The Black Market Essay

This essay has a total of 1301 words and 6 pages.

The Black Market

The Black Market is defined as people who engage in illicit trade. Smuggling of Nuclear
weapons plays a role in this. The Russians, U.S., and other countries are involved. Russia
has been one the move since the Cold War ended. The Russians position threat to many lives
with nuclear sales. Many Russian affiliations and events are to blame including Russian
Mafia, military intelligence, Trading Air, collapse in economy, and disgruntled Nuclear
employees.

Russian Crime organizations have grown to a high number since the end of the Cold War. The
Nuclear Black market is no stranger to the Russian Mafia. Russia may be poised to sell
nuclear weapons to the highest bidder as organized crime expands its influence in Russian
society (Phinney). Some of the 200 Russian organized crime groups now operate worldwide,
including in the United states and gaining the ability to manipulate its banking system
and financial markets (Phinney). Roughly two-thirds of Russia's economy is under sway of
crime syndicates, and protection rackets have been the norm since the collapse of
communism(Phinney). The Russian Mafia and the antifada

becoming nuclear powers or the likelihood that some of this dangerous material being
transferred to rogue states like Iran, Iraq, or North Korea. Even if the uranium and
plutonium are not used to build nuclear technology, these materials are radioactive and
therefore intrinsically dangerous to any one who comes in contact with them, particularly
the smugglers themselves. In March 1995, U.S. Customs agents in Miami launched a two-year
undercover investigation reaching into high-level official circles in Russian, Bulgaria,
and Lithuania. It would become the first credible case of a scenario to smuggle tactical
nuclear weapons into the U.S. (Frontline). According to Russia's Ministry of Internal
Affairs, the government agency in charge of combating organized crime, 40 percent of
private business, 60 percent of state-owned enterprises and between 50 percent and 85
percent of banks are controlled by organized crime. According to Russia's Ministry of
Internal Affairs, the government agency in charge of combating organized crime, 40 percent
of private business, 60 percent of state-owned enterprises and between 50 percent and 85
percent of banks are controlled by organized crime.

Russia crime organizations are not even the source when it comes to smuggling Nuclear
Weapons. Warheads come from one place, the military. There is major corruption in the
Russian Military. Although, you can make your own type of Nuclear weapons, but this is a
different case. Some 6,000 crimes were committed by the military in 1996 and over 100
generals and admirals and the three top officials from the Ministry of Defense are under
investigation of corruption and embezzlement (Phinney). According to a Western European
intelligence report, the principal suspects in many of the smuggling cases are "renegade
military officers and civilian nuclear technicians from Russia, Ukraine, and Romania. .
."(Lee). The nuclear weapons black

market has grown so large that the number of cases of actual or
attempted nuclear smuggling from former communist countries in 1994
increased to 124 -- more than double the amount reported in 1993. The military's plight
provide sample economic incentive for raising cash by selling arms to the highest bidder.
The instability and unrest in the Russian military, whose soldiers receive paychecks on an
irregular basis at best, bolsters cause for alarm. The military's plight provides ample
economic incentive for raising cash by selling arms to the highest bidder, according to
Arnaud de Borchgrave, CSIS organized crime expert who helped author the report.

There's always a system for something. It's not like a franchise, every organization has
their own system. That system is the way they can trade. There are men called
"Ventilators" because they trade air. Trading air as a commercial activity arose in Russia
only recently. It quickly became popular in the growing circles of Russian dealers. A
middle man finds a consumer who wants to buy several kilograms of an item (e. g.
plutonium). He offers a sample for analysis and receives a deposit. All the transactions
in these circles are conducted in U.S. dollars. After receiving a deposit, the middleman
disappears for a week (Beyaninov). While the disheartened buyer searches high and low for
his broker, waving the empty container and the fake certificate in the air, his money is
earning money. It's being used as capital for black market retailers, private lenders, or
exploiters of dollar-ruble exchange rates. The profit isn't high; if the middleman
receives a deposit of $2,000­3,000, he makes $200­300 at most. But he suffers absolutely
no losses. The middleman finally meets with his client, apologizes profusely for the
mistake, and returns the entire sum to his buyer. It seems as though three journalists
broke in and did some analyzing of their own. The journalists were undercover and Russian.
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