ORGANIZED CRIME

PART

HISTORICAL DEVELOPMENT

Introduction

Years, decades and centuries have passed organized crimes continuously exists
without the exact and clear explanation of its existence, but its presence is felt though they
are intangible, they are ghost co existing with human, they have a government much
organized and powerful than ours. For an organized crime group, money is everything and
to have money they’ll need power and in order to achieve power they must show an
uncontested display of strength and superiority, through this they slowly evolved and one
by one achieved their main goal, “to acquire dirty monies and power.”

Origins of Organized Crime

The pirates who plundered and looked merchant vessels in the seventeenth century
and who undertook large-scale trade in stolen goods may be considered among the
earliest organized crime groups. However, most observers locate the origins of the
distinctly American style of organized crime in the urban centers of the late nineteenth and
early twentieth century. In a fundamental way, urban conditions provided the kind of
environment in which organized crime could flourish.

The large population sizes provided a “critical mass” of offenders, customers, and
victims and thereby facilitated the development of profitable markets in illicit goods and
services. Moreover, the size and density of urban networks allowed criminal forms of
organization to become diversified and encouraged the growth of essential support
services, such as those offered by corrupt politicians or police.

These early forms of criminal organization were typically tied to local areas and
because of the highly segregated character of the city, they had important ethnic
dimensions. During the first two decades of the 20th century, residents of the “Little
Italies” of many eastern industrialized urban areas had to contend with a crude form of
protection racket known as “La Mano Negra” or “the Black Hand.” Those members of the
local community who were better off financially might receive an anonymous note
demanding that a sum of money be paid to the writer.

Characteristics of Organized Crime

Organized crime groups may be small, but they typically involved a sizeable number
in the planning and execution of illegal acts. They requires a continuous commitment by its
members although there may be some non-members participating for short periods of
time. A major factor that distinguishes them from others is their elaborate planning and
lack of impulsiveness in committing crimes.

Organized crime groups have as their fundamental goal is the economic gain.
Economic gain may be achieved through many means—both legitimate and illegitimate.
Group members use a wide variety of tactics to accomplish the criminal enterprise—
violence and intimidation, inspired by corruption and greed are common working tools.

Another characteristic of an organized crime groups is close-knit nature of its

membership, which serves to make the group extremely difficult to penetrate from outside
elements. Loyalty to the group is ensured by high control; there is swift discipline for those
who reveal information concerning the group. These factors contribute to the incorrigibility
common to organized crime members who been incarcerated.

Traditional Organized Crime Groups

Enumerated and briefly discussed hereunder are the traditional organized crime
groups, as follows:

1. Italian-American Mafia

The American Mafia, also known as American Cosa Nostra or Italian-American

Mafia, is an Italian-American criminal society and offshoot of the Sicilian Mafia. It emerged
on the East Coast of the United States during the late 19th century following waves of
Sicilian and Southern Italian emigration, the Mafia often refers to Italian organized crime in
general, rather than just traditional Sicilian organized crime. For example the five main
Mafia families include Gambino, Luciano, Genovese, Lucchese and Colombo crime families
with only Italian-American made members.

2. Japan’s Yakuza

Despite their notoriety in modern Japan, the precise origin of the Yakuza is still
somewhat the subject of debate. The first historical interpretation of their derivation is
from the Hatamoto-Yakko or Kabuki-Mono of the 17th century Genroku Era, who were
derivative classes of the low-rank hatamoto, lower salaried samurai who constituted a
quarter of the shogun’s retainers. Other theories, suggested by the Yakuza members
themselves claim their origins are from the Machi-Yokko, who policed villages by
protecting them from the Hatamoto-Yakko that tried to steal from them, despite their
being outmatched by the Hatamoto-Yakko in training and strength.

3. Chinese Triad

The Triads were started as a resistance to the Manchu Emperor of the Qing Dynasty
- the ethnic Manchus were regarded as a foreign occupation at the time. In the 1760s, a
society called the Tian Di Hui, “The Society of Heaven and Earth,” was formed in China. Its
purpose was to overthrow the Manchu-led Qing Dynasty and restore Han Chinese rule. AS
the Tian Di Hus spread through different parts of China, it branched off into many groups
and became known by many names, one of which was “Sanhehui”, literally “Three
Harmonies Society”, referring to the unity between Heaven, Earth and Man.

