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DE RUEHUJA #0746/01 1200906
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FM AMEMBASSY ABUJA
TO RUEHC/SECSTATE WASHDC PRIORITY 5885
INFO RUEHOS/AMCONSUL LAGOS PRIORITY 1223
RUEHGB/AMEMBASSY BAGHDAD 0242
RUEHZO/AFRICAN UNION COLLECTIVE
RUEATRS/DEPT OF TREASURY WASHDC
RUCPDOC/DEPT OF COMMERCE WASHDC
RUEAWJA/DEPT OF JUSTICE WASHDC

UNCLAS SECTION 01 OF 03 ABUJA 000746 
 
SENSITIVE 
SIPDIS 
 
DEPARTMENT PASS TO USTR FOR AGAMA AND VETERE; PTO FOR HICKEY; LOC 
FOR USCO PPINHA; AID FOR GWEYNAND AND SLAWAETZ 
BAGHDAD FOR MCCULLOUGH 
TREASURY FOR PETERS, IERONIMO AND HALL 
USDOC FOR 3317/ITA/OA/KBURRESS AND 3130/USFC/OIO/ANESA/MCREED 
DOJ FOR MKOUAME 
 
E.O. 12958: N/A 
TAGS: KIPR ETRD ECON EINV EAID PGOV NI
SUBJECT: NIGERIA: COUNTERFEIT MEDS ENFORCEMENT TRAINING IN LAGOS 
 
REF: 08 LAGOS 405 
 
ABUJA 00000746  001.2 OF 003 
 
 
SENSITIVE BUT UNCLASSIFIED - NOT FOR DISTRO OUTSIDE USG 
 
¶1. (SBU) Summary: During a April 7-9 three-day counterfeit products 
and investigative techniques workshop, Nigerian government (GON) 
agencies made progress in better understanding what intellectual 
property rights (IP) are, how counterfeit medicines enter Nigeria, 
and what steps should be taken to increase detection of counterfeits 
at the border.  In addition, major U.S and international private 
sector companies participated in an IP trade fair to inform GON 
officials of the major counterfeit products entering Nigeria, 
demonstrate detection mechanisms and share intelligence for future 
collaboration.  Participants were unanimous that Nigeria is a major 
problem area for IP protection because of corruption and porous 
borders.  The expert from the World Customs Organization (WCO) 
asserted that Nigeria is the number one destination in Africa for 
counterfeit products and that criminal networks linked with 
terrorist organizations smuggle goods into and out of Nigeria.  All 
of the Nigerian agencies expressed appreciation for the program and 
said the workshop helped build interagency cooperation, and increase 
awareness.  The USG interagency team traveled to the Nigerian-Benin 
border on April 6 to observe Customs operations to better prepare 
for the three-day workshop.  That visit will be reported by septel. 
The GON has been slow to adequately address IP issues in Nigeria and 
this is part of series of workshops since 2007 to build awareness, 
increase GON capabilities and foster interagency, public-private 
cooperation.  The most active agency in the GON is the Nigerian 
Customs Service (NCS), which has been aggressive in seeking 
training, technical assistance and building links with the private 
sector and is the lead agency on IP enforcement, particularly at the 
border.  The USG will sponsor additional workshops in late June 
focused solely on NCS and increasing its capacity to detect 
counterfeit products at the border.  End Summary. 
. 
Robust Participation by GON and Private Sector 
--------------------------------------------- - 
. 
¶2. (U) From April 6-9 in Lagos the U.S. Mission sponsored an 
interagency team, with representatives from the U.S. Department of 
Justice and the U.S. Department of Homeland 
Security to observe and provide training on criminal enforcement of 
intellectual property (IP) at the borders.   Up to 107 Nigerian 
government officials and private sector stakeholders participated in 
the three-day workshop.  The workshop built on practical issues 
regarding counterfeit products and investigative techniques.  The 
workshop follows builds upon the USG sponsored August 2008, June 
2008, January 2008 and November 2007 IP workshops held in Nigeria. 
The goal of the April workshop was to develop investigative skills 
that are specific to counterfeit medicine and consumer products 
detection at Nigeria's ports and borders and build cooperative 
relationship between GON agencies and the private sector.  This 
cooperative approach emphasized the importance of coordinated 
inter-agency action to effectively combat IP piracy. 
 
