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Viewing cable 07BRASILIA2091, DRAFT 2007 INTERNATIONAL NARCOTICS CONTROL STRATEGY REPORT
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Reference ID | Created | Released | Classification | Origin |
---|---|---|---|---|
07BRASILIA2091 | 2007-11-06 09:25 | 2011-07-11 00:00 | UNCLASSIFIED | Embassy Brasilia |
VZCZCXRO8838
PP RUEHRG
DE RUEHBR #2091/01 3100925
ZNR UUUUU ZZH
P 060925Z NOV 07
FM AMEMBASSY BRASILIA
TO RUEHC/SECSTATE WASHDC PRIORITY 0360
INFO RUEHRG/AMCONSUL RECIFE 7331
RUEHRI/AMCONSUL RIO DE JANEIRO 5384
RUEHSO/AMCONSUL SAO PAULO 1122
UNCLAS SECTION 01 OF 05 BRASILIA 002091
SIPDIS
SIPDIS
FOR INL, WHA/BSC
E.O. 12958: N/A
TAGS: SNAR EAID KCRM PREL BR
SUBJECT: DRAFT 2007 INTERNATIONAL NARCOTICS CONTROL STRATEGY REPORT
(INCSR) FOR BRAZIL
REF: A) SECSTATE 136787 B) SECSTATE 137250
¶1. Following is a draft of Part I of the Brazil chapter of the 2007
INCSR. As requested in reftel B, the money laundering portion of
the INCSR will be submitted separately.
BRAZIL
----------
¶I. SUMMARY
----------
¶2. Brazil is a major transit country for illicit drugs shipped to
Europe and, to a somewhat lesser extent, the United States. Brazil
has improved cooperation with its neighbors in an attempt to control
its remote and expansive border areas where illicit drugs are
transported, particularly in the tri-border area with Paraguay and
Argentina.
¶3. In 2007 the Government of Brazil (GOB) made important advances
in its drug prevention and law enforcement programs, including
numerous seizures of illicit narcotics and weapons, and the arrest
of important narcotics traffickers. In one notable example,
U.S.-Brazilian cooperation helped bring about the capture of Juan
Carlos Ramirez-Abadia, a notorious Colombian drug cartel leader. In
2007, the Government of Brazil (GOB) broke up Mexican and Colombian
groups involved in sending heroin to the United States, and is now
targeting groups that sell prescription drugs illegally via the
Internet. The Brazilian Federal Police (BFP) is placing a higher
priority on interdiction capabilities at sea ports, major airports
and along the Bolivian border, where seizures of low purity cocaine,
almost exclusively destined for the domestic Brazilian market,
increased. Brazil is a signatory of various counter-narcotics
agreements and treaties, the 1995 bilateral U.S.-Brazil
counter-narcotics agreement, and the annual Letter of Agreement
(LOA) with the United States. Brazil is a party to the 1988 UN Drug
Convention.
---------------------
II. STATUS OF COUNTRY
---------------------
¶4. Brazil is a significant transit country for cocaine base and
cocaine moving from source countries to Europe, the Middle East and
Brazilian urban centers, as well as for smaller amounts of heroin.
Marijuana and lower-quality cocaine are used among youths in the
country's cities, particularly Sao Paulo and Rio de Janeiro, where
powerful and heavily armed organized drug gangs are involved in
narcotics-related arms trafficking.
------------------------------------------
III. COUNTRY ACTIONS AGAINST DRUGS IN 2007
------------------------------------------
POLICY INITIATIVES
¶5. The GOB continues to implement its National Anti-drug Policy,
which was updated in late 2005. The GOB anti-money laundering
legislation drafted in 2005 still has not been presented to
Congress. If passed it would facilitate greater law enforcement
access to financial and banking records during investigations,
criminalize illicit enrichment, allow administrative freezing of
assets, and facilitate prosecutions of money laundering cases by
amending the legal definition of money laundering and making it an
autonomous offense. Brazil has established systems for identifying,
tracing, freezing, seizing, and forfeiting narcotics-related assets.
The Brazilian Government's interagency Financial Crimes
Investigations Unit (COAF) and the Ministry of Justice manage these
systems jointly. Police authorities and the customs and revenue
services have adequate police powers and resources to trace and
seize assets. The GOB is in the process of creating a computerized
registry of all seized assets to improve tracking and disbursal.
The judicial system has the authority to forfeit seized assets, and
Brazilian law permits the sharing of forfeited assets with other
countries.
