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Organised crime is an integral part of present capitalist society. In this paper, which was given at the 1984 Marxist Summer School, Denis Freney explains how predominant organised crime is in Australian politics and why you should be concerned. Tl'burw ORGANISED CRIME RIGHTWING LABOR AND CRIME would like to begin looking at this first issue of the new US magazine The wide-ranging subject with a very Rebel. Waas' article was a case study / appropriate quote: "The primary of organised crime in one US city, goals of organised crime ... are the comparable in size to Sydney or maximisation of profit. In order to Melbourne. Elsewhere, Waas achieve the greatest possible return, commented: 'Like the rest of big organised crime has found it expedient business in America, the mafia has to invest some of its capital in the realised that it has to engage .n good government." public relauons to be accepted in their communities, to expand and grow ... This statement comes not from a The only difference is that it is not marxist, but from a recent US federal routine policy for oil companies and task force on organised crime ano it is other corporations to routinely kill Denis Freney quoted in an article The Mob in people as a normal course of everyday Philadelphia by Murray Waas in the business." (Well, not in the US ot A, at 34 ALR Autumn 1984 least, and not there with guns .... ) has become multinational, spreading areas while others are new. All are I'm reminded as far as the first point its empire particularly to the highly profitable. In each area, we have of that sentence goes of the generosity Philippines, Thailand and, to a lesser a mirror copy of the functioning of exhibited bv the Abe Saffron winci at extent, other countries in the region 'legitimate' capitalism. We have the big the Mcriah War Memorial College in In the vice districts of Manila, business ‘organised crime' executives; Vaucluse, named after the alleged according to latest reports, Australian the medium-size 'entrepreneurs' and organised crime figure. organised crime is now even better the small-time operators — the last are entrenched than the US mafia As the ones usually caught. The 'big WHAT IS Douglas Meagher has said, 'close business' operators ao not do the dirty ORGANISED CRIME? relations' nave been found to exist work, they have their 'workers’ or hire between some Australian criminals out independent 'contractors'. They efining organised crime has and ruling circles in the Philippines — also act as financiers for small or almost become an academic jp to and including the Marcos family. medium-size operators outside their D industry. The fact is that it is a Fifth, as part of the last, Australian own organisation. A reasonably-sized very imprecise term: when two people organised crime figures have forged drug importation could cost a million get together to 'organise' a bank the closest possible links with the big dollars to mount. While one financier robbery, is that organised crime? By Ub crime families and, beyond that, may be willing to finance such a deal, it some definitions it is, as it is with the Sicilian mafia, the Naples is more likely a number will combine, 'organised'. But it reduces the Commora and the Calabrian Honored both to spread any possible loss, and definition down to an almost Society. Australian organised crime to share the profits, which are meaningless level. The only valuable has time-honoured links with iti. British enormous. way to examine the question is to draw counterparts and, in more recent the parallel between crime and decades, has forged links with French, ORGANISED CRIME ^ND 'legitimate' capitalism. Comparing the Corsican, Chinese, and other ’mafia' LEGITIMATE BUSINESS' two-person robbery of a hank with the syndicates. It is also in constant operations of the Nugan Hand ’bank' business with the Lebanese apitalism, in Its early or the alleged Abe Saffron empire is Phalangists who combine fascist terror beginnings, and each budding like comparing a family corner store with high-level drug trafficking and C capitalist today, must go with BHP. other crimes. through a process of primitive When we — and others such as accumulation of caoital. As often as Costigan and his counsel. Douglas WHAT FIELDS DOES not, such primitive accumulation has Meagher — speak of ‘organised crime' occurred historically through criminal we are talking of the top end of the ORGANISED CRIME COVER? activities. As author Richard Hall said business, of the BHPs of crime not the ouglas Meagher, the senior at the National Crimes Commission corner stores. counsel assisting the Costigan Conference last July "I suppose the Second, let's accept a practical Royal Commission, has listed first organised criminals were the definition of 'crime as all that breaks the main fields of organised crime.officers I of the