Organized Crime Situation in the Country

The following will present the current crime situation on four of the more prevalent
activities, as follows:

1. Drugs Trafficking

Shabu in the Philippines mainly comes from Southern China particularly from
Guandong and Fujian. Previously, “ephedra” or “ephedrine” is processed in China and
smuggled in the Philippine as shabu. However, the discovery of a big clandestine shabu
laboratory in Cagayan Province at Northern Luzon in 1999 showed that the drug syndicates
have also started processing ephedrine and shabu right in the Philippines. Intensified
campaign against illegal drugs resulted in more discoveries of shabu laboratories even in
the National Capital Region.

2. Kidnap-for-Ransom

KFR groups have displayed a higher level of sophistication in their operations.

Extensive research and planning are conducted prior to their operations. Vital data and
information are obtained including inside information about net worth and liquidity of
assets of prospective victims, usually Filipino-Chinese nationals, and his family.

3. Robbery-Hold-Up

Bank robbery groups are considered as the most organized among the crime
groups. They are usually composed of hardened criminals and/or personalities of tested
daring capabilities. Members are trained to follow and executed minute details of a well-
planned operation. Usually, all members are heavily armed and ready to forcibly douse any
opposition. The robbery group initially places the target bank under a thorough casing and
surveillance, week or even months in advance.

4. Carnapping

Most of the vehicles were carnapped in parking lots, residential areas and middle
class subdivisions. Car theft usually occurred between 2 o'clock and 4 o'clock in the
morning due to following reasons: inadequate police visibility, street parking opportunity,
natural advantage during nighttime for criminal elements, and lack of appropriate security
measures in residential areas. These vehicles were later either sold after acquiring falsified
documents or dismantled and sold as used parts.

Philippine Laws on Organized Crime

 In the absence of specific law in the Philippines against organized crime, the
provision in the Revised Penal Code on conspiracy may find application. Conspiracy is not a
felony per se but only a manner of incurring criminal liability. Article 8 of the Revised Penal
Code states that: “A conspiracy exists when two or more persons come to an agreement
concerning the commission of a felony and decide to commit it.” Thus, conspirators share
equal criminal liabilities regardless of their levels of participation.

It has been said the common denominator among OCGs is the objective to acquire
“dirty money” through their illicit activities. Thus, denying the OCGs to enjoy the fruits of
their criminal act can serve as effective deterrence to these groups. Along this line of
argument, the Anti-Money Laundering Act (AMLA) or RA 9160 was enacted in 2001, and
amended by RA 9194. Among others, the AMLA criminalizes money laundering and
provides for the penalties therefore, and the freezing and forfeiture of assets.

PART

ORGANIZATIONAL STRUCTURE

To many people, the term organized crime is one that conjures up the image of a
single, large-scale, secret criminal organization. Although the term is usually associated
with the well-known crime syndicate, it also describes many other crime organizations with
similar criminal characteristics.

Definition of Organized Crime

The UN Convention Against Transnational Organized Crime, held in Palermo, Italy in

2000, established and international definition of organized crime. The convention states,
at Article 2(a), that, “organized crime group is characterized as a “structured group of three
or more persons existing for a period of time and acting in concert with the aim of
committing one or more serious crimes or offenses in order to obtain, directly, or indirectly,
a financial or other material benefit.”

Types of Structures of Organized Crimes

There are two (2) types of organizational structures of organized crime group, as
follows:

1. Bureaucratic or Corporate Model

 The corporation, the police, the military are examples of bureaucracies, the mode of
organization essential for efficiently carrying out large scale tasks. All bureaucracies are
rational organizations sharing a number of attributes, i.e., a complicated hierarchy, an
extensive division of labor, position assigned on the basis of skill, responsibilities carried
out in an impersonal manner, extensive written rules and regulation, and communication
from the top of the hierarchy to persons on the bottom, usually in written form.

2. Patrimonial or Patron-Client Network

The patrimonial organization is a characteristic of traditional societies that centers

on families, patrons and their clients, and other personality networks. The emphasis is on
traditional rituals that demonstrate the emotional bond among the men. In contrast,
personal ties in the modern bureaucratic organization are weaker, less ritualized, and
emotionally demonstrative. Lengthy chains of command, characteristic of modern
bureaucracy, are impractical for organized crime, and this limits the span of control.

Prominent Features of Organized Crimes

Briefly discussed and enumerated are some of the prominent features of organized
crimes, as follows:

1. Rank and Responsibilities

The criminals who fill the rosters of organized crimes are ranked according to the
importance of their positions. Each member either serves within the management
structure or contributes to the operation of a particular enterprise. Several roles can be
identified within their general structure, i.e., money mover—assists in the flow of cash from
illegal to legal, corrupter—a defense attorney or lobbyist, money maker—members whose
rackets brings a lot of profit, enforcers—members skilled in violence, and associates
members—those who works on a contractual basis.

