Italian Mafia cashes in on recession
As Europe's economy goes into freefall, one group of organised criminals is cashing in. The Italian Mafia has realised the potential of recession, for more control over the areas it operates in. As small businesses struggle to stay afloat they are turning to the lone sharks circling nearby.
Like all successful businesses, the Mafia has spotted a gap in the market. As banks refuse to lend capital to Italian companies, many of them are turning to illegal moneylenders. The crippling interest they charge makes it impossible to repay the loans, and when the small businesses fail they are taken over by the Mafia.
Anti-Mafia groups are working hard to combat this new threat and are encouraging small businesses to work more closely together. Shopkeepers in Sicily offer a good example - they have publicly stated that they won't pay protection money.
But the activists also want the banks on board. Enrico Colajanni who chairs Free Future anti-mafia group in Palermo, says that is proving a challenge: "Banks have reacted coldly, with clients who have denounced the mafia and are having financial problems because of it.
"They see their risk going up with clients who expose the mafia and in some cases have called in loans. In once case, when the bank read in the paper that a client had denounced the mafia, they sent her a letter closing her bank account, almost as if they were offended by the move."
Despite the lack of the support from financial institutions the anti-Mafia groups are confident they can have an impact. They say there is strength in numbers and hope enough businesses will band together. Until then they will continue to spread the anti-corruption message.
Listen to a report by Megan Williams:
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