Wednesday, April 23, 2025

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Sweden: Organized crime drains welfare coffers

organized crime

Published 23 August 2024
– By Editorial Staff
For example, social crime is a growing threat to health care.

Every year, billions of Swedish kronor leak from the welfare system to organized crime, raising concerns that taxpayer money is also funding gang violence.

Criminologist Alberto Chrysoulakis and Carina Gunnarson, associate professor of political science, warn that organized crime poses a serious threat to our welfare systems.

Alberto Chrysoulakis, PhD in criminology and lecturer at Malmö University, notes that Swedish institutions are vulnerable to infiltration and corruption, often linked to criminal gangs.

– Although not everything has to be linked to criminal networks, one can expect that some of it is, Chrysoulakis said in an interview with forskning.se.

The Swedish Financial Management Authority (Ekonomistyrningsverket) estimates that the losses from incorrect payments will be between 13 and 16 billion SEK (€1.1 billion – €1.4 billion) in 2021. Carina Gunnarson, an associate professor of political science at the Swedish Defence Research Agency, points out that welfare crimes can include manipulation of time schedules, incorrect subsidies and various forms of corruption.

– The welfare sector is an area where we know that a lot of money goes missing, says Gunnarson.

Gunnarson emphasizes that changes in welfare systems and the introduction of the Law on Freedom of Choice (LOV) have increased vulnerability by creating space for both legitimate and rogue actors. She argues that such reforms can often lead to corruption.

– Reforms are generally a risk factor for corruption, and here we have a reform without sufficient development of the control systems, she points out.

Welfare crime is an escalating social problem. Photo: Riksbank/houstondwiPhotos/CC BY-SA 2.0

Project Omega

In the ongoing Forte-funded research project Project Omega, Chrysoulakis is investigating the link between wealth crime and other crimes. By analyzing data from encrypted chats and convictions, he hopes to gain a deeper understanding of how criminal networks operate and how welfare crime can contribute to their income.

– This will provide a unique insight into the flow of information within criminal networks, says Chrysoulakis.

Both Chrysoulakis and Gunnarson warn that welfare crime can undermine trust in the state and democracy if nothing is done. Gunnarson emphasizes the importance of cooperation between authorities and being proactive before problems escalate.

– We need to have resources and the right working methods, and cooperation between different authorities. The lesson is to act in time, before it goes too far.

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Organized crime takes over Swedish aid for disabled citizens

organized crime

Published today 7:22
– By Editorial Staff
The Swedish Social Insurance Agency describes gang criminals entering the assistance industry as more the rule than the exception.

The Swedish Social Insurance Agency (Försäkringskassan) is sounding the alarm that Sweden’s personal assistance allowance is currently being plundered by organized crime – and that taxpayer money is not only being stolen, but also risks financing other criminal activities.

When the privatization and sell-off of the Swedish welfare system began in earnest in the early 1990s, many warned that criminal actors would enter these sectors – either to launder money or to defraud the state and enrich themselves.

That warning has come true – and now Försäkringskassan reports that it’s now more common than not for gang criminals to be active in the personal assistance industry.

Criminals are abusing the welfare system through the personal assistance allowance. Four in ten users are estimated to have come into contact with personal assistants who have links to, or are active within, organized crime”, the agency warns, continuing:

The analysis shows that gang criminals and their families are heavily involved in the assistance sector, both as company representatives and as personal assistants, while remaining actively involved in crime“.

Systematic infiltration

It notes that in the period 2022-2023, people active or linked to criminal networks worked in all of the largest 62 assistance companies – and more than one in ten Swedish assistance companies are deemed to have “particularly close links to organized crime“.

It is not only Swedish society and taxpayers who suffer when foreign criminal networks have systematically infiltrated the assistance industry – disabled people also risk being left behind.

This includes vulnerable individuals being neglected, and people with disabilities being used as tools for crime – often with children being the ones who suffer most. Users risk receiving poor or no assistance at all”, Försäkringskassan states.

Tax money strengthens gangs’ finances

The money that the criminal networks manage to swindle is also at risk of being used to finance other criminal activities – and Swedes are thus forced to finance the gangs’ purchases of weapons and drugs, for example.

Furthermore, what appears to be legitimate employment – for instance as a personal assistant – can give the employee access to other types of social insurance fraud“, the agency adds.

