Viewing organised crime and terrorist organisations through the financial threats they pose to society

The purpose of this paper is to examine whether there is a meaningful difference, viewed from a financial perspective, in distinguishing between organised crime and terrorist organisations, with regard to the control and mitigation of the threats that they pose to society.

The paper uses conceptual models obtained from enterprise theory and economics, as well as criminology, and makes use of case studies through the application of these models.

The paper finds that when viewed from a financial perspective, there is no meaningful difference in distinguishing between the groups because many have undergone processes of convergence and transformation, such that they assume each other’s operational and motivational characteristics. However, the answer also depends on how precisely one defines each type of illicit group as well as the transitions they undergo.

The value of this paper is that it applies two separate models on interactions between organised crime and terrorist organisations, the terror–crime continuum and interaction spectrum, to real life situations. After assessing their validity for more recent examples of such illicit groups, it then provides a balanced argument as to distinguishing between organised crime and terrorism. One limitation towards the paper’s originality, however, is that it draws mainly from pre-existing literature.