Intense and unfounded suspicion (8)

I believe the answer is:

paranoia

(Other definitions for paranoia that I've seen before include "Persecution mania" , "Form of schizophrenia" , "Insane suspiciousness" , "Disorder characterised by delusions of persecution or grandeur" , "Disorder characterized by delusions of persecution" .)

I've seen this clue in the Sydney Morning Herald.

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