The report was produced using data from a wide range of other Swedish authorities such as the Swedish Economic Crime Authority, the Swedish Enforcement Authority, the Swedish Migration Agency, the Swedish Tax Agency and the Swedish Police Authority.

Starmer singled out as responsible for UK pedophile scandal

Deteriorating safety

Published yesterday 14:26
– By Editorial Staff
Keir Starmer is accused of turning a blind eye to the systematic abuse of rape gangs in his previous role as Attorney General.

Thousands of British girls have been sexually abused, raped or held as sex slaves in recent decades by so-called “grooming gangs”, often led by people of Pakistani origin.

Despite the systematic and widespread nature of the abuse, it was covered up by the British authorities – and the current Prime Minister, Keir Starmer, is held responsible for the cover-up in his former role as Attorney General.

As early as the late 1980s, young vulnerable girls in several towns in the north of England began to be exploited by Pakistani gangs. The girls were drugged with drugs or alcohol and subjected to serious rape.

It has since emerged that the authorities failed to intervene – partly for fear of being accused of “racism”.

I want to see those responsible held accountable for gross misconduct, former police officer Maggie Oliver told Swedish state broadcaster SVT, which recently released a documentary about the events.

The misconduct led Oliver to resign and instead become one of the most prominent critics of government inaction.

“They stole my childhood”

Oliver is far from alone in his criticism, with foreign commentators such as Trump advisor Elon Musk also drawing attention to the scandal and attacking the UK government.

They should receive the severest punishment. Hang them for treason”, he wrote in a statement in early January.

The fact that Pakistani grooming and pedophile gangs have been able to continue their rampage for decades despite the alerts about the abuses has led to widespread public anger against British politicians and authorities. Many believe that the country’s leaders have blood on their hands and are heavily complicit in the destruction of the girls’ lives.

– The only way to cope was to turn everything off. They stole my childhood, says Elisabeth, who was 14 the first time she was raped.

She says she was held captive in an apartment and raped daily by different men.

– These men destroyed lives, and the authorities helped them do it, she continues.

“A cover-up”

Elisabeth was left in the apartment of the pedophile network despite being a minor, and she is far from alone in suffering from the authorities’ betrayal, with the police failing to act.

– It was a cover-up. They didn’t want it to be known that these kinds of sexual crimes were going on in the country, explains Maggie Oliver.

A fairly typical “British” grooming gang – these particular offenders are from Halifax. Photo: West Yorkshire Police

Many believe that the UK’s highest political leadership bears ultimate responsibility for the failure to stop the pedophile network with Prime Minister Keir Starmer being singled out for blame in the cover-up scandal.

Mr. Starmer was the former Attorney General and was formally ultimately responsible when a huge number of child sexual abuse cases were ignored or covered up by the authorities.

– There was no one higher up to turn to. So I think he is complicit and knew exactly what was going on and he let it continue to happen. To me, that’s inexcusable, Oliver further argues.

Starmer insists on his innocence

The fact that British establishment politicians have rejected a national investigation into the scandal has further strengthened allegations of a cover-up with critics seeing the unwillingness to get to the bottom of it as evidence of trying to protect themselves and their friends.

Starmer himself claims to have done nothing wrong, saying instead that he “tackled that problem head on”.

I reopened cases that had been closed and supposedly finished, I brought the first major prosecution of an  Asian grooming gang, he claims.

Others point out that not only have leading politicians acted far too late but that the problems have still not been addressed, and that British girls are still being systematically abused by foreign gangs.

Rotherham, an English town of just over 100,000 people, is often cited as the prime example of the corruption and incompetence of the authorities. By the early 1990s, abuses were already well known in the town but despite politicians and police being alerted on numerous occasions, the abuses continued for decades. Despite the city’s small size, it is estimated that at least 1,400 girls were exploited, raped or sold as sex slaves in the city between the late 1980s and 2013.

Sweden’s Social Democrats propose national warning register to fight welfare fraud

organized crime

Published 29 March 2025
– By Editorial Staff
Personal assistance is described as one of the industries most at risk of criminal infiltration.

Criminal infiltration of the Swedish welfare system is a growing problem, according to the Social Democrats. To protect public resources, the party proposes the introduction of a national warning register to prevent rogue actors from gaining access to tax-funded contracts.

