By Roman Grynberg, Jacob Nyambe & Fwasa Singogo

The article reviews recent research and controversies surrounding the quantification of illicit financial flows (IFF) in the gold mining sector in Africa. It is argued that the methodology and data used in the quantification of the most frequently analysed technique, i.e., export undervaluation, is flawed not only because of the recognized weakness of the international trade data, but also because it focuses only on one aspect of IFF, and does not attempt to address issues pertaining to actual under measurement or misspecification of volumes. It is argued that estimates of tax evasion activities can only be determined through forensic economic and accounting techniques, and not through macro-economic or trade data. The last section considers the increased evidence of gold smuggling to the UAE from various African countries, some of which produce no gold of any significance, but appear to export in very large volumes; and at unit import values well below world market prices.

Tanzanian Economic Review, Vol. 9 No. 1, 2019: 35–59

By Prem Mahadevan

India’s socio-economic realities have evolved significantly over the past four decades, particularly as far as attitudes to wealth accumulation are concerned. Gold is today no longer negatively associated with crooked businessmen, but rather positively with the consumerist aspirations of middle-class India. It is used to project enhanced family status at events such as the ‘great Indian wedding’, and is perceived as a high-return investment and a hedge against inflation. Demand for gold has consistently risen 14% annually since 2001, with prices altogether increasing eight-fold. The Indian love affair with gold continues even as the economy strains under the weight of gold imports that degrade the fiscal balance. Gold is metaphorically to many Indians what opium was to the Chinese in the 19th century: an addictive escape from institutional decay and social stagnation. But hoarding gold pits the individual and their family against the government and its need to keep liquidity flowing in order to grow the economy.

Geneva: Global Initiative Against Transnational Organized Crime. 2020. 49p.

By Prem Mahadevan

India has seen a tripling of demand for sand from 2000 to 2017, creating a market worth 150 billion rupees, or just over two billion US dollars. The country has the third-largest construction industry in the world, following those of China and the United States, accounting for 9 per cent of its two-trillion-dollar economy and employing more than 35 million people. Given the dizzying rate of India’s construction boom, guesstimates indicate a massive shortage of licitly mined sand.

This paper looks at patterns of sand mining in India and the impact that it may have on governance, security, the environment and the growth of entrenched criminal networks. The conclusions suggest that civil administration is retreating before a mafia-like nexus of political, business and bureaucratic interests, which connive to flout judicial orders. The secondary and tertiary effects of such activity bode ill for societal stability, even though a certain amount of (tenuous and often exploitative) employment is generated by illicit sand mining. The paper also highlights a policy conundrum: can India, which, paradoxically, combines widespread economic backwardness with sky-high consumer aspirations, find a model of environmentally sustainable development? Or is it doomed to exacerbate the harshness of already abysmal living standards experienced by its rural population (who make up two-thirds of its population) to satisfy the needs of its urban middle class?

Geneva: Global Initiative Against Transnational Organized Crime 2019. 27p.

By Eric Scheye

Using country specific formulae in three categories – water and electrical utilities, tax administration and land management – this paper presents an empirical methodology to measure state actors' political will to reduce organised crime.

A lack of political will is often used as an excuse by policymakers, donors and development practitioners to explain failures in policies and programmes. While this is true for most development programming, it is particularly salient with regard to anti-corruption, the rule of law, and efforts to combat organised crime. Indeed, political will is vital if governments are to reduce the deleterious activities of organised crime; without it, crime proliferates. Using country specific formulae in three categories, water and electrical utilities, tax administration and land management, this paper presents an empirical methodology to measure the political will possessed by state actors to reduce organised crime.

ENACT-Africa, 2020. 20p.

By Edward Wanyonyi and Lucia Bird

As the development of communications infrastructure accelerates, good governance and security are often sacrificed in the interest of a speedy rollout.

While Africa’s growing communications infrastructure and increasing internet penetration offer significant developmental benefits, they offer parallel opportunities to organised crime, which exploit the continent’s enhanced connectivity. These opportunities are set to grow with nascent research already indicating that the continent is an increasingly important source of both cyber-dependent and cyber-enabled crime. It is a crucial and already tardy moment to take stock of how these vulnerabilities manifest, and how they can best be addressed. If they remain ignored and unmitigated, organised crime will increasingly undermine progress and development, compromising the achievement of the very goals that enhanced infrastructure seeks to achieve.

ENACT-Africa, 2021. 20p.

