Connect with us

Articles

OECD report highlights major weaknesses in global fight against illicit trade

Published

on

global fight against illicit trade

Governments around the world must act to improve global efforts to tackle illicit trade, according to a new report from the Organisation for Economic Co-operation and Development (OECD).

Published last week, the OECD’s Governance Frameworks to Counter Illicit Trade policy study highlights major weaknesses in the worldwide fight against illicit trade, including inconsistent and ineffective sanctions and penalties for smugglers and traffickers.

The report also criticises the insufficient monitoring of goods that pass through free trade zones, and a lack of screening of small parcels, which criminal networks are increasingly using to traffic prohibited and counterfeit goods worth many billions of dollars every year.

Outlining what it described as “a new phase in its efforts to help governments counter these enforcement gaps and better protect consumers and businesses”, the OECD study explains how the inconsistent implementation of policies and a lack of cross-border cooperation between governments is allowing organised criminal networks involved in the trafficking of illicit goods to avoid detection and punishment.

The report explains how the rise of ecommerce and the growth of postal and courier services that deliver goods ordered online has led to more illicit items being smuggled in small packages, which are harder for law enforcement agencies to detect than larger shipments.

It also notes how free trade zones, such as the EU’s Single Market, can act as safe havens for criminal networks looking to traffic illicit goods.

The report concludes that world governments can do more to fight the growth of illicit trade by working together to develop common solutions and by promoting effective governance frameworks.

“Globalisation and free trade are strong drivers of economic growth. They have also opened up new opportunities for illicit trade activities,” the report said.

“So far, the governments’ response to the risk of illicit trade has been largely uncoordinated and left many enforcement gaps that are easily exploited by criminal networks.”

Commenting on the release of the report, OECD Director of Public Governance Marcos Bonturi said: “Trade in fake and prohibited products can be dangerous for consumers and costly for companies and governments. This affects industries in all OECD countries and increasingly from emerging markets as well.

“Tackling policy gaps can start to increase the risks and lower the rewards of illicit trade for criminals.”

In a statement welcoming the report, anti-illicit trade group Tracit Director General Jeffrey Hardy said: “We fully support OECD’s efforts to upgrade institutional capacities and national government leadership to counter illicit trade.

“What is needed is a joined-up approach that leverages enforcement and governance measures and multiples the effectiveness of available resources across sectors and across borders. Tracit stands ready to support the OECD in its important work moving forward.”

 

Continue Reading

Articles

Rampant poaching decimates South African sea snail populations

Published

on

poaching decimates South African sea snail populations

Poachers have stolen 96 million abalone sea snails from the coastal waters of South Africa over the past 18 years, leading to a huge collapse in numbers of a species that was once abundant in the region, according to a new report from illegal wildlife trade monitoring NGO Traffic.

The study found that 90% of seas snails smuggled out of South Africa make their way to Hong Kong, where the animal’s meat is considered a delicacy, as it is in many other Asian nations.

Traffic estimates that poachers in South Africa are typically responsible for the disappearance of 2,000 tonnes of abalone every year, more than 20 times the amount that is allowed to be farmed legally.

In total, the illicit market is thought to be worth some $60 million annually.

Traffic’s report, which has been released alongside a documentary that explores the illegal trade, warns that the rocketing illegal harvesting of the animal is resulting in a huge annual loss for the local economy, and is at least partly being controlled by organised crime networks.

According to the study, an average of at least one abalone seizure took place every day between 2000 and 2016.

“Continued illegal harvesting and associated trade will have devastating impacts on abalone stocks and far-reaching negative socio-economic consequences for coastal communities whose economies, to a greater or lesser extent, are dependent on the proceeds of abalone poaching and trade,” the study says.

Noting the trade’s link to organised criminal cartels, it said: “Seizures of abalone often involved seizures of other contraband, commonly cash, cars or drugs.

“A number of seizures have included other high-value wildlife products, suggesting that the syndicates involved are not only focusing on the trade in poached abalone.”

Concluding its report, Traffic makes a number of recommendations, including the establishment of traceability systems, regional collaboration with neighbouring countries to prevent the smuggling of abalone, and the setting up of state-driven socio-economic initiatives to stem poaching of the animal.

Abalone can fetch more than $550 a plate in parts of Asia, driving many poor South Africans to take up poaching, risking their lives by diving in search of the in-demand mollusc.

