Certified Fraud Examiner Practice 2025 - Free Practice Questions and Study Guide

Organized crime refers to criminal activities that are coordinated and carried out by structured groups, which often operate in a systematic manner. These groups engage in various illicit activities, including drug trafficking, extortion, money laundering, and human trafficking, with a level of sophistication and planning that distinguishes them from individual or opportunistic criminals. The collaboration among members enables these groups to manage resources, evade law enforcement effectively, and exert influence over their operations and communities.

An important aspect of organized crime is that it often involves hierarchical structures, where roles and functions are clearly defined among members. This organization allows for the pursuit of larger and more profitable illicit enterprises, often with connections to legitimate businesses as a means of laundering money or maintaining a facade of respectability. In contrast, crime committed by individuals typically lacks this structure and is more random in nature, while violent crime in public settings usually denotes acts of violence that may not be part of an organized effort. Cybercrime, while a growing concern, represents a specific modality of crime that can either be individual or organized, but does not encompass the broader definition of organized crime as a collective effort among gangs or syndicates. Thus, the correct answer accurately captures the essence of organized crime as a coordinated effort by groups rather than isolated incidents