Impact of Financial Information on Organised Crime: Legal Compliance

This report explores the impact of financial information on organised crime, highlighting the increasing rate of finance-related crimes due to the illegal distribution of financial data. It references Verizon's 2014 Data Breach Investigations Report, which details the causes and effects of financial information breaches. The report defines organised crime as illegal activities conducted by groups or syndicates for illegal profit, including violence, financial crime, cybercrime, and human trafficking. It discusses how criminals launder money through various business investments and exploit financial information for extra profit, citing Verizon's findings on data breaches from 95 countries due to insider threats, physical threats, and malware. The report emphasizes the statistical importance of Verizon's findings in identifying the scope of organised criminals in the financial sector.

Running head: LEGAL REGULATION COMPLIANCE
Importance of financial organisation regarding organised crimes
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1LEGAL REGULATION COMPLIANCE
The main theme of the report is evolved with the topic regarding the impact of the financial
information on the organised crimes. It has been observed in recent years that the financial
information such as cash flow, income statement and other co-related matters are being distributed
illegally and therefore, the rate of finance related crimes are increased gradually. The same allegation
has been supported by the Verizon on data breaches report. The same report has been submitted in
the year 2014 and certain causes and effect of the financial information on the organised crimes has
been discussed there chronologically.
Before getting into the main part, it is required to understand the definition and example of
organised crime. It will help to understand the effect of the financial information more specifically. Any
act that constitutes anything that is punishable by law can be regarded as crime. Crimes can be
categorised into many parts of which organised crime is a part. The term organised crime denotes
those offence that are taken place in the national and local communities (Reuter & O’Regan, 2017).
One of the essential of organised crime is that the criminals are involved in illegal activities with an
intention to gain illegal profit. The organised criminals are regulating their act by making groups or
syndicate. Various activities are hidden behind the mask of organised crime such as violence like
murder or terrorism, financial crime like counterfeiting or tax evasion, cyber crime, corporate crime
and human trafficking.
It has been stated earlier that the main purpose of the organised crime is to earn illegal profit.
A lump sum amount of money is generated through the organised criminals and they are gaining that
money by extorting others or by transmitting the data. There is certain other source such as the drug
peddling or illegal trafficking. All these money are investing in various business purposes and in this
way, they are making the black money into white money. However, it has been reported by many
institution that the organised criminals are transferring or transmitting various financial information by
earning extra profit and therefore, large confidential information of various organisations becomes
hacked by the criminals. Among many other organisations, Verizon is quite identical who were started
to publish that information from 2008 (Mckee, Schultz & Sartini, 2016). The organisation has
submitted its 8th report (Data Breach Investigations Report) in 2014. According to this report, the data
trafficking issue regarding the financial transaction has been gradually increased and the organised
criminals are extorting money from the leading personalities instead of leaking the information

2LEGAL REGULATION COMPLIANCE
(Emsisoft | Security Blog, 2018). According to the report, more than 63000 data has been breached
from 95 countries and all these data were transferred by various forms of insider threat, physical
threats, and denial of service and crime ware. The effect of the report is quite important from the
statistical perspective and it helps to identify the area and scope of the organised criminals in financial
sector (Solutions, 2014).

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Reference:
Emsisoft | Security Blog. (2018). The 2014 Verizon Data Breach Investigations Report. [online]
Available at: https://blog.emsisoft.com/en/6608/the-2014-verizon-data-breach-investigations-
report/ [Accessed 1 Apr. 2018].
Mckee, M. W., Schultz, P. T., & Sartini, R. A. (2016). U.S. Patent No. 9,400,972. Washington, DC:
U.S. Patent and Trademark Office.
Reuter, P., & O’Regan, D. (2017). Smuggling wildlife in the Americas: scale, methods, and links to
other organised crimes. Global Crime, 18(2), 77-99.
Solutions, V. E. (2014). Verizon 2014 data breach investigations report. verizon. com, 13-15.