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Ed Webb

The Islamic State Isn't Behind Syria's Amphetamine Trade, But the Regime Could Be - 0 views

  • Scientists first produced Captagon, the brand name of the drug fenethylline, in the 1960s to treat depression and children with attention deficit hyperactivity disorder. Two decades later, the World Health Organization banned the substance due its high potential for addiction, abuse, and other adverse health effects. But counterfeit Captagon—which is sometimes just a cocktail of amphetamines with no fenethylline—remains in demand on the black market in the Middle East.
  • pills intercepted in Salerno arrived on three ships from Latakia, a Syrian port, and Italian police quickly announced that the Islamic State was responsible for their production and shipment—allegedly to fund its global terrorism operations.
  • Global media outlets disseminated the information provided by the Italian police without questioning it, replicating misinformation without considering how a scattered group of Islamic State members could pull off such an operation—but the truth is, they probably didn’t
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  • more likely that the regime of Syrian President Bashar al-Assad has a hand in producing Captagon, reaping a profit that it can invest into its armed campaigns against civilians and damaging the health of many Syrians who are now addicted to amphetamines after years of war
  • “When Syria invaded Lebanon in the ’90s there were many reports showing the Syrian military were aiding and abetting hashish and opium production in the Bekaa Valley,”
  • Captagon production flourished in Syria after 2013, when a crackdown in neighboring Lebanon likely forced Hezbollah to relocate its drug production operations next door. The shift came at an opportune time for the Syrian regime, as it needed money to fund its military campaign against rebel groups
  • The majority of Syria’s Captagon production sites are in regime-held areas, according to Abu Ja’far, a former truck driver who worked between Homs, Rif-Dimashq, and Aleppo. “You only need some deserted homes and a few workers supervised by someone with strong connections,”
  • International organizations are unable to conduct research on the ground, meaning there is no concrete evidence linking the Assad regime to the Captagon trade. But sources say that strong protection would be required to produce, sell, and export the drugs from regime-held areas. “It was always possible in a country at war that those best placed to safely manufacture a drug in large quantities would be people in the regime … or in areas the regime were guaranteeing security,”
  • Last year, more than 33 million Captagon pills were seized in Greece after being shipped from regime-held Latakia. And in April this year, Saudi customs seized more than 44 million pills hidden in tea packaging from a company close to the Assad family.
  • At the height of its territorial control, the Islamic State was involved in the black market, trading looted antiquities, arms, and oil. But there is little evidence that the group ever produced Captagon—even if individual fighters used the drug on the battlefield. It would not have been sanctioned at the institutional level because of the group’s Salafism: Islamic State leaders punished people caught smoking or selling tobacco, making it unlikely they condoned the manufacturing of amphetamines.
  • Saudi Arabia has long been the No. 1 consumer of Captagon, which is popular among young and affluent partygoers. As conflict drags on in Libya, it is also possible the large shipment was destined for the port of Benghazi, with Europe as a transit point.
  • While much of the Captagon produced in Syria is destined for overseas markets, Syrians themselves suffer some of the worst damage from the trade. The worst-quality Captagon tablets are sold within Syria for as cheap as $1 per pill
  • Captagon is known to inhibit tiredness, hunger, and fear. But its use is now common among all demographics in Syria, not just fighters. The most common side effects include extreme depression, insomnia, malnutrition, and heart and blood toxicity
Ed Webb

What Lockdown? World's Cocaine Traffickers Sniff at Movement Restrictions - OCCRP - 0 views