¶6. Narcotics terrorists exploit Brazil's heavily transited border
crossings and its expansive border areas where Brazilian law
enforcement only has a minimal presence. To combat trans-border
trafficking organizations more effectively, Brazil cooperates
closely with its neighbors through joint intelligence centers (JIC)
in strategic border towns. The newest JIC is located near the
common border of Brazil, Bolivia, and Peru, in the Brazilian town of
Epitaciolandia. The JIC operates out of the Federal Police offices
and is staffed by the Brazilian DPF and a Bolivian law enforcement
representative. Another JIC -- newly built and located in the
Tri-Border Area of Brazil, Paraguay, and Argentina -- will commence
operations following the finalization of staffing issues by the
BRASILIA 00002091 002 OF 005
three countries. Brazil signed a memorandum of understanding in
March 2007 to expand the Officer Exchange Program, which now
includes Argentina, Bolivia, Chile, Peru, and Paraguay. This
cooperative exchange allows police officers in these countries share
real-time intelligence and improve their professional working
relationships.
ACCOMPLISHMENTS
¶7. In 2007 the GOB made important advances in its drug prevention
and law enforcement programs, including numerous seizures of illicit
narcotics and weapons, and the arrest of important drug traffickers.
In one notable example, U.S.-Brazilian cooperation helped bring
about the capture of Juan Carlos Ramirez-Abadia, a notorious
Colombian drug cartel leader. The BFP also continued to play a
major role in "Operation Seis Fronteras" (Six Borders) to disrupt
the illegal flow of precursor chemicals in the region. The GOB also
supported "Operation Alliance" with Brazilian and Paraguayan
counter-drug interdiction forces in the Paraguayan-Brazilian border
area, and "Operation San Francisco", which successfully targeted a
Colombian drug trafficking operation tied to the Revolutionary Armed
Forces of Colombia (FARC).
LAW ENFORCEMENT EFFORTS
¶8. In September 2007, the Brazilian Federal Police received new
leadership, which made several senior executive personnel changes
that appear to favor increased law enforcement cooperation with the
United States and other international partners in efforts to target
major drug trafficking operations in Brazil. In 2007, the Brazilian
Federal Police seized 13.1 metric tons (MT) of cocaine, 916 kg of
cocaine base, 488 kg of crack, 153.1 MT of marijuana, and 16 kg of
heroin. The Federal Police makes records relating to chemical
transactions available to USG law enforcement officials when
requested. Since only the Federal Police, and not local police
forces report seizures on a national basis, and since Federal Police
sources estimate they record perhaps 75 percent of seizures and
detentions, all seizure statistics may be incomplete. The Federal
Police also indicted 4,069 people on drug-related charges. Brazil
is a growing consumer market for amphetamines and ecstasy, the
so-called synthetic drugs. In February 2007, after a six-month
investigation, Brazilian State Police dismantled an Ecstasy lab --
believed to be the first in Brazil -- in the State of Goias, and
seized approximately 30,000 tablets estimated to be worth
US$450,000. Many assets, particularly motor vehicles, are seized
during narcotics raids and put into immediate use by the Federal
Police under a March 1999 Executive Decree. Other assets are
auctioned and proceeds distributed, based on court decisions.
Federal Police records show that the GOB seized one airplane, 11,923
motor vehicles, 237 motorcycles, 8 boats, 379 firearms, and 1,865
cell phones in 2007.
¶9. In conjunction with Operation Topaz the DPF agreed to work with
the USG to perform a study on the use within Brazil and the
exportation of Acetic Anhydride from Brazil.
CORRUPTION
¶10. As a matter of government policy, neither the GOB nor any of
its senior officials condone, encourage, or facilitate production,
shipment, or distribution of illicit drugs or laundering of drug
money, although corruption remains a problem. The Federal Police
have carried out a number of high profile investigations of public
officials and State Police involved in money laundering and/or
narcotics trafficking. The fight against corruption remains a high
priority for Brazilian law enforcement. In September 2007, the
BFP arrested 52 Military Police Officers from a single battalion in
Rio de Janeiro after a seven-month long investigation ("Operation
Two Faces") into their involvement in a police corruption ring
whereby they were on the payroll of drug traffickers.
AGREEMENTS AND TREATIES
¶11. Brazil became a party to the 1988 UN Drug Convention in 1991.
Bilateral agreements based on the 1988 convention form the basis for
counter-narcotics cooperation between the United States and Brazil.