Rum Corps. Perhaps the laws of the Commonwealth, States D will repeat them with only a Governorfew Bltgh needed a Crimes and Territories of Australia. That's not passing comments: Commission to solve the problem." to say we need endorse all those laws, •systematic robbery The descendants of these first for, as we know, many of them are • organised shoplifting (including Australian organiseo crime figures are unjust, able to be applied and directed major items such as fridges, TV sets, today the doyens of high society. against the poor, the sick and the etc.) Douglas Meagher, in his recent minorities, such as Aborigines. But •theft from wharves (not just pilfering, ANZAAS paper, lists the criminal some laws would exist in any society of but of whole containers) activities of Morgan and Vanderbilt scarcity, while others have been won • motor car theft (not for joyriding, but who had amassed enormous wealth by by w o rkin g people, fo rce d on systematic sale as spare parts profiteering from the American Civil capitalism fo regulate big business’ interstate, and even in the USA) War. We could add the names of other rampage of the workforce, the • credit card theft (often an overseas infamous 'robber barons' from environment, and to finance social operation, with the cards stolen here, Rockefeller on. welfare. Capitalism has also adopted then used in South East Asia) Today, the multinationals break laws laws ana regulations for its own good • SP bookmaking around the world. Just as Morgan in health, particularly since the Great • illegal casinos and gambling 1856 staged his own revolution in Depression, as a matter for its own • prostitution Nicaragua to get control of survival. •pornography VanderDilt’s holdings there, and Third, we should realise that •drug trafficKinG Vanderbilt got the then President to organised crime in Australia, • lean sharking (Frank Hardy's latest send in US troops to defeat Morgan's particularly since World War II, and book deals with one aspect of this) 'revolutionaries’ and regain his especially since the early 'seventies, •protection rackets holdings, so, today, multinationals has been increasingly monopolised •arson have little respect for laws and legally into relatively few hands, and taken on •bankruptcy fraud (Bernie Houghton established governments. all the structures of a big corporation. of Nugan Hand fame was an expert on Meagher also notes: And just as the directors of BHP ao not this) dirty their hands at the blast furnace, • union racketeering (small-scale here, One of the earliest American fortunes was a massed bv John Jacob Astor. His but likely to spread. We'll deal with this so the lop levels of organised crime do money was originally gained through not dirty their hands with robbery, drug in more detail later.) lawlessness and violence committed trafficking or fraud. Rather, the top •taxation fraud by his agents against Indians in the directors of these corporations are the • computer fraud western fur traae. At the time he lived in investors, the organisers of the and so on, in many varied forms and Ne w Y o rk as a re s o e c ta b le organisers of the actual crimes. combinations. businessman. The money was used lo r Fourth Australian organised crime Some of these are 'traditional' crime real estate speculation in New York Australian L e f t R ev ie w 87 35 where easily corrupted officials helped connection between legitimate government" This is not something him become the richest person in business and organised crime. new since, tor as long as crime has America. He crowned his successful In the same respect, I'm sure you are existed, corruption has existed. It business by becoming one of all waiting with bated breath for Kerry might be slipping a copper a few quid Americas greatest slum landlords, Packer to explain himself before the to turn the other eye. I think the extracting money from the poor for the Costigan Royal Commission. Costigan excellent ABC TV series Scales of privilege of living in the vilest of Justice said it all by tracing the tenement housirig. has been investigating two Westpac branches in Brisbane which had bPen evolution of corruption from the small- used to launder millions of drug and scale to the top-level. I think that very n Australia, it can be argued tnat the other 'llegal money. While few people today would believe conscious actions of BHP, James investigating, Costigan found that corruption does not exist with.n parties / Hardte Asbestos, the uranium Queensland property developer Brian and governments around the country, miners and so on in breaking health Ray, a good friend of Joh Bjelke- and not just in police forces. and safety laws and environmental Petersen, had withdrawn $225,000 Some may think the last episode of controls is more serious in its social from one of the banks for Kerry Packsr.

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