Yes it does exist.
A 10-year investigation by Italian authorities earlier this year
revealed ties between Italian groups and Mexican drug traffickers to
move shipments of cocaine across the Atlantic Ocean.
Italian mafia smuggles cocaine for europe
The Italian mafia, have its ups and downs. The bosses and high-ups get caught, their business broken down, when the government makes a major crackdown on the mafia. What usually seems to be the case is that not all of the mafia is arrested, and then with the void left by the mafia bosses, others takes the chance to rise to power.
By the late 1990s, the weakened Cosa Nostra had to yield most of the
illegal drug trade to the 'Ndrangheta crime organization from
Calabria. In 2006, the latter was estimated to control 80% of the
cocaine imported to Europe. In 2012, it's been reported that Mafia
have joined forces with the Mexican drug cartels.
Wikipedia about ups and downs of Sicilian Mafia
What seems to be the case is that there always is some sort of illegal source of money, which maintains the mafia. Cocaine, Heroin, protection racketeering etc. This leads to a slow rise back, with the mafia slowly growing up in power, even after major crackdowns when majority of the mafia have been taken care of.
As with all business, as long as it is doing well it keeps on growing. Sadly it's true for criminal business as well.