¶3. (U) Participants were drawn from the Nigerian Customs Service 
(NCS), the Federal Intellectual Property Law Association of Nigeria 
(IPLAN), the Standards 
Organization of Nigeria (SON), and the National Agency for Food and 
Drug Administration and Control (NAFDAC).  Officials from all the 
major border posts, ports and airports attended.  In addition, a 
cross section of companies attended the IP trade fair - Eli Lilly, 
Proctor & Gamble, GlaxoSmithKline, Bic, Johnson & Johnson, 
Janssen-Cilag, Pfizer, Wahl Razors, Beiersdorf, Unilever, Novartis 
and Sanofi-Aventis.  Experts from the World Border Organization, 
World Customs Organization and Ghanaian Customs Excise and 
Preventive Service provided their expertise.  The Economic and 
Financial Crimes Commission (EFCC) was invited to participate at the 
working level but did not. 
. 
Topics Covered 
-------------- 
. 
¶4. (U) The specific topics covered during the workshop included a 
general introduction to IP and why it matters; an update on what is 
happening around the world at the borders; an overview of Nigeria's 
enforcement process for health and safety; case studies on what law 
enforcement needs from Customs to build strong evidence backed 
cases; latest tools on risk analysis for criminal enforcement; and 
 
ABUJA 00000746  002.2 OF 003 
 
 
in-class exercises geared to applying what had been learned during 
the workshop.  Multi-agency panels led each segment, a structure 
which allowed participants to compare and contrast different 
practices by different agencies. 
. 
The Case For Maximum Deterrence 
------------------------------- 
. 
¶5. (SBU) Serge Rinkel, Director of the Technical Committee for 
Borderpol and an Official of the WCO, asserted that counterfeiters 
are a major problem in Africa and especially Nigeria because of 
their involvement with criminal networks that also traffic in 
illegal drugs and weapons.  Africa and Nigeria are particularly 
vulnerable because of porous borders, corruption and minimal 
effectiveness of law enforcement agencies.  He said counterfeit 
malaria medications resulted in the deaths of approximately 400,000 
Africans yearly.  Another two million Africans die yearly from 
treatable diseases because of the counterfeit medications they 
ingest either kill them or fail to treat the ailment.  Africa is the 
favored route of smugglers to transit counterfeits to Europe from 
Asia and India.  The number one counterfeit product sold in Africa 
is Viagra, followed by vitamins, HIV/AIDS drugs, and condoms.  He 
noted that in Africa, Nigeria ranks number one as a destination for 
counterfeit products.  The number one origin of counterfeit 
medicines in Nigeria is India, followed by China, Seychelles, 
Thailand, and Philippines. 
 
¶6. (SBU) Rinkel underscored that criminal networks exist in Africa, 
particularly Lebanese networks that ship drugs and counterfeit meds 
from Latin America and Asia into and through Nigeria.  He said 60% 
of global terrorist organizations were involved in counterfeit 
medicines because the profit margins are much larger and penalties 
much smaller compared to illegal drugs.  For example, counterfeit 
Viagra can be produced in China for 5 cents and sold for $15 in the 
market.  Rinkel contended that the WCO has evidence that Hezbollah 
and Hamas are involved in smuggling drugs, counterfeit medicines and 
weapons into and out of Nigeria via Nigerians citizens of Lebanese 
origin.  For example, a ship that was tracked from Asia with known 
counterfeit cargo visited Nigeria three times in 2008.  He reported 
that Nigerian law enforcement officials were notified but took no 
action. 
 
¶7. (SBU) Within the West Africa region, Rinkel noted criminal 
networks smuggling counterfeit drugs, illegal drugs and weapons via 
Senegal, Ivory Coast, Mali and especially Nigeria.  He alleged that 
criminal networks had encouraged Nigerian banks to establish 
branches in the Gambia in order to facilitate counterfeit goods 
transactions.  In addition, among the sizeable 700,000 Nigerian 
population in South Africa, exist criminal gangs funneling 
counterfeit drugs into South Africa and Nigeria. 
 