By Mark Shaw

Foreign criminals are a significant presence in Africa. Four typologies of foreign criminal actors are identified, allowing an exploration into why some actors develop more successful criminal enterprises than others. Success appears to be the result of a slow embedment in the local criminal economy, avoiding displays of wealth and the targeted corruption of officials. It also depends on the expansion of ethnic networks where high levels of trust or coercion of members prevent law enforcement penetration. Eroding these successful criminal operations requires an ability to disrupt recruitment into the networks and ultimately their more effective integration into legitimate economic activities.

ENACT-Africa, 2028. 24p.

By Olwethu Majola and Darren Brookbanks

This paper uses data and analysis to assess the UNTOC's effectiveness in addressing transnational organised crime on the continent. The international community prescribed the United Nations Convention Against Transnational Organised Crime (UNTOC) as the treatment to slow the global spread of TOC. However, current diagnoses suggest that this has not been as effective as anticipated. This paper assesses the efficacy of the UNTOC and recommends some changes to the treatment that are likely to yield more successful results.

ENACT-Africa, 2023. 32p,

By Uglješa Ugi Zvekić, Sunčana Roksandić and Bojan Dobovšek,

This report uses the term ‘organized corruption’ to explain how corruption is embedded in the political economy of many countries in the region. Organized corruption is a ‘a symbiosis of organized crime, criminal methods and high-level corruption, which creates a crooked ecosystem that enriches and protects those with access to power’. Organized corruption is not only about systemic illicit financial gains and undue influence in decision-making, but also the systemic buying and influencing of social support to gain or maintain political and economic power.

Organized corruption is particularly evident in the political context of transitions towards democracy, when key parts of the economy are in the public domain, as is the case in the Western Balkans. In this context, control of politics and control of the economy are interlinked. Being in power means controlling the strings of the public purse. Political parties utilize political power to acquire economic influence through the control of public finances and public officials. Political victory enables the use of state funds and enterprises for patronage and to gain financial, political and social benefits. In such an environment, elections are often a winner-take-all contest, not only for the political parties but also for those who benefit from patronage. It therefore follows that those who profit from power have an interest in financing political parties and elections.

Geneva, SWIT: Global Initiative Against Transnational Organized Crime (GI-TOC), 2023. 72p.

By Francisco Cuamea

Until 2012, when the United States gradually began the regulation and decriminalization of marijuana, Mexican cartels had secured a decades-long monopoly on the US cannabis market. As they became displaced from that market, the cartels scaled up their production of synthetic drugs, such as crystal methamphetamine, which is produced in clandestine laboratories that are generally set up in remote locations in the mountains, rural areas or small towns. The rich biodiversity that surrounds these sites is affected by the chemical waste resulting from crystal meth production that is dumped near these labs. In addition to the crystal meth market, Mexican organized crime groups also entered the black market in endangered marine species and industries built on other high-value species. Organized crime groups have begun to leave a significant environmental and social footprint, accelerating the disappearance of certain marine species and the disintegration of fishing communities.

• More....

  One of the affected regions is the Sea of Cortez, also known as the Gulf of California, made up of the Mexican states of Baja California, Baja California Sur, Nayarit, Sinaloa and Sonora, which together contribute 11% of the country’s gross domestic product and are united by the immense gulf of north-western Mexico, declared a world heritage site by UNESCO. According to UNESCO, the Sea of Cortez comprises 244 islands, islets and coastal areas. It contains 695 vascular plant species and 891 types of fish, of which 90 are endemic. The number of plant species is much higher than those recorded at any other island or marine site on the World Heritage List. The region is home to 39% of the world’s total number of marine mammal species and 33% of the global number of cetacean species. The region also contains a wealth of endangered land flora and fauna as well as examples of intangible cultural heritage, many of which come from the indigenous peoples of north-western Mexico, such as the Yaqui, the Cora and the Cucapá.6 This brief explores the threat that illicit economic activities pose to biodiversity and ecosystems in the Sea of Cortez region, as well as to some of the area’s most vulnerable communities, those that depend on the fishing industry.

Geneva, SWIT: Global Initiative Against Transnational Organized Crime (GI-TOC), 2023. 17p.

By Anastasia Austin and Douwe den Held

The Dominican Republic prides itself on its openness to the world. As one of the first countries to open up during the COVID-19 pandemic, it seeks to be ever welcoming to tourism and business. But criminals may feel welcome as well. In this three-part series, InSight Crime dives into the infrastructure, the trafficking networks, and the corruption facilitating organized crime in the Dominican Republic.

Washington, Insight Crime, 2022. 26p.