2. Syndicates and Enterprise

An organized crime, regardless of its size, has one of more of three types of relationships
with individual criminal enterprise or racket within its territory. First is the syndicate-run operation,
such as numbers bank, where the syndicate’s own employees and capital are used; second is the
syndicate franchise, whereby a distinct geographical area, is ceded to an independent operator for
the purpose of running an illegal business; and third may be termed as a joint venture, involves two
criminal groups of comparable size and ability to employ violence at any given moment.

3. Leadership Styles

Whatever the organizational attributes of a given organized crime, the leaders choose their
own styles of handling outside competition, internal disputes, and relationships with public officials.
Some leaders consciously choose a low profile that is consistent with the claim—usually traceable
directly to them—that there is no organized crime in their community because no racketeers can be
identified. Others seem to enjoy the public spotlight and the influence and prestige that go with a
position for the cold, calculating exercise of power.

Business and Forms of Organized Crimes

The business of organized crime group has been described as providing goods and
services that happens to be illegal. The core of organized crime activity is the supplying of
illegal goods and services-gambling, loan sharking, narcotics, and other forms of vice.

As in any business, the better organized are usually the more successful, and
organized crime is basically a business enterprise. Organized crime group has three forms:

1. Parasitic

Members of criminal organization extort money from illegal entrepreneurs under a threat of
violence.

2. Reciprocal

Members of a criminal organization require illegal entrepreneurs to pay a fixed or

percentage amount but in return provide services such as debt collection or restricting
market entry.

3. Entrepreneurship

A member of a criminal organization provides an illegal goods or services.

Elements of Organized Crime

When looking for commonalities, it should be recognized that there is no “typical”

profile. Several elements exist that are unique to such organized crime groups, to wit:

1. Vertical Integration

The attribute is common of many international drug-trafficking groups as well as

domestic groups. Vertically integrated groups are structured where they control both the
manufacturing and wholesale distribution of dangerous drugs in the local or international
markets.

2. Use of Alternative Sources of Supply

The organized groups whore having sources of supply which are complicated and
varied, and are typically more able to avoid detection and investigation by the law
enforcement.
3. Exploitation of Social and Political Condition

Many organized crime groups that focus on the drug trade have learned to
capitalize on vulnerable social and political conditions of certain third world countries and
the social inequities suffered by many inner-city residents, more particularly those living in
depressed urban or squatters areas.
4. Insulation of Leaders

As with all large and successful organized crime groups, organizational structure
tends to insulate the upper echelon from those at the lower rung of the organizational
structure. Direct contact with drug users or buyers is usually avoided to prevent detection
from outsiders, or more commonly from becoming easily established positive identity.

Effects of Organized Crime

The following two sections address “the pyramid effect” and “corruption of public
institution” and how organized crime produces genuine harm to individual citizens and the
community at large.

1. Pyramid Effect

The crime pyramid begins with a large-grossing enterprise such as a numbers bank.
To run the bank, its managers and employees must violate lottery and perhaps other
gambling laws, as well as conspiracy laws, and income tax laws. If communication’s
facilities are use to lay off heavy bets or if the bank’s personnel travel to and from work,
anti-racketeering laws are violated each day the banks operates.

2. Corruption of Public Institution

The perpetrator of illegal enterprise depends on public corruption—the medium in

which organized crime syndicated flourish and grow. Unless organized crime corrupts
public institutions to minimize its risks, it cannot continue to exist. Such corruption
undermines the political system and citizens’ faith in their institutions. When public
servants are dishonest, especially those in the front lines of protecting the public—law
enforcement and judiciary, all citizens suffer.

PART

INVESTIGATIVE PROCEDURES

Despite the gains achieved in the area of law enforcement, the problem on
organized crime has persisted. This is mainly because of the fact the while our law
enforcement agencies have taken strides in advancing their techniques in crime
investigation and detection, criminals have likewise skillfully organized themselves to keep
up with the pace.

Strategies in Investigation

Two basic strategies are available to law enforcement agencies—reactive and

proactive—and many use a combination of both. Reactive law enforcement encouraged
citizens to report crimes; the agency then responds. This type of law enforcement is used in
dealing with conventional crimes such as murder, rape, physical injuries, robbery, and
theft—crimes that are likely to be discovered by or reported. Proactive law enforcement
requires police officers and agents to seek out indications of criminal behavior, a necessity
when the nature of the criminal violation includes victim participation, i.e., gambling,
prostitution, and dangerous drugs.