  • the predicament facing cocaine smugglers, as the global pandemic has increased scrutiny on them and disrupted their smuggling and distribution networks. But it also highlights their flexible approach to their trade, which has kept business booming even as many of the world’s legal sectors have ground to a halt.
  • OCCRP reporters have found that the world’s cocaine industry — which produces close to 2,000 metric tons a year and makes tens of billions of dollars — has adapted better than many other legitimate businesses. The industry has benefited from huge stores of drugs warehoused before the pandemic and its wide variety of smuggling methods. Street prices around Europe have risen by up to 30 percent, but it is not clear how much of this is due to distribution problems, and how much to drug gangs taking advantage of homebound customers.
  • In March and April, Spain seized over 14 tons of cocaine in inbound shipments — a figure six times higher than the same period the previous year, said Manuel Montesinos, the deputy director of Customs surveillance at the Spanish Taxation Agency. “We are very struck by the frenetic pace,” Montesinos said. “Almost every day we receive alerts of detections of suspicious operations.”
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  • As many countries begin partially reopening their economies, traffickers may now be in a position to become more powerful than ever. With economies in distress and many businesses facing ruin, cash-rich narcos may be able to cheaply buy their way into an even bigger share of the legitimate economy.
  • “There has always been a stock, it’s a very organized chain. It’s the way to control everything, especially the price. The stocks are on beaches such as Tarena [near the border with Panama], banana plantations, in the jungle. The stashes are everywhere,”
  • Traditionally, smugglers have used small, very fast speedboats, as well as fishing vessels and submarines, to ply their northern route. Lockdowns have made these methods harder to use, mainly for logistical reasons. So instead, smugglers are turning back to older, slower routes that are often broken up in parts.
  • Unlike exports to the United States, cocaine bound for Europe is typically moved in legal air and sea cargoes, especially fast-moving fresh goods such as flowers and fruit. The latter, as food, has continued to move unimpeded during the pandemic, helping feed Europe’s 9.1 billion euro-a-year cocaine habit. Colombia’s banana industry, for example, has been exempt from local lockdown measures, allowing cocaine to keep moving through the crop’s supply chain. “[Anyone] in the authorities or security that meddles with this route goes down,” said Rául, the Gulf Clan member, adding that people who are paid off to facilitate the smuggling of cocaine have an incentive to keep the drugs flowing. “Everybody eats,” he said.
  • Mexican cartels have used the crisis as a public relations opportunity. People associated with the cartels, including the daughter of imprisoned Sinaloa cartel chief Joaquín “El Chapo” Guzmán, have publicly distributed food and other essential items to the poor. Meanwhile, the country’s drug violence continues unabated, claiming an average of 80 lives per day.
  • cocaine continues to flow from South America to Europe and North America. Closed trafficking routes have been replaced with new ones, and street deals have been substituted with door-to-door deliveries.
  • Ramón Santolaria, the head of anti-narcotics at Spain’s national police in Catalonia, said cocaine traffickers may have mistakenly assumed that the pandemic would have reduced monitoring at ports. The cartels “have to continue exporting,” Santolaria said. “They are like a company. They can’t store everything in their countries, since it would be very risky.”
  • Italy has fallen silent as a point of arrival, despite being home to mafia groups that dominate Europe’s cocaine trade. Seizures dropped by 80 percent over the months of March and April compared to the same period last year
  • “Italy did not receive much via ports or airports and that is because during lockdown we have been controlling them a lot,” said Marco Sorrentino, the head of anti-mafia department of Italy’s financial police, the Guardia di Finanza. Italian crime groups have shifted their operations to Spain, where they have large “colonies” according to Sorrentino. “Italian mafias and their partners thus sent cocaine mainly to Algeciras or Barcelona, and then from there they moved it on wheels to the rest of Europe and to Italy,” he said. “As cover-up they used trucks filled with fresh fruits or also soy flour,” which resembles cocaine.
  • At the street level, lockdowns have played havoc with cocaine sales — but have also failed to stop the trade. But in some cases at least, dealers’ adaptations may have actually put them in a more profitable position than before, as cocaine users are desperate and confined at home. “Even though they don’t lack product, they have raised prices a bit and are cutting it more,”
  • The solution? Delivering it to customers in the guise of food orders, or couriered by essential workers carrying documents that give them permission to move around freely. Dealers have also staked out positions in socially distanced queues outside supermarkets — one of the only permitted places to gather in public under Italy’s strict lockdown rules, which began easing up in early May.
  • The main dark web marketplaces have seen an increase in sales of roughly 30 percent since lockdown measures started coming into effect worldwide
  • “Private citizens who are in need and won’t have access to a bank loan will be victims of loan sharks,” he said. “But what worries us the most is that licit companies might be in need, and be approached by mafia organizations that will propose to become minority shareholders.” “And once this happens, they actually take over the whole company,”
Ed Webb

Mali rebels melt away in face of French advance | World news | The Guardian - 0 views

  • Western governments have treated the problem of growing Islamist extremism across North Africa as one of "terrorism". David Cameron has talked of an "existential struggle", warning it will take decades to defeat.But in reality, the rebels' earlier successes had less to do with hardline jihadist doctrine than with organised crime and drug smuggling. There is strong evidence, moreover, of collusion between the previous and possibly current Mali government and radical Islamist groups.In recent years, western nations have secretly paid millions of dollars in ransom to various Al-Qaida-allied factions for the release of kidnapped nationals. Since 2008, around 50 westerners have been abducted in the region. Eleven are still being held. The biggest beneficiary of this lucrative industry has undoubtedly been AQIM.It is this western cash – $40m to $65m since 2008 – that has enabled AQIM and other factions to capture the north. They bought weapons, especially after the ousting of Muammar Gaddafi, and political allies. The weapons facilitated their capture of Kidal, Gao and Timbuktu; the Malian army fled in disarray.
  • Since 2005-7, South American drug cartels have been using west Africa as a major transit route. Typically, the drugs arrive in small, dysfunctional west African coastal states, such as Guinea or Guinea Bissau, and are then shipped overland across the Sahel and Sahara to Europe. The route goes through Morocco, Algeria and Libya, often using ancient camel trails.
  • "It would be difficult for the [Mali] government to fully pursue AQIM, as there were a number of powerful and well-connected individuals who were profiting from Al-Qaida's smuggling activities."
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  • For now, France is winning. But destroying a couple of AQIM bases and driving the rebels from Mali's northern cities is the easy bit. The challenge will be holding on to the territory against a nebulous and cunning foe and, perhaps, somehow incorporating the rebels into a lasting political solution. That won't be easy.
Ed Webb