Swedish welfare is vulnerable to fraud, corruption and infiltration by organized crime – something that costs taxpayers millions every year. In 2021, for example, around SEK 13-16 billion (€1.2-1.5 billion) disappeared in incorrect payments, which may involve incorrect grants paid out, but also criminal infiltration.

The welfare sector is an area where we know that a lot of money disappears, said Carina Gunnarson, associate professor of political science at the Swedish Defence Research Agency last year, according to forskning.se.

As a result, the state now has a large amount of information about criminals and their businesses, according to the Social Democrats in Stockholm, who point out that this information is not shared with municipalities. Industries such as cleaning and park maintenance, construction and personal assistance are the most risky. Measures need to be taken to prevent even more tax money from ending up with criminals.

– Welfare fraud fuels organized crime. But it also affects citizens who need a strong welfare system – the elderly who rely on home care services or children and young people whose future depends on a well-functioning residential care home. In the City of Stockholm, we are taking action against welfare crime and work-related crime. But we municipalities cannot do the job alone, says Anders Österberg (S), acting mayor of Stockholm, in a press release.

Social Democrats: Introduce a warning register

To prevent tax money from ending up in the hands of criminals, the party proposes a special warning register. Under the Social Democrats’ previous government, a system was investigated in which the Swedish Companies Registration Office would coordinate register checks between authorities. This would give municipalities access to information from the police, the Swedish Tax Agency and the Swedish Enforcement Authority, among others, when they procure services from private actors.

In Italy, there is a so-called “anti-mafia register” where companies are automatically checked against databases that collect information on organized crime, labor crime and serious financial irregularities. The Social Democrats believe that the previous investigation should be used as a basis, but be more inspired by the Italian register.

According to the report, the register should have been in place already this year, but the current government has postponed its introduction until 2028.

Tax money should not end up in the hands of criminal networks or rogue companies that exploit their employees. Instead of speeding up the work against labor crime, the government is now postponing the issue, which is not good enough, says Johan Danielsson (S), first vice-chairman of the European Parliament’s labor market committee.

Swedish Police: “Everyone must take responsibility for the bombings”

organized crime

Published 30 January 2025
– By Editorial Staff
The police claim to be working hard to stop the violence - but admit that they cannot do it alone.

Organized immigrant crime continues to plague Sweden, with some 30 bombings since the start of the year alone. The police now admit that they are not capable of dealing with the wave of violence on their own and are therefore appealing for help from the whole of Swedish society.

– The whole society must be mobilized. Everyone must take responsibility and do even more, said Tobias Bergkvist, deputy regional police chief for Stockholm.

During a press conference on Wednesday, the police emphasized the urgency of the situation and the need to take action to stop the wave of violence.

We have a very serious situation, not only in Stockholm but also nationally, Bergkvist emphasized.

The bombings are clearly linked to immigrant-dominated criminal networks and crime has become increasingly systematic, with bombings often used as a tool for extortion.

– What we are seeing now is an escalation of violence, but also a change in the problem. The majority of the bombings we have suffered in December and January have rather financial incentives, are strategic acts targeting companies and often for extortion purposes, says Hampus Nygårds, Deputy Head of the National Operations Unit (NOA).

“Criminal ecosystem”

He explains that the purpose of the attacks is to intimidate business owners into paying to stop the threat.

– Money is demanded to stop the violence and threats.

The police describe how a “criminal ecosystem” has emerged, where the recruitment of new perpetrators has now moved to digital platforms. Young people are offered money to commit acts of violence including murder.

– The scale of this issue is very large, says, says Nygårds.

At the same time, the police warn that more and more children under the age of 15 are being recruited to carry out violent acts for payment.

The supply of practitioners is, unfortunately, as it stands now, inexhaustible, says Bergkvist.

National crackdown

Despite the fact that the police have arrested 50 people in recent weeks, the authority believes that even more is needed to reverse the trend.

– The police are now mobilizing, especially in Stockholm but also nationally. We are taking measures such as reinforcements from different police regions, Bergkvist explains.

An important part of the strategy is said to be to increase the police’s digital presence and competence and to focus more on identifying and stopping bomb makers before the explosions are carried out, but the police believe that crime prevention work cannot be done by the authorities alone.

The whole of society must contribute to breaking the trend, they say.

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