The decline in local populations of sea snails has also been hit by the presence of Asian organised crime groups, who have moved into the area to take advantage of increasing demand for the animal in their home countries.

Continue Reading

Articles

No-deal Brexit could hit UK’s ability to tackle organised crime and terrorism, police warn

Published

on

no-deal Brexit

The UK’s ability to tackle terrorism sand serious organised crime will be severely hampered by a hard Brexit, British police chiefs have warned.

Pulling out of the EU without a deal could see UK law enforcement agencies and security services lose access to vital crime-fighting tools such as the European Arrest Warrant, the Schengen Information System, the bloc’s intelligence systems and data held by Europol.

Announcing a new £2 million ($2.6 million) unit that will explore how alternative systems could be used if no deal is struck between the EU and Britain before the end of next March, Chair of the National Police Chiefs’ Council (NPCC) Sara Thornton said: “The fallbacks we’re going to have to use will be slower, will be more bureaucratic and it will make it harder for us to protect UK citizens and make it harder to protect EU citizens.”

“We are determined to do everything we can to mitigate that, but it will be hard.”

Using the recent Salisbury Novichok attack as an example of how a no-deal Brexit could impact UK police operations, Thornton noted how much more difficult it would be for Britain to detain the two men suspected of carrying it out should they enter the EU without a European Arrest Warrant in place.

The new unit will examine the effectiveness of non-EU crime fighting institutions and mechanisms, such as Interpol, bilateral channels and Council of Europe conventions.

In a statement on the contingency plans, the National Crime Agency (NCA) said the withdrawal of resources such as the European Criminal Records Information System and the European Multidisciplinary Platform Against Crime Threats would seriously impact Britain’s ability “to track criminals’ movements, monitor sex offenders and locate fugitives”.

“European law enforcement is more effective when we take coordinated action against shared priorities,” said Steve Rodhouse, NCA Director General of Operations.

“A lack of access to these European tools would mean a reduction in the ability of the UK to contribute to keeping Europe safe.”

In May, the Times of London reported that France had attempted to block British attempts to remain part of EU security systems after Brexit, quoting one UK government official as saying: “Normally France is quite helpful when it comes to security co-operation but on this they are being awkward.”

Continue Reading

Articles

Indian officials rule out gold import fee hike over smuggling fears

Published

on

Indian officials rule out gold import fee hike

The Indian Government has said it is considering taking action to slow the importation of gold into the country, but wants to avoid an increase in importation duties due to fears over smuggling.

A source told India’s PTI news agency that officials are instead considering alternative policy interventions to curb imports, which are having an adverse effect on the value of the rupee.

“There is not much scope for hike in import duty on gold,” the source said.

“Rather, it would be some kind of policy measures to reduce gold import. Higher import duty on gold may increase smuggling activities.”

While failing to specify the measures the Government is considering, the source said raising import duty on gold so close to the festive season would likely result in an increase in smuggling attempts.

Indian officials are due this week to announce a new list of items that will be subject to importation limits as part of wider efforts to cut the country’s growing current account deficit, and stem the fall of the rupee.

A comprehensive list of non-essential items are being considered, including steel, finished steel, furniture, electronics and a number of food items.

The smuggling of gold into India has rocketed over recent years after the Government hiked import duties to 10% in 2013 as part of an earlier effort to cut the country’s current account deficit.

According to the World Gold Council, traffickers smuggled some 120 tons of gold into India last year, with nearly the same amount expected in 2018.

In October last year, customs officers arrested 11 gold mules from Sri Lanka at Madurai Airport who were attempting to smuggle precious metal into the country concealed with their rectums.

Earlier this year, a cabin crew worker from Singapore Airlines was detained at New Delhi’s Indira Gandhi International Airport on suspicion of attempting to smuggle gold into the country.

After searching the flight steward, customs officers discovered gold weighing 1.05kg worth an estimated 3.1 million rupees ($50,000), according to the airport’s Joint Commissioner of Customs Anubha Singh.

Commenting at the time, a Singapore Airlines spokesperson confirmed that a member of its cabin crew staff had been detained by Delhi customs authorities, adding: “Singapore Airlines will provide full co-operation to the investigating authorities. We are unable to provide details of the crew member concerned due to confidentiality reasons.”

Continue Reading

Newsletter

Sign up for our mailing list to receive updates and information on events

Social Widget

Latest articles

Press review

Follow us on Twitter

Trending

Shares