These crimes are often referred to as “victimless crimes,” because victims are
unlikely to report the crime to the police or law enforcement agencies. To seek out criminal
activity in the most efficient manner possible, proactive law enforcement officers must
conceal their identities and otherwise deceive the criminals they are stalking. Authorities in
the field pointed out that both reactive and proactive law enforcement officers are exposed
to opportunities for graft, but the latter are more severely tested.

The reactive law enforcement officer, “were he has to accept money or favors to act
other than as his duty requires, would have to conceal or alter information about a crime
already known to his organization.” The proactive enforcement agents, however, “can
easily agree to overlook offenses know to him but to no one else or to participate in illegal
transactions for his own rather than for the organization’s advantage.” Undercover officers
pretending to be criminals are difficult to supervise; the agency for which they work often
knows about their activities only to the extent that the agents inform it.

Conducting the Investigation

Investigation of the criminal activity associated with organized crime involves

greater coordination and cooperation that for the more traditional forms of crimes.
Experience has shown that all components of the criminal justice system—police,
prosecution, court, correction and community—must be well trained, and prepared to be
flexible, innovative, and committed to joint efforts.

At the outset, one must recognize that not all investigations can be handled in the
same manner, and that prosecution may require greater knowledge that currently exists
within most investigative units. Where a group is working trans-nationally, it is imperative
that there is positive working relationship with investigators representing the other
countries involved.

Today it is not uncommon for organized crime to plan a crime in one country, carry
it out in another, escape to third country, and keep the proceeds in the fourth country.
Organized crime, however, is not necessarily an international activity; most organized
criminal activity of interest in a particular country will occur within its borders. In some
cases it will be necessary to pass new laws and done without a full understanding of the
problems.

Primary Areas of Investigation

1. Organization and Structure

Not all groups are organized in the same way. Most groups are hierarchical, with
individuals serving in the roles of leader, supervisors or managers, and workers. This is
common in virtually all traditional organized crime groups. In some of the newer groups,
however, investigators are finding shared leadership, sometimes involving a loose
confederation of groups working together to commit crimes where particular expertise or
contacts are necessary.

2. Groups Membership

In the more traditional groups, membership is strictly controlled; it may take years
before an individual is fully trusted. Groups tend to develop elaborate recruiting
procedures, including using young children as runners who “graduate” slowly to more
difficult and challenging assignments. At the center or core of the leadership, one usually
finds old friends, and frequently family members. Many of the newer groups are built
around family relationships, which make control easier for the group and infiltration
difficult for law enforcement.

3. Sphere of Influence

Most active enterprise crime groups could not survive without corrupting
government officials. Corruption practices range from minor bribery or law enforcement
agents to “look the other way,” to paying off judges and high-ranking officials. The
investigation must have some idea of the dimensions of this type of activity.

4. Goals and Means

The means by which a group attains its goals represent its modus operandi.
Knowing how the group works provides the basis for building a criminal case. Enterprise
criminals are likely to be very sophisticated. Generally, they would not have attained this
level of criminal activity without some knowledge of how to avoid detection and
prosecution.

Other Legal Initiatives

1. Asset Forfeiture
 Forfeiture can be defined as government seizure of property derived from or used in
criminal activity. It is designed to strip criminals of their financial rewards and is widely
used because the threat of imprisonment and fines has been inadequate to deter or
punish crimes netting huge profits. The practice of forfeiture is not a new sanction. In fact,
during the middle Ages, forfeiture of one’s estate was a common punishment for most
felony convictions.

2. Electronic Surveillance

Today’s technology makes it possible for many complex form of communication.

For example, fiber optic lines, cellular phones, fax machines, microwave transmissions,
and computer communications all provide high-tech ways to exchange information. Law
enforcement agencies have realized that evidence can be learned by listening to the
conversations of criminal conducting their illegal trades.

3. CCE Provision

It is the “kingpin” provision of the law that enables the prosecution of the principal
management or organizes of drug-trafficking networks to be charged with operating
Continuing Crime Enterprises (CCE). Convicted defendants may receive substantial prison
sentences that include, in some cases mandatory life imprisonment with not possibility of
parole.

4. The RICO Statute

This comprehensive law, known as Racketeer Influenced Corrupt Organization

(RICO) statute is designed to prosecute organized crime management figures and permits
seizure of illegally gained assets that were gained or used at the time of indictment or
before conviction. In addition, if the prosecution can show that the defendant was engaged
in a pattern of racketeering, triple damages can be sought.