By Venezuela Investigative Unit

In 2013, Nicolás Maduro became president of Venezuela following the death of his charismatic predecessor Hugo Chávez. Since then, the country’s cocaine trade has undergone revolutionary changes. Today, Venezuela is at risk of becoming the world’s fourth cocaine-producing country. And the Maduro regime has positioned itself as the gatekeeper to the country’s drug trade, controlling access to cocaine’s riches not only for drug traffickers but also for corrupt politicians and the military-embedded trafficking network known as the “Cartel of the Suns.” The product of more than three years of investigations, hundreds of interviews and field work in all of Venezuela’s key drug trafficking territories, this InSight Crime investigation looks at one of the world’s most important cocaine trafficking hubs – and the authoritarian regime that keeps the drugs flowing.

Washington, DC: Insight Crime, 2022. 53p.

By Eleanor Beevor 

In May 2022, two Nigerian citizens were arrested in Niamey, Niger, while trying to drive back to Nigeria in a stolen Toyota Corolla. The Corolla had a Nigerian licence plate, but police discovered that the car had recently been stolen from a Nigerien police officer. Fake military identification cards, and another Nigerian licence plate, were found in the car. The men were posing as Nigerian military officers. One had in fact been a former officer but was discharged in 2017 for desertion, and the other worked for Nigeria’s correctional service. After an investigation, it transpired that the men had left Nigeria three days before the arrest, and they had driven to Niamey in a stolen Toyota Hilux. The car, stolen in Nigeria, was resold in Niamey with the assistance of a Nigerien accomplice who was later arrested. It appears that this accomplice was also involved in the theft and resale of motorbikes, and possibly of other illicit commodities such as weapons. He was found with three AK-47 rifles and 151 cartridges, along with a stolen motorbike, other motorbike parts and three wristwatches. This example showcases many of the dynamics of car theft in the central Sahel region….

Geneva, SWIT::Global Initiative Against Transnational Organized Crime , 2023.  38p.

 By Anastasia Austin and Douwe den Held 

The Dominican Republic prides itself on its openness to the world. As one of the first countries to open up during the COVID-19 pandemic, it seeks to be ever welcoming to tourism and business. But criminals may feel welcome as well. In this three-part series, InSight Crime dives into the infrastructure, the trafficking networks, and the corruption facilitating organized crime in the Dominican Republic.

Washington, DC, Insight Crime, 2022. 26p

United States. Executive Office Of The President; United States. Office Of National Drug Control Policy

From the document: "On April 12, 2023, Dr. Rahul Gupta, Director of the Office of National Drug Control Policy (ONDCP), formally designated fentanyl adulterated or associated with xylazine as an emerging drug threat, pursuant to 21 U.S.C. [United States Code] § 1708. [...] The emerging threat designation, made under the authority provided by 'The Substance Use-Disorder Prevention that Promotes Opioid Recovery and Treatment (SUPPORT) for Patients and Communities Act of 2018' (P.L. [Public Law] 115-271), requires the Executive Branch to take several steps: First, ONDCP, in collaboration with relevant federal agencies, must draft and publicly issue a fentanyl adulterated or associated with xylazine Response Plan (within 90 days of designation). Second, ONDCP must issue Implementation Guidance to agencies (120 days after designation). Third, agencies must provide a specific Agency Implementation Report to ONDCP (180 days after designation). Fourth, ONDCP must publish a National Implementation Report on the Response Plan (in February 2024, with other ONDCP annual reports). The response plan presented here fulfills the first of these requirements and addresses urgent public health and safety needs. The SUPPORT Act also requires that the ONDCP Director decide whether a stand-alone national media campaign would be effective in addressing the emerging threat. In the case of xylazine-adulterated fentanyl, Director Gupta has determined that it will be productive to include such public messaging on fentanyl adulterants in existing campaigns and other federal messaging on fentanyl, in lieu of establishing a new stand-alone campaign focused solely on xylazine. The SUPPORT Act requires that an emerging threat response plan include evidence-based prevention, treatment, and supply reduction action steps, in addition to establishing goals and performance measures informed by comprehensive data. In the plan outlined below, we apply those requirements to the case of fentanyl adulterated or associated with xylazine and describe critically important and urgent next action steps."

United States. Executive Office of the President. United States. Office of National Drug Control Policy 2023. 15p.

