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This article unpacks the effect that the presence of diffuse licit and illicit power structures has on states and citizens in the modern world. It does so by investigating how a drug cartel undermined social movement organisation around electricity provision in the San Marcos province of Guatemala. The cartel's presence contributed directly to the demise of movement activity and impeded the effective development of movement strategies in the face of menacing – albeit veiled – threats. In addition, the state's inability or unwillingness to prevent the violent assassination of movement leaders undermined the legitimacy of the central state in the eyes of movement leaders. This also contributed to the reproduction of the ‘unrule of law’ on the ground through the movement's subsequent rejection of formal state institutions. [ABSTRACT FROM PUBLISHER]