5. Conspiracy Law

Conspiracy law has proved to be one of the most useful types of law in combating
organized crime. Simply defined, conspiracy is an agreement between two or more persons
to commit a criminal act accompanied by the commission of at least one overt act in
furtherance of the conspiracy. The use of the conspiracy statute can have many benefits
for the criminal investigator.

Inter-Agency Cooperation

Informal inter-agency cooperation through various intelligence agencies that acts as

a clearing house for the exchange of law enforcement information, are also useful.
Information sharing from among the different law enforcement agencies is helpful in
providing a computerized investigative data base and some products of investigative
analysis, such as toll call analysis and link charting, as well as technical assistance and
referrals for law enforcement agencies needing technical assistance.

Information sharing is particularly useful when multi-territorial drug trafficking

enterprise were involved. National law enforcement agencies have also been vital in the
successfully prosecution of organized crime, and at the local level, joint inter-agency task
forces, targeting specific criminal organizations or enterprise, can serve a similar function.
Sometimes it is not the scope of the criminal enterprise but the nature of the intended
victim that demands inter-agency cooperation.

PART

FINANCIAL INVESTIGATION

An organized crime, no matter the size, still functions the same way as any other
business operation. The difference is in the legality of the financial gain or income derived.
When the investigator can prove that proceeds from illegal activities go directly into the
pocket of a suspect, conviction for the illegal activity is certain to follow.

Definition of Financial Investigation

Financial investigation is defined as the collecting, controlling, complementing,

processing and analyzing of financial and/or related data on behalf of law enforcement. Its
objectives include generating evidence, building up a database, recovery of proceeds from
crime, and weakening or disrupting crime-markets. Financial investigation is not a weapon
and not even a tool, but a multi-faceted approach which in essence does not differ very
much from other investigative ways of thinking.

Concealed Income Analysis

Financial investigation, as you already know, is a toll that causes devastating loss to
the criminal. One specific aspect of that technique is known as concealed income analysis
or the net worth method. The purpose of the net worth analysis is to determine the extent
to which a person, group, of organization receives and benefits from money obtained from
other than legitimate sources.

In this particular investigative undertakings, the net worth principle has been
commonly used by government tax authorities for the purpose of determining taxpayer’s
income tax liabilities, primarily in those instances where no books or record of income and
expenses have been maintained by taxpayers from which a determination of tax liability
could be made.

From the presumption, the courts also recognize the forfeiture of assets which are
the product of that unexplained source of income. It is constructive to now define some of
the terms and concepts common to the net worth analysis procedure. Some of the factors
in net-worth principles are as follows:

1. Assets

It is something of value, either cash or a commodity which can be converted to

cash, i.e., real property, personal property, stocks and bonds, jewelry, and furniture.

2. Liability

It is a financial obligation involving an oral or written promise to pay, i.e., short-term

loan, mortgage, or car loan.

3. Net Worth

At a specified point in time, total assets minus total liabilities or what a person
owns, less what he owes.

4. Income

These are money or goods receive in return for services or goods over a period of
time, i.e., salary, profits, and interest.

5. Expense

Are payments for consumables as part of living or doing business, over a period of
time, i.e., food, gasoline, taxes, medical care, entertainments, and travels, etc?

Requirements for Indirect Methods of Proof

What are the legally accepted standard methods of proof in financial investigation?
There are three methods of proof that have been accepted to prove financial investigation
in criminal case. These are the specific item, the bank deposits and cash expenditures, and
the net worth and expenditures methods of proof. Each method relies on a thorough
investigation of the facts, deductive and inductive reasoning in the analysis of
circumstantial evidence, and establishing “proof beyond a reasonable doubt” thorough
negative proof of potential defenses.

The three basic methods of proof will apply these requirements and incorporate the
judicial modifications to insure accuracy and a high level o9f success in the presentations.
The case of Holland vs. U.S. is considered a landmark decision specifically addresses the
use of the net worth and expenditures method, the court’s explanation of their decision
outline several specific needs that have to be met for the use of the financial investigation
applications to be used and deemed valid in litigation.
Specific Items of the Standard Methods of Proof

This method of proof is the simplest way to conduct a financial investigation, and
the easiest to present to a prosecutor or court. The investigation focuses on specific illegal
or unreported transactions and shows the financial gain received by the perpetrator from
the alleged illegal activity. The specific item method is used primarily in cases where the
financial crime involves a single type of fraud, or when the evidence of financial gains from
the crime is sufficiently complete for presentation to court.

