Europol links Italian Mafia to million-dollar phishing scheme

In collaboration with Europol and Eurojust, European law enforcement dismantled an extensive network of cybercriminals linked to the Italian Mafia that was able to defraud their victims of roughly €10 million ($11.7 million) last year alone.

"The Spanish National Police (Policía Nacional), supported by the Italian National Police (Polizia di Stato), Europol and Eurojust, dismantled an organised crime group linked to the Italian Mafia involved in online fraud, money laundering, drug trafficking and property crime," the Europol said today.

"The suspects defrauded hundreds of victims through phishing attacks and other types of online fraud such as SIM swapping and business email compromise before laundering the money through a wide network of money mules and shell companies."

Law enforcement agents who worked on this investigation made 106 arrests (mainly in Spain and some in Italy), were involved in 16 house searches and were behind the freeze of 118 bank accounts controlled by the cybercrime group.

The investigation also led to the seizure of many electronic devices, 224 credit cards, point-of-sale terminals and SIM cards, a marijuana plantation and the equipment required for cultivation and distribution.

This criminal network was organized using a pyramid structure with various specialized crime areas and roles for its members.

Some of the cybercrime group's members were computer experts responsible for creating and managing the phishing infrastructure and coordinating and carrying out online fraud.

Other members were specialized in recruiting and organizing money mules, while many others were money laundering and cryptocurrency experts.

The Italian Mafia link

"Most of the suspected members are Italian nationals, some of whom have links to mafia organization," the Europol also revealed.

"Located in Tenerife (Canary Islands, Spain), the suspects tricked their victims, mainly Italian nationals, into sending large sums to bank accounts controlled by the criminal network."

The criminal proceeds obtained from online fraud, including business email compromise and SIM swapping schemes, were laundered using a network of shell companies and an even more extensive network of money mules.

Europol deployed analysts and forensic experts to Spain and Italy during the investigation. It also funded the deployment of three Italian investigators to Spain to support the Spanish authorities during the action day.

"The Joint Cybercrime Action Taskforce (J-CAT) at Europol supported the operation," the Europol added. "This standing operational team consists of cyber liaison officers from different countries who work from the same office on high profile cybercrime investigations.