The United States and Brazil are parties to a bilateral mutual legal
assistance treaty that entered into force in 2001, which is actively
used in a wide array of cases. In 2002, the U.S. Customs and Border
Protection signed a Customs Mutual Assistance Agreement with the
government of Brazil, which provides a basis for the exchange of
information to prevent, investigate and redress any offense against
the customs laws of the United States or Brazil. Brazil also has a
number of narcotics control agreements with its South American
neighbors, several European countries, and South Africa. These
agreements have given rise to further cooperation, such as
"Operation Six Borders (Seis Fronteras)", which also strengthen
relations among the various law enforcement agencies. Brazil
BRASILIA 00002091 003 OF 005
cooperates bilaterally with other countries and participates in the
UN Drug Control Program (UNDCP) and the Organization of American
States/Anti-drug Abuse Control Commission (OAS/CICAD).
EXTRADITION
¶12. The Brazilian constitution prohibits the extradition of
natural-born Brazilian citizens. It allows for the extradition of
naturalized Brazilian citizens for any crime committed prior to
naturalization. The constitution also allows for the extradition of
naturalized Brazilian citizens specifically for narcotics-related
crimes committed after naturalization, however no such extraditions
have occurred, because the Brazilian congress has not passed
implementing legislation. Brazil cooperates with other countries in
the extradition of non-Brazilian nationals accused of
narcotics-related crimes. Brazil and the U.S. are parties to a
bilateral extradition treaty and protocol thereto, both of which
entered into force in 1964.
ILLICIT CULTIVATION/PRODUCTION
¶13. Although some cannabis is grown in the interior of the
northeast region, primarily for domestic consumption, there is no
evidence of significant cultivation or production of illicit drugs
in Brazil. Other drugs for domestic consumption or transshipment
originate mainly in Colombia, Peru, Paraguay, or Bolivia.
DRUG FLOW/TRANSIT
¶14. Cocaine arriving from Bolivia and marijuana from Paraguay are
mainly destined for domestic consumption within Brazil. Higher
quality cocaine from Colombia for export to Europe, the Middle East,
and Africa enters by boat and is placed in ships departing from
Brazil's northeastern ports. Organized groups based in Sao Paulo
and Rio de Janeiro arrange for the transport of the contraband --
increasingly smuggled by international couriers (mules) aboard
trans-Atlantic flights -- through contacts in the border areas. The
drugs are purchased from criminal organizations that operate outside
of Brazil's borders. Traffickers have reduced the number of long
flights over Brazilian territory due to Brazil's introduction of a
lethal-force air interdiction program in 2004. However, traffickers
still make the short flight over Brazil en route to Venezuela and
Suriname. Proceeds from the sale of narcotics are used to purchase
weapons and to strengthen the groups' control over the slums
(favelas) of Rio and Sao Paulo. Domestic networks that operate in
the major urban areas of the country carry out the distribution of
drugs in Brazilian cities.
DEMAND REDUCTION
¶15. The National Anti-Drug Secretariat (SENAD) is charged with
oversight of demand reduction and treatment programs. Some of the
larger USG-supported programs include a nationwide toll-free number
for drug-abuse counseling, a nationwide DARE program (Brazil has the
largest DARE program outside of the United States), and a national
household survey of drug use among teens. In early 2007, SENAD
released the results of the 2005-2006 national household drug
consumption survey, partially funded by the USG, which indicated
that that since the last survey was done in 2001, marijuana
consumption had increased from 6.9% to 8.8% and cocaine consumption
had increased from 2.3% to 2.9%. SENAD also supports drug councils
that are located in each of the state capitals. These councils
coordinate treatment and demand reduction programs throughout their
respective states.
---------------------------
IV. U.S. POLICY INITIATIVES
---------------------------
POLICY INICIATIVES
¶16. U.S. counter-narcotics policy in Brazil focuses on identifying
and dismantling international narcotics trafficking organizations,
reducing money laundering, and increasing awareness of the dangers
of drug abuse and drug trafficking and related issues, such as
organized crime and arms trafficking. Assisting Brazil to develop a
strong legal structure for narcotics and money laundering control
and enhancing cooperation at the policy level are key goals.
Bilateral agreements provide for cooperation between U.S. agencies,
SENAD, and the Ministry of Justice.
BILATERAL COOPERATION
¶17. U.S.-Brazilian bilateral programs include support of
intelligence-driven operations such as the joint intelligence
centers located in Tabatinga and on the Bolivian border; and
training courses in airport interdiction and container security.
Prevention and treatment assistance included support for D.A.R.E.
