specialized devices that lock trailers carrying extremely valuable loads. “This is their business,” Clark said. “And they are good at it.”

Crew leaders know where to find willing buyers, too—from small mom and pop stores who don’t ask questions when they buy at prices below wholesale to online merchants who may or may not know they are purchasing stolen goods.

Although many crews target specific cargo such as electronics and pharmaceuticals—always in demand and easy to sell—other thieves steal whatever they can get their hands on. Straube and his team have recovered stolen trailers full of dog food, hair dryers, lawn mower engines, and even popsicles.

“When you talk about the victims of cargo theft,” Straube explained, “beyond the trucking companies and manufacturers, you have to include all consumers. Because when these items are stolen, it eventually drives up the cost of merchandise for everybody.”

  fbithisweek.jpg
  Podcast: Special agent discusses cargo theft.

Cargo theft is also a “gateway” crime, said Special Agent Eric Ives, a program manager in our Criminal Investigative Division at FBI Headquarters who coordinates major theft investigations from a national perspective. “Groups that do these crimes are often funding other illegal activities, like buying drugs or weapons. And compared to many crimes,” Ives added, “cargo theft is highly profitable and not particularly dangerous.”

Conrad agreed, adding that thieves often rob warehouses on a Friday night, and by the time the crime is discovered and reported Monday morning, the stolen merchandise may already be on a store shelf or auctioned online.

That’s why our task forces—comprised of local, state, and federal law enforcement—and our partnerships with private industry (see sidebar) are critical in the fight against these costly crimes, Ives said. “Cargo theft is a sophisticated and organized enterprise,” he added, “and we take this threat very seriously.”