Somalia is Set to Be Ravaged by the Coronavirus, and Terrorists Will Profit - 0 views

  • Somalia has been spinning on a crisis carousel: war, famine, terrorism, climate stress. Now, the coronavirus pandemic is set to steer the country towards another hemorrhaging of human life. Even with a youth population above 70 percent, the virus will likely compound Somalia’s chronic medley of miseries. With each passing day, an uneasy question looms large: If the pandemic has left such death and upheaval in its wake in the world’s most powerful countries, what impact will it have on one of the world’s most fragile?
  • a psychological readiness for catastrophe. Extreme violence has long been a fact of daily life in Mogadishu, under siege by one of the deadliest terrorist groups in Africa, al-Shabab, which, by conservative estimates, has killed more than 3,000 people in the past five years and wounded tens of thousands in the past decade. Somalis, often touted for their resilience amid unrelenting adversity, are no strangers to mass loss of life.
  • As of Monday, 1,054 infections—out of a miniscule testing pool—and 51 deaths have been confirmed. The true spread is doubtless far worse.
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  • Despite testing far less than its neighbors, Somalia has the highest death toll in East Africa. On April 17 and 18, 72 people were tested, out of which 55 were confirmed positive, a staggering 76 percent infection rate. Since this revelation, the Somali government has stopped sharing the numbers of people tested with the public.
  • Anecdotal accounts of COVID-19 symptoms and a spike in burials abound. “There is extraordinary community transmission. Infections and deaths are out of control,” explained a Mogadishu doctor on the condition of anonymity. “And why visit a hospital if they can’t treat you?” Somalia’s health infrastructure is mere scaffolding: scarce public hospitals struggling with a lack of equipment, unaccredited doctors in private facilities offering unaffordable services, and medication that is as low-grade as it is scarce.
  • Somalia’s best-equipped medical institution, Erdogan Hospital in Mogadishu, was shut down in April after 3 of its doctors were infected. Martini Hospital—kitted with 76 beds—is the only medical facility in the whole country designated to treat the infected
  • Answers to this acute health crisis lie in part with the government’s 2020 budget, which allocated $9.4 million for health spending, a mere 2 percent of the national budget. A whopping $146.8 million was reserved for security institutions—a telling indication of a cash-strapped state facing widespread security threats.
  • The group heralded the disease as divine punishment for the treatment of Muslims globally. Weaponizing the disease, al-Shabab ushered in Ramadan with an attempted vehicle-borne explosive attack at a military base on the first full day of the holy month.
  • Like the virus, al-Shabab transcends national borders and presents risks not only to Somalia but to its pandemic-weakened neighbors, particularly Kenya, which has weathered violent attacks from the group for years. Born out of a power vacuum itself, al-Shabab will capitalize on lapses in states’ security apparatus as governments redirect resources from preempting terror attacks to enforcing curfews
  • risks reversing critical security gains
  • Kenya’s northeastern towns lying on its border with Somalia have been particularly vulnerable to devastating al-Shabab attacks. In response to the illegal smuggling of people and goods from both Somalia and Ethiopia, Kenyan security authorities have recently ramped up aerial surveillance along its borders, in part, to curtail cross-border infection. Ethiopia’s health minister announced last week that 13 of its new cases were imported via illegal migration from Djibouti and Somalia
  • More than 80 percent of global trade passes through the Gulf of Aden
  • the resurgence of piracy can be expected
  • For more than a year now, the central government has been embroiled in a rancorous fight with two of its federal states. This being an election year, the fledgling Somali state finds itself at a critical juncture. It remains to be seen whether federal elections will be postponed, following in the footsteps of neighboring Ethiopia.
  • The disappearance of remittances—a lifeline for millions on the continent and estimated at $1.4 to $2 billion annually in Somalia alone—makes the situation all the more desperate. These critical cash flows have dried up as a global recession sets in and incomes of workers in the diaspora shrink.
  • harrowing statistics from across Europe show that Somali communities have been disproportionately affected by COVID-19. In Sweden, Somalis are dying from the virus at “an astonishing high rate” according to the BMJ despite accounting for only 0.69 percent of the population. The World Bank is calling on governments to designate remittance companies as an essential service, a crucial step to easing restrictions on these financial flows.
  • The populations most at risk in Somalia are those living in the densely populated camps scattered across the country. More than 2.5 million internally displaced people live in these cramped conditions, already weakened by malnutrition and compromised immune systems, and with limited access to clean water, soap, or bathrooms.
  • According to the World Food Programme, the number of food-insecure people in East Africa is projected to reach up to 43 million in the next few months—more than double what it is now—sparking fears of conflict over scarce resources.
  • The specter of drought and famine, alongside the unforgiving plague of locusts that has ravaged crops in recent months
  • deadly flash floods
  • will force more people to move, compounding the internal displacement crisis and heightening intercommunal tensions  even as it spreads the disease further
  • Border closures across the region have throttled migration flows, making it ever harder for people to escape conflict or starvation. This will simply force migration into the shadows, opening up avenues for human trafficking and exploitation. Irregular movement of refugees has already been observed across the Horn of Africa’s highly porous borders.
  • During  Friday prayers at Mogadishu’s Marwazi mosque on April 10, armed forces tried to forcibly disperse a congregation of worshippers without notice. A massive demonstration broke out, and shoulder-to-shoulder prayers continue across the country today
  • Riots swept the streets of Mogadishu again on April 24 in response to the fatal shooting of two innocent civilians by police as they tried to enforce a curfew. Ramadan, replete with nightly rounds of public taraweeh prayers, is likely to catalyze disease spread in the absence of clear communication with communities and Islamic leaders.
  • The virus demands self-sufficiency. Countries are forced to make do with their own systems, however broken.
  • government’s restrictions on press freedom and access to information about the novel coronavirus to the detriment of its own people
  • As has often been the case in the disaster-prone country, it will be up to grassroots community groups, the private sector, and members of the diaspora to mobilize en masse to contain the crisis.
  • Two officials at the Ministry of Health have already been arrested on corruption allegations related to COVID-19 response donations, denting public confidence.
  • With domestic flights suspended, it is all the more critical to invest in hospital and testing capacity across the country. This cannot be achieved without genuine collaboration between the federal government and its constituent member states.
Ed Webb

