Myth And Reality: Green is the future of economic crimes

Green energy includes natural energetic processes that can be harnessed with little pollution. Especially, wind power, geothermal power, small-scale hydropower, solar energy, biomass power fall under such a category.

Green Energy

Green Energy

Promoters of green energy investments might exaggerate the prospects of their technologies because of their desires to save the world or contribute to scientific research related to alternative energy resources. Energy infrastructure is the key to meet the challenge of energy scarcity and climate change mitigation. A high humane and low carbon energy infrastructure satisfies the three principal goals of energy policy: improved economic efficiency, more environmental protection, and greater security.

Both governments and private investors are spending hundred of billions to subsidize green energy projects. Generally, the green energy sector is flush with money. The growing green energy sector is attracting an increasing number of fraudsters and organized criminal groups around the world. In this regard, green energy is in many cases a modern camouflage with the aim of laundering money directly emitted by organized criminal activities, like drug dealing, human trafficking, …. Despite receiving widespread attention only recently, fraudulent activity has been a problem for the European Union since 2008, initially in the form of Value-Added Tax (VAT) carousel fraud. In this context, the tax revenue lost due to VAT fraud from CO2 trading represents only a small fraction of the tax revenue lost due to VAT fraud in the EU. In 2009, European authorities uncovered an enormous fraud in the market for CO2 emissions permits.

Apart this anecdotic fraud, Green energy has mass appeal among consumers, investors, and manufacturers. Now fraudsters are jumping on the bandwagon and taking advantage of a market ripe with emerging technologies, lax controls, and an abundance of financial incentives to integrate green business in their fraudulent intents or their layering mechanism of money laundering. The experience of European countries that have attempted to build a green-energy economy that will create green jobs reveal that such thinking is deeply fallacious. Spain, Italy, Germany, and Denmark have all tried and failed to accomplish positive outcomes with renewable energy. In addition to this negative trend; Italy has experienced rampant corruption in the renewable sector. Rather than having numerous individuals defrauding the government. Therefore, in the EU, a high-profile case involving the alleged misappropriation subsidies for wind energy developments is unfolding in Italy. A similar phenomenon is present in the Easter European part of the continent, where the main criminal intends is not to perform a misappropriation of subsidies, but to create a perfect operational financial international structure for money laundering in very large scale, similar to the Vanagels connection.

This green camouflage effect is unfortunately not confined to the energy sector, but also imitated by other sectors with similar criminal background potential: for example the Waste Management and recycling sector in the Balkans is fully control by the local mafia, painting their activities with the green label. An other example, more oriented in the Nordic and Baltic regions is based on the promise to construct efficient and elegant electro cars, hiding behind massive financial scam, as in the case of Vladimir Antonov.


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