By Camilla Fabbri https://orcid.org/0000-0002-4692-9646 camilla.fabbri@lshtm.ac.uk, Heidi Stöckl, […], and Cathy Zimmerman

Over the past decade, third-party labor recruiters who facilitate employment for migrant workers across low- and middle-income countries have often been considered by the counter-trafficking community as one of the main entry points into human trafficking. In response, anti-trafficking prevention programs have increasingly focused on addressing exploitative recruitment in migrants’ origin countries. Such programs may advocate for increased regulation of migration, greater enforcement actions against unlicensed recruiters, stricter ethical codes of conduct for recruiters and employers, and more pre-departure information about recruitment for migrants. Yet, there remains limited research about the relationship between prospective migrants, recruiters, and human trafficking, and the relative importance of third-party recruitment in the trafficking process. This Research Note draws on the world's largest database of individual victims of trafficking cases, the International Organization for Migration's (IOM) Global Victim of Trafficking Database (VoTD), to examine the role and characteristics of recruitment of trafficked victims. The VoTD contains information on nearly 50,000 trafficking victims who were registered for assistance from 2002 to June 2018. Our analysis shows that 94 percent of trafficked victims were recruited, in a broad sense (i.e., not only by third-party intermediaries). Additionally, the data presented here suggest that the relationship between recruitment and trafficking is complex and that forced labor is embedded within the wider structural issues around low-wage labor migration that lead to exploitative work conditions. Interventions to address human trafficking will benefit from strategies that target systemic issues constraining or harming low-wage labor. Further, these findings highlight the value of large-scale administrative datasets in migration research

  International Migration Review 2023, Vol. 57(2) 629-651  

Steven Dudley – Victoria Dittmar – Sara García, Jaime López-Aranda, Annie Pforzheimer, and Ben Westhoff

Precursor chemicals pose an unprecedented challenge for governments and multilateral organizations seeking to mitigate the development, manufacturing, production, and distribution of illicit synthetic drugs. As opposed to most legacy drugs -- which rely on plants, harvests, favorable weather, significant and varied manual labor, and transport of bulk amounts of illicit substances across heavily-policed terrain -- synthetic drugs can be produced in laboratories all year-round using a wide variety of mostly sparsely or unevenly regulated chemicals, which can be employed at different stages of the process in rudimentary laboratories and transported in large or small amounts, often without the knowledge of the transporters themselves. The sources for these chemicals span the globe. They are currently concentrated in China, where a relatively small number of companies appear to be producing precursor chemicals, in mainly two provinces. These chemicals are marketed and sold on the internet, where an army of online providers offer well-regulated and unregulated chemicals via the Clearnet and the dark web. These marketers are sometimes extensions of these same production companies and sometimes independent. Some are also clans, which appear to own numerous production and marketing companies. The precursors are transported to Mexico via cargo ships or air cargo, traveling direct or via circuitous routes. Cargo is often mislabeled, camouflaging the contents, purpose, or amount of their shipment. In Mexico, brokers and independent buyers facilitate this trade, filing paperwork, creating fictitious companies, or bribing officials.

• More...

  The chemicals then make their way to small producers. Often referred to as “cooks,” these producers synthesize the precursors into illicit synthetic drugs that are then sold to large buyers and transport specialists. Two large criminal networks buy and move synthetic drugs in bulk: the Sinaloa Cartel and Jalisco Cartel New Generation (Cartel de Jalisco Nueva Generación – CJNG). These networks are responsible for bringing this product across the most difficult part of its journey and thus charge a premium for their services. After they sell the drugs wholesale, they are largely absent, leaving the distribution and retail sales to other local criminal networks. The precursor industry -- and the synthetic drug industry writ large -- is so challenging to disrupt precisely because it works across legal and illegal spheres, involves many layers and different criminal networks, and has many means to obtain its final objective: the sale of synthetic drugs to an increasing number of consumers. …

Washington, DC: InSight Crime, 2023. 147p.

By Inés Fynn

“If you see something you have to be blind, deaf, and dumb, that’s how it works here”  “If you keep silent, you don’t mess with them, and they won’t mess with you”  “Everyone here knows what to talk about and what not to talk about”  The above statements exemplify the coping strategies of people living in communities affected by drug gangs. Despite differences in the gangs’ modus operandi, silence is a common factor in how communities respond. The current understanding of criminal territorial control overlooks the role of communities and their silence in shaping how criminal organizations operate. This research aims to explore how drug  gangs establish commitments of silence with communities, how these commitments vary, and why some are more enduring than others. Organized criminal groups often establish localized systems of private order that challenge the territorial reach of the state (O’Donnell, 1993). Comparative politics research has recently focused on criminal governance schemes to analyze the logic of territorial control of drug-trafficking organizations. Criminal governance refers to local orders led by criminal organizations that impose formal or informal rules and restrict the behavior of criminal and non-criminal civilians (Lessing, 2020). However, despite community members dealing with drug gang operations daily, these studies fall short in incorporating the central role of communities in shaping drug gangs’ operations.

