Answer to Question 1
As state and individual sponsorships of terrorism has declined and increased regulations in banks have hampered a terrorists ability to maintain obvious illegitimate accounts, terrorist groups have turned to a number of creative means to obtain funding. Nacro-terrorism is one of those means. Narco-terrorism originally referred to campaigns of extreme violence, including torture, beheadings, bombings, and assassinations by drug traffickers against competitors, the police, and others. The type of involvement in the drug trade can be as little as taxing' the grower for protection, to all out growing, manufacturing, and distributing the drug. Terrorist organizations can also become involved in more traditional crimes in order to obtain finances. Kidnapping may produce as much as 165 million in paid ransom. Counterfeiting money and pirating ships have also been done as a means to obtain money. A final topic that may be addressed is the use of fraudulent charity organizations. Terrorist groups have adept at developing these organizations with key names to attract donors. For example the Global Relief Fund sounds particularly benign. When you combine these fake charities with the Muslim requirement of zakat, it is particularly easy to obtain funding.
Answer to Question 2
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