Specific items are just that, specific documentary evidence that proves financial
gain from a pattern of illegal acts. When a thief is found selling a stolen item, the
transaction corroborates his commission of the crime. Similarly, when an organized crime
builds a criminal enterprise to gain financially from a series of illegal acts, the profits he
receives be attributable to the specific illegal acts committed.

The second phase in the investigation will be to follow the “money trail.” Once the
evidence obtained show the fraudulent activity, the investigator must focus on identifying
all the people involved in the scheme, the illegal benefits that each received, and the
location or use that was made of the illegal proceeds. Two possible scenarios were
presented that the company could use to conceal the funds derived from the scheme.

Following the money trail to its final destination provides the circumstantial
evidence necessary to identify all of the people involved and convince the court of their
culpability in the crime. The money trail also provides evidence toward motive, knowledge,
and intent, which are inclusive in the elements of financial investigation.

Net Worth and Personal Expenditures

This method of proof is the most comprehensive and, therefore, the most difficult to
present for the prosecution and to prove to a judge. This method began early in the
criminal prosecutions of tax evasion cases. This method was acceptable for criminal
prosecution was able to negate all other possible sources of income. The trial and
prosecution of the members of organized crimes led law enforcement to pursue any and
all avenues of criminal prosecution to break up and disburse organized criminal activities.

The net worth is complete listing of assets and liabilities, or what you own less what
you owe. Because it tries to determine monies earned, all assets are listed at cost—value
appreciation cannot be included, and all liabilities at net received—loan fees and cost and
interests expenses are treated in the expenditures analysis. These items are included at
the full amount regardless of when during the time period—usually the calendar year, they
were acquired.

Bank Deposits and Cash Expenditures

The bank deposits and cash expenditures method of proof in many criminal
financial investigations, most often when the investigators believe that they have obtained
all of the bank records of the subject, and when the subject makes regular and periodic
deposits to those accounts.

In this type of investigation, it is crucial that the investigator establish an accurate

starting point for the investigation. Although deposits made and cash used for
expenditures point that obviates this excuse is the only means to overcome this type of
defense and convince the court that the alleged amounts of income represent only the
income gained during the periods under investigation.

Collecting and Preserving Evidence

Several methods and techniques are used to obtain evidence in all types of
investigative work. These methods and their applications vary at the discretion of the
investigator. For successful financial investigations, interviewing, documentation, and
observation are three critical elements in gathering evidence.

The investigator needs to apply patience, diligence, and constant analysis of the
pieces of evidence to be able to see and understand the financial activities of the subject,
so as to determine whether or not a financial crime has occurred, and whether or not
others are involved.

PART

INTELLIGENCE OPERATIONS

Intelligence operations involves a number of different tasks, i.e., identification

activity, surveillance; liaison programs; informant recruitment; clipping services; de-
briefings; and other miscellaneous activities.

Purposes of Intelligence

Intelligence data are collected for three main purposes, i.e., tactical, operational
and strategic. At times, these three categories overlap. Tactical intelligence is information
that contributes directly to the achievement of an immediate law enforcement objective,
such as arrest and prosecution. Operational intelligence as the name implies, is geared
towards, and contributes to enforcement objectives. Strategic intelligence is information
that contributes to producing sound judgment with respect to long-range law enforcement
objectives and goals.

Tactical intelligence is used to short term needs; strategic intelligence indicate

patterns of activity useful in planning and decision making for future operations. For
example, strategic intelligence provided by the national law enforcement agencies may
provide investigators from local law enforcement agencies with the means to understand
the structure and movement of organized crime elements within their area of
responsibilities.

On the other hand, operational intelligence provides data pertaining to specific

individuals or organized crime groups which have already been targeted for immobilization.
Information provided by this type of intelligence usually includes, i.e., modus operandi,
capabilities, and vulnerabilities.

Heart of Intelligence

An intelligence analyst as the heart of intelligence uses the methods of social

science research, and central to this approach is the hypothesis. The intelligence analyst
develops a hypothesis, an “educated guess,” about the relevance of the information that
has already been collected, collated, and stored. The investigators are then told to seek
data that will permit “hypothesis testing.”

Analysis of Intelligence

Organized crime is the natural home for intelligence analysis, as follows:

1. Association Analysis

Using data received through surveillance or informants, a link chart is produced showing
the links between known and suspected members of the organized crime group. The chart should
look like a family tree. It can list people, places, tings, entities or organizations.

2. Telephone Analysis

Using telephone wiretap information or other "wires", a frequency distribution chart is

produced, showing the time of the call—start and end) to whom, and the total length of time. The
result is a rather graphic portrayal of who and where the suspect calls most of the time.

