Mob Schemes and how they worked

[Benito]

I know a reasonable amount of background on the Gambling and Bookmaking element of the Mob, along with Extortion and Union fraud, kick backs, etc. same goes for prostitution and drug trafficking.

But what other rackets were the mob involved in? And does anybody have any good insight into them? Or even info on them.

Thanks

[OcSleeper]

Great write up on the Gas Scheme viewtopic.php?f=29&t=8698

[Wiseguy]

There was the old time "bust-out" scam where the business of a debtor would be taken over, products ordered on the business' credit and sold for pure profit without the supplier being paid, eventually driving the business into bankruptcy.

A few others...

Prepaid phone cards
https://www.google.com/amp/s/www.upi.co ... 884494800/

Pump and dump stock fraud
https://nypost.com/1999/06/17/85-busted ... tock-scam/

Internet/telephone fraud
https://www.google.com/amp/s/www.nbcnew ... bna6928696

Healthcare fraud
https://www.floridabulldog.org/2021/05/ ... are-fraud/

[Wiseguy]

Cloned credit cards
https://www.qchron.com/editions/western ... 88b56.html


"Vertical Integration," i.e. cooking the books

“They’re not taking over businesses in the style of Al Capone. So they’ve learned their lessons. Instead, they’re using this model of vertical integration – whether it’s through an investment company, construction, groceries or an events company (in which they’d own the bakery, food concessions and the reception hall). They control everything so they don’t have to pay anything on top. And then they have a second set of books whereby they can give money, cash, checks and wire transfers to different accounts to basically legitimise their games.”
https://www.google.com/amp/s/www.gq-mag ... milies/amp

[Benito]

These are brilliant, keep them coming.


Thanks all!