  Santiago de Chile, Chile .   Instituto de Ciencia Política Pontificia Universidad Católica de Chile , 2023. 178p.

By Pia Johansson Heinsvig, Ask Vest Christiansen, Daniel Ayoubi, Laura Smedegaard Heisel, Christian Lindhols

This study examines doping products seized by the police in three regional police districts in Denmark from December 2019 to December 2020. The products, often referred to as performance and image-enhancing drugs (PIEDs), are described in relation to the country of origin, manufacturing company, and the active pharmaceutical ingredient (API) stated on the packaging versus the one identified by subsequent chemical analysis. The study also includes a description of the degree of professionalism by which the products appear according to EU requirements. A total of 764 products were seized during the study period. The products originate from 37 countries, mainly located in Asia (37%), Europe (23%), and North America (13%). One hundred ninety-three different manufacturing companies could be identified from the product packaging. The most frequent compound class was the androgenic anabolic steroids, found in 60% of the products. In 25%–34% of the products, either no or an incorrect API relative to the one stated on the product was found. However, only 7%–10% contain either no API or a compound from a different compound class than the one stated. Most products had a professional appearance fulfilling most EU requirements for packaging information. The study shows that many different companies supply PIEDs to the Danish market and that counterfeit and substandard products are widespread. Many products do, however, appear professional to the user giving an impression of a high-quality product. Although many products are substandard, they most often contain an API from the same compound class as the one labeled.

Drug Testing and Analysis Volume 15, Issue 6Jun 2023, Pages 595-705

By The United Nations Office on Drugs and Crime (UNODC)

The World Drug Report 2023 comes as countries are struggling at the halfway point to revive stalled progress towards achieving the Sustainable Development Goals (SDGs). Crises and conflict continue to inflict untold suffering and deprivation, with the number of people forcibly displaced globally hitting a new record high of 110 million. Peace, justice and human rights, which should be the birthright of all, remain out of reach for far too many. The harms caused by drug trafficking and illicit drug economies are contributing to and compounding many of these threats, from instability and violence to environmental devastation. Illicit drug markets continue to expand in terms of harm as well as scope, from the growing cocaine supply and drug sales on social media platforms to the relentless spread of synthetic drugs – cheap and easy to manufacture anywhere in the world, and in the case of fentanyl, deadly in the smallest of doses. Drug use disorders are harming health, including mental health, safety and well-being. Stigma and discrimination make it less likely that people who use drugs will get the help they need. Fewer than 20 per cent of people with drug use disorders are in treatment, and access is highly unequal. Women account for almost half the people who use amphetamine-type stimulants, but only 27 per cent of those receiving treatment. Controlled drugs needed for palliative care and pain relief, namely pharmaceutical opioids, are denied to those who desperately need them, with too little access in many countries – mainly low- and middle-income countries, where some 86 per cent of the world’s population lives. Drug challenges pose difficult policy dilemmas that cannot be addressed by any one country or region alone. The United Nations Office on Drugs and Crime publishes the World Drug Report every year to provide a global perspective and overview of the world drug problem, offering impartial evidence with the aim of supporting dialogue and shared responses. This edition of the World Drug Report highlights the growing complexity of evolving drug threats. A special chapter explores how illicit drug economies intersect with crimes that affect the environment and insecurity in the Amazon Basin, with impoverished rural populations and Indigenous groups paying the price. Other sections of the report explore urgent challenges, including drug use in humanitarian settings, drugs in conflict situations and the changing dynamics of synthetic drug markets. The report also delves into new clinical trials involving psychedelics, medical use of cannabis and innovations in drug treatment and other services.   

New York: United Nations, 2023. 70p.

By United Nations Office on Drugs and Crime (UNODC)

The booklet opens with a look at the challenges posed to law enforcement by synthetic drugs, both in terms of their increasing potency, adaptability and ease of manufacture and their shorter supply chains, reduced risk and lower production costs compared with drugs of natural origin. Other law enforcement challenges are considered in the context of the increasing use of social media for buying and selling drugs online.
Booklet 2 also examines approaches to regulating the medical cannabis market in different countries and assesses recent developments surrounding the therapeutic, spiritual and non-medical use of substances known as “psychedelics”. The remainder of the booklet focuses on issues related to drugs in specific contexts, including the Amazon Basin, where the convergence of drug crime and crimes that affect the environment poses a threat to natural and human ecosystems. The risk factors for and vulnerability to substance use disorders among forcibly displaced populations are also discussed in the booklet, and the interim outcomes of innovations and modifications of services for people who use drugs during the COVID-19 pandemic are summarized.

New York: United Nations,  2023. 205p.