3. Conversation Analysis

Using eavesdropping information, testimony of snitches, or other "wires", the analyst can
often put together a content analysis chart, showing that certain phrases always precede an act of
violence against somebody. This is especially important if the members of the organization speak
in code words.

Broad Range of Intelligence

The kind of information collected and evaluated in this manner cover a broad range
of subjects, including most of the following: the nature of organized criminal activity and
degree of organization and monopolization; the kinds and degrees of violence, threat, and
corruption; recruitment and career patterns among local organized criminals and groups;
and the competitive or complementary nature of criminal networks in the community.

Categories of Intelligence

Generally, intelligence can be divided into four categories as follows:

1. Knowledge

The knowledge category refers to information on hand or developed that gives

insight into or identifies individuals or organizations and their activities. This category of
intelligence is the foundation upon which investigations are built and expanded.

2. Organization

The organization category refers to the units within an organization, bureau, agency,
etc. whose function is to collect, analyze and disseminate intelligence information.

3. Activity

The activity category refers to the physical performance of collecting, analyzing and
disseminating intelligence information.

4. Product

The product category refers to the intelligence information produced. This category
of intelligence is the result of the collection, presentation, analysis, and interpretation of
information.

Safeguarding of Intelligence

No discussion of the use of intelligence in controlling organized crime would be

complete without some words of caution. In the beginning of the intelligence process,
much information is developed about people who association organized crime figures may
be coincidental and unrelated to criminal acts. Care in safeguarding the reputation of
these citizens is an essential aspect of any intelligence operation. Public concern over the
indiscriminate collection and distribution of information is mounting.

Tools of the Intelligence Trade

The tools of the intelligence trade are similar or identical to those utilized by any
investigator. Casing is the first tool. This consists of the investigator viewing, investigating
and evaluating every facet of intelligence collection effort prior to taking any concrete
action. For example, if a site is proposed a convenient contact point, the investigator will
first case it or check it out thoroughly. This process helps those errors caused by impulsive
actions.

Another common tool is surveillance. All intelligence operations utilize surveillance

as part of the overall effort. There is offensive surveillance which is the observation of the
organized crimes activities by resources of the intelligence operatives. Counter surveillance
is the observation of the intelligence collection agencies and its activities by the opposition.
Defense surveillance is the effort made by the intelligence operatives or a source to
determine if he or she is being watched by the opposition.

Another intelligence tool employed is the conversational arts. Interviewing

techniques are practiced with subjects who are willing to assist the investigation by
providing information. Interrogation techniques are used against hostile or recalcitrant
subjects. Elicitation if often used in normal conversation where the subject is encouraged
to speak. Once talking, he or she listens enthusiastically, and stimulating the subject to
continue.

Electronic viewing devices, such a video camera and night scopes, can also be used.
Centralized records are generally an indication of an intelligence collection agencies’ level
of sophistication and provide another tool.

Concealment Principles

When sources are involved in the actual process of the collection of information, it
will be necessary for them to store that information in some form until it can be passed to
the intelligence collection agencies. In some cases, sources are located at some distance
from the intelligence operatives. Some are inside the organized crimes group’s
organization where frequent communication with the intelligence operatives is extremely
difficult.

Security Precautions

Safeguarding of intelligence on organized crimes has already been given stressed

earlier. However, there are a lot of security precautions relatively with intelligence
operations. The first is “physical security.” This pertains to the security of the intelligence
unit’s location. The situation of the intelligence activity should be such that access to this
area is limited and controlled.

PART
 6

CASE MANAGEMENT

Case management involves officially documenting all the investigations of a case.

Without appropriate and effective case management, the investigation of organized crime
would be futile. This portion defines cases management and explains its importance, more
particularly those involving organized crime cases investigations.

Definition of Case Management

Case management is defined as the procedure for collecting, recording, organizing

and preserving all various information gathered in an investigation. In effect it is an official
history of the case. Case management is necessary in all types of investigations involving
organized crimes. No one, no matter how intelligent, can remember all the detail in a case.

Goals of Case Management

The ultimate goal of the case management system is to allow the presentation of
the information collected to a court in a criminal case. The case management system
involves all the facts related to the incident under investigation and all investigatory steps
and facts uncovered in investigating the case.