BRASILIA 00002091 004 OF 005
and the toll free drug counseling/information hotline, as well as
completing a national household survey of drug usage.
¶18. In 2007, various operations, such as the annual "Operation
Alianza" (Brazil, Paraguay) that involved marijuana
eradication/interdiction, and "Operation Seis Fronteras" were
supported with USG funds. During 2007, the USG provided training
throughout Brazil in combating money laundering, airport
interdiction, community policing, container security, counter-drug
SWAT operations, maritime law enforcement, and demand reduction
programs. Brazilian Law Enforcement attended training programs in
the United States, such as money laundering prevention seminars and
the Federal Bureau of Investigation academy. Seminars and courses
for State police representatives also assisted the Brazilian
authorities with security preparations for the 2007 Pan American
games. In 2007, the GOB and USG agreed to expand the Container
Security Initiative in Santos, Brazil to promote secure
containerized cargo to the United States.
THE ROAD AHEAD
¶19. Despite improved cooperation with its neighbors, Brazil's
expansive territory and borders make effective border control and
narcotics enforcement in the vast Amazonian region -- more than half
its national territory -- a serious challenge. While 2007 proved to
be a productive year for Brazilian Federal Police in their fight
against narcotics trafficking organizations, Brazil remains a major
drug transit country. In early 2007, the USG conducted a
comprehensive review of USG counter-drug and law-enforcement
assistance to Brazil, to ensure that the changing policy priorities
of both countries are being properly addressed. The GOB and USG
subsequently agreed to implement programs designed to control the
movement of drugs, illegal currency, and other narcotics-related
contraband through Brazil's sea ports and major airports. Moreover,
increased support for intelligence-driven bilateral and regional
operations, implementing a new strategy for combating money
laundering, as well as fostering a closer working relationship with
state and local officials in high crime areas should show positive
results over the next year.
----------------------
¶V. STATISTICAL TABLES
----------------------
¶20. Calendar year 2007 2006 2005
Coca
Eradication (mt) - - -
Cocaine seizures (mt) 13.1 11.5 15.8
Crack cocaine (mt) .49 .14 .13
Cannabis
Eradication* .37 .92 1.54
Marijuana seizures (mt) 153.1 135.0 146.6
* .37 million plants destroyed. Conversion to metric tons not
given.
Heroin (kg) 16 57
Arrests 4,069** 2,042 2,298
** The Federal Police indicted 4,069 people on drug-related charges;
arrest figures forthcoming.
Note: All figures shown are those provided by the Federal Police
and do not include the activities of state, local, and highway
police. No surveys were conducted; market for cannabis is
domestic.
------------------------------
VI. PRECURSOR CHEMICAL CONTROL
------------------------------
¶21. The GOB's Justice Ministry issued a decree, Portaria
Ministerial No 1.274-MJ, in August 2004 to prevent the manufacture
of illegal drugs; this regulation made Brazil's law pertaining to
chemical control arguably the most stringent in South America. The
decree established the control of 146 chemical substances that can
be utilized in the production of drugs; Brazil previously controlled
12 chemical substances. All companies that handle, import, export,
manufacture, or distribute any of these 146 substances must be
registered with the Brazilian Federal Police. There are
approximately 25,000 such companies registered with the Brazilian
Federal Police. These registered companies are required to send a
monthly report to the Brazilian Federal Police of their usage,
purchases, sales, and inventory of any of these 146 substances that
they handle. Any person or company that is involved in the
BRASILIA 00002091 005 OF 005
purchase, transportation, or use of these products must have a
certificate of approval of operation, real estate registry,
certificate, or special license; which are issued
by the Brazilian Federal Police. Companies that handle the 22
substances in List I, commonly referred to as precursors, of the
aforementioned decree are also regulated by Brazil's National
Sanitary Vigilance Agency (ANVISA).
¶22. The GOB has fulfilled the 1988 UN drug convention goals
relating to chemicals and is a party to international agreements on
a method for maintaining records of transactions of an established
list of precursor and essential chemicals. The GOB participates in
and supports multilateral chemical control initiatives. The
Brazilian Federal Police have agreed to work with the DEA to perform
a study on the use within Brazil and the exportation of Acetic
Anhydride from Brazil; this is in conjunction with Operation Topaz.
The Brazilian Federal Police respond to the DEA's Multilateral
Chemical Reporting Notifications (Pre-notifications of exports of
controlled chemicals) in a timely fashion. In summary, the GOB is
interested and proactive in chemical control.
SOBEL