unctad.org | Africa could gain $89 billion annually by curbing illicit financial flows - 0 views

  • Every year, an estimated $88.6 billion, equivalent to 3.7% of Africa’s GDP, leaves the continent as illicit capital flight, according to UNCTAD’s Economic Development in Africa Report 2020.
  • these outflows are nearly as much as the combined total annual inflows of official development assistance, valued at $48 billion, and yearly foreign direct investment, pegged at $54 billion, received by African countries
  • From 2000 to 2015, the total illicit capital flight from Africa amounted to $836 billion. Compared to Africa’s total external debt stock of $770 billion in 2018, this makes Africa a “net creditor to the world”
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  • These outflows include illicit capital flight, tax and commercial practices like mis-invoicing of trade shipments and criminal activities such as illegal markets, corruption or theft.
  • IFFs represent a major drain on capital and revenues in Africa, undermining productive capacity and Africa’s prospects for achieving the Sustainable Development Goals (SDGs).
  • in African countries with high IFFs, governments spend 25% less than countries with low IFFs on health and 58% less on education
  • In Africa, IFFs originate mainly from extractive industries and are therefore associated with poor environmental outcomes.
  • The report shows that curbing illicit capital flight could generate enough capital by 2030 to finance almost 50% of the $2.4 trillion needed by sub-Saharan African countries for climate change adaptation and mitigation
  • Of the estimated $40 billion of IFFs derived from extractive commodities in 2015, 77% were concentrated in the gold supply chain, followed by diamonds (12%) and platinum (6%).
  • Specific data limitations affected efforts to estimate IFFs. Only 45 out of 53 African countries provide data to the UN International Trade Statistics Database (UN Comtrade) in a continuous manner allowing trade statistics to be compared over time.   The report highlights the importance of collecting more and better trade data to detect risks related to IFFs, increase transparency in extractive industries and tax collection.
  • Regional knowledge networks to enhance national capacities to tackle proceeds of money laundering and recover stolen assets, including within the context of the African Continental Free Trade Area (AfCFTA), are crucial in the fight against corruption and crime-related IFFs
  • Tax evasion is at the core of the world's shadow financial system. Commercial IFFs are often linked to tax avoidance or evasion strategies, designed to shift profits to lower-tax jurisdictions.
  • Nigeria’s President Muhammadu Buhari said: “Illicit financial flows are multidimensional and transnational in character. Like the concept of migration, they have countries of origin and destination, and there are several transit locations. The whole process of mitigating illicit financial flows, therefore, cuts across several jurisdictions.”
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