It involves maintaining and up-to-date, accurate case folder that contains the
incident report and all follow-up reports on the investigation. It also contains all official
records, including the case index sheet, the investigative plan, and the assignment sheet.
Activities of Case Management

Case management includes the following activities, as follows:

1. Taking notes on the facts observed at the scene of a crime or incident and
taking notes in canvasses and interviews of victims, witnesses, and other persons involved
in the investigation and the interrogation of suspects;

2. Preparing official reports that documents that activities performed by the

investigator; and

3. Maintaining a separate case folder that contains all the report, documents,
tapes, and other information documenting the investigation.

Considerations in Case Management

 Enumerated hereunder are some of the considerations relatively in the case management,
as follows:

1. Case File Maintenance

Law enforcement or police agencies had to establish a system of case file management for
the criminal investigation function, to include: types of records to be maintained, accessibility to
the files, and purging of files. Case files will be maintained on all cases in which investigative
activities are ongoing. The case files provide an immediate information resource to investigators.

2. Administrative Case Designations

An administrative designation of "open", "suspended", or "closed" will be assigned to each

case, as appropriate. "Open" means the case is assigned to an officer and investigative efforts are
active. "Suspended" means all available leads have been exhausted but the case has not been
brought to a conclusion and investigative efforts may resume. "Closed" means the case has been
concluded, it includes closed by exception, closed by arrest, and unfounded cases.

3. Case Status Control

Law enforcement or police agencies had to use a case status control system for managing
cases receiving follow-up investigation. At a minimum, the system will contain the date of
complaint, type of complaint, assigned investigator and date assigned, case number, report due
date, and case disposition.

4. Case Screening System

Law enforcement or police agencies had to screen each case individually to determine
whether or not the case will be assigned to an investigator for further investigation. The objective of
case screening is to apply available manpower to those investigations that have the best chance of
being successful. Written criteria should specify how such screening is to be conducted, by whom,
and what criteria--solvability factors should be used.

5. Criteria for Follow-up Investigation

The criteria will include the continued application of solvability factors and degree-of-
seriousness factors to the investigative workload. Continuation of follow-up investigation will
include a review of periodic reports of investigators on the progress of assigned cases.

6. Criteria for Case Assignment

In addition to solvability factors, the criteria used to assign cases for follow-up investigation
will be based on one of the following: documented experiences of the police organization,
documented experiences of other law enforcement agencies, research conducted within the police
organization, research conducted in other law enforcement agencies, and other criteria to be sued
in case assignment.

7. Designation of Investigator

Once assigned, the investigator receiving the assignment will be considered both the
investigator and case coordinator, and therefore, will be accountable for the follow-up investigation.
8. Criteria for Suspending Investigations

Law enforcement or police agencies had to establish the criteria for suspending
investigations. The criteria may include, i.e., lack of further leads or solvability factors, unavailability
of investigative resources, and/or insufficient degree of seriousness.

9. On-Call List

The investigation section of any law enforcement or police agencies has to maintain
a 24 hour on-call list of investigators. A copy of the said list will be made available to the
complaint desk officer and radio operator for easy access and references.

Purposes of Case Management

Case management serves several purposes, as listed hereunder, to wit:

1. First, it keeps track of what has been done and what remains to be done on
a case. The investigator working the case can review the case management folder to
refresh his or her memory or to reflect on facts that have been uncovered.

2. Second, if an investigator charged with a particular case retires, is

transferred, or cannot complete an investigation for another reason, the case will be turned
over to another investigator.

3. Third, the case management system serves as the basis for the adjudication
of the case for the prosecution or other appropriate counsel. It also serves as the basis of
the report in the conduct of investigation.

4. Finally, the case management system can be subject to the discovery

process in the legal system.

Definition of Discovery

Since the information in the case management system is subject, to discovery, it is

important to define what discovery is. Discovery can be defined as a pre-trial procedure
whereby the opposing litigants supply information to each other that is necessary to their
positions at trial. This inter-exchange of information is commonly known as the “discovery
period”, which typically occurs prior to trial, but as evidences surfaces, may extend well into
a given trial period. It involves the exchange of any information or evidence a prosecutor
intends to use against a defendant during trial.

Essentials of Discovery

In a criminal case, the prosecution is obliged to share information with the defense
counsel and defendant during discovery. Specific types of information are made available
before trial, including results of any test conducted, and transcripts of statement made by
the defendant, and any evidence favorable to the accused either because it is exculpatory
or because it is impeaching.

In all forms of discovery, a witness testimony may be so devastating to one party’s

case that the counsel may urge his or her client to reach a statement with other party
rather than go to trial. Discovery is designed to expedite the legal process. If certain facts
can be agreed upon by both parties before the trial, these facts will only need to be
recorded as having been stipulated as true by both sides.