¶8. (SBU) Rinkel said that the Niger Delta region is particularly 
porous area and that there is evidence linking the region to weapons 
smuggling to Chad, the Darfur region, and the Democratic Republic of 
Congo.  Moreover, he reported Algerian bombings on Feb. 22, 2009 
were carried out with weapons moved from Nigeria through Mali and 
Niger to Algeria. 
. 
GON Inaction 
------------ 
. 
¶9. (SBU) Representatives from GlaxoSmithKline and Janssen-Cilag told 
Econ Deputy that counterfeiting is a major problem and that in order 
to get NCS or police to conduct raids, the companies had to provide 
monetary inducements.  Janssen-Cilag reps reported that following a 
raid, Pirates paid the police unofficial "bail" and the criminals 
were released.  NAFDAC prosecutors lamented that trials languished 
for many years and that there are several pending prosecutions that 
are ongoing for seven years. 
 
¶10. (SBU) GON officials complained that prominent individuals 
connected to Nigerian traditional leaders' families, dignitaries and 
VIPs smuggle goods into the country with impunity.  A GON official 
said that 300 trucks per week arrived in Nigeria from Niger 
belonging to a prominent Northern Nigerian businessman.  This same 
businessman is alleged to have a close association with high-level 
government officials and is from Katsina. 
. 
IP Trade Fair 
 
ABUJA 00000746  003.2 OF 003 
 
 
------------ 
. 
¶11. (SBU) At the IP trade fair, Eli Lilly, Proctor & Gamble, 
GlaxoSmithKline, Bic, Johnson & Johnson, Janssen-Cilag, Pfizer, Wahl 
Razors, Beiersdorf, Unilever, Novartis and Sanofi-Aventis set up 
stations.  Groups of GON officials received 30 minute presentations 
on specific examples of counterfeit products being sold in Nigeria. 
The companies demonstrated how to tell the difference between 
counterfeit and genuine products, and provided check lists and 
contact information to contact them if officers come across 
questionable goods.  For example, Procter & Gamble explained that 
legitimate "Pampers" diapers are produced locally in Ibadan and that 
the company does not produce nor import diapers from Asia to 
Nigeria.  Therefore if Customs Officers observe a shipment of 
"Pampers" from Asia they should seize it immediately, contact 
Procter and Gamble and a company rep will come to the location to 
help with the investigation. 
 
¶12. (SBU) The companies were happy to participate but lamented that 
much more needs to be done by the GON.  Several reps said that from 
50-80% of the drugs found in pharmacies in Nigeria are counterfeit. 
 
. 
Next Steps 
---------- 
. 
¶13. (SBU) NCS officials reported that the NCS will set up a work 
plan to increase officer's knowledge of counterfeit meds and that 
the NCS has undertaken to sign MOUs with British American Tobacco 
and Nokia to put in place a mechanism to share intelligence and 
resources.  (Note:  NCS, BAT and Nokia reps first were introduced at 
the June 2008 USG-sponsored workshop in Abuja as part of Mission 
efforts to increase cooperation between the GON and the private 
sector.  End Note.)  At the end of the workshop the GON reps issued 
a communique that committed each agency to collaborate in 
partnerships; to conduct joint-training programs; to develop an 
anti-counterfeiting campaign; to review the existing judicial system 
to ensure speedy trials for pirates; to increase motivation among 
law enforcement officials to discourage being compromised by the 
pirates; seek stricter penalties for pirates; strengthen the 
political will of policymaker; and to set up Public Private 
Partnerships with companies to improve communication. 
 
¶14. (SBU) Comment:  The extremely productive and well-attended 
workshop has further set in motion cooperation within the GON. 
Participants were particularly thankful, energetic and motivated to 
work with their colleagues to stop counterfeiting.  The joint 
communique was a good first step.  The key to progress is 
information and building cooperation within the GON and with the 
private sector.  The USG will follow up this workshop with another 
workshop focused solely on NCS and training to take place at a 
border post, port and airport in late June.  Based on Nigeria's size 
and reach within Africa, if the USG can turn the GON into effective 
ally we may see progress in strengthening enforcement across the 
region.  End Comment. 
 
¶15. (U) This cable was coordinated with ConGen Lagos. 
 
SANDERS