Thursday, January 24, 2013

Full-Auto AK-47's for Sale

Cartel de Jalisco Nueva Generacion has been under a lot of pressure. Ruben Osegevera Cervabtes) (El Mencho) joined with Gonzalo Inzunza Insunza (Macho Prieto) to fight -- just about everyone else. Macho Prieto lost all of M1's crew to the new Arellano Felix Cartel (managed by Joaquin Guzman Loera's sons and Fernando Sanchez Arellano jointly) so he has lost control of his border plazas. 

Based on what I have heard, even though San Luis Río Colorado has fallen to the new Arellano Felix Organization, Macho Prieto still has the stroke to smuggle loads across to the US side of the fence (Yuma). That infrastructure usually involves complicit US Customs officials and sometimes ICE Agents to grease the skids. 
AK-47
While there is profit in narcotics, the shelves of gun stores in America are empty and Macho Prieto will be moving many of the excess firearms that El Mencho has amassed over the past three years. Even though Nicolas Balcazar Lopez (El Bronco) remains in the custody of the PGR, awaiting trial in Mexico City, some of the weapons that his network purchased from the US Government through straw buyers (BATFE-Operation Fast and Furious) may be headed back north. If you buy something for X and you can sell it for X times twenty, it's time to sell. They're American market firearms anyway. Almost all of them are semi-automatic and not of much use to the cartels, which practice spray-and-pray tactics.

In addition to selling the US their firearms back, they are also going to be moving full-automatic AK-47's (mostly NORINCO manufacture), and magazines. They bought them from the Chinese for $3.00 per magazine and Senator Dianne Feinstein, President Obama and Vice President Biden have been bidding them up on the marketplace to $75.00 per high capacity magazine. The NORINCO AK-47's, purchased by container load for under $300.00 each will sell on the street in the USA for $8,000.00 each. It's a good business for the cartels, which have been accused of taking arms from the USA. As one cynical narco told me --  it's time to give back
It's a whole new market. In the past, selling drugs meant that the narcos needed to deal with unreliable users. The thriving arms consumption in the US is driven by "Ma and Pa" on the farm who fear their government. Dealing with generally honest people with jobs is something that Cartel de Jalisco Nueva Generacion is trying to get accustomed to, but they expect the pressure from the newly re-innaugurated President Obama to be kept up, thus the demand will only increase for new - still in the packing grease AK-47's. Sadly, there are only about 1,200 firearms sold by BATF to sell back, but the profit is there, so why not sell?

With over 300 million firearms in private hands in the US, the cartel-smuggled weapons will amount to a mere drop in the bucket in terms of numbers, but US policy is helping to keep the cartels employed. For Cartel de Jalisco Nueva Generacion, it means a lot because they have fallen on hard times and need all the help that they can get to keep the operation funded.

Rumor only: The Russians and Palestinians are both dumping container loads of SKS style weapons on the cartels to be sold to US consumers. They're effective but dated. They'll sell like hotcakes in the US.

I'm not selling or offering to sell these illegal firearms. I'm just the blogger keeping you readers updated on current trends.





Wednesday, January 23, 2013

Centro Nacional de Inteligencia (Mexico)

MEXGOV has been working on the concept of an intelligence agency embedded within another intelligence agency. If world history tells us anything, it tells us that this breeds dysfunction. Thus it is with the chains of history heralding a warning, that Centro Nacional de Inteligencia, CNI, has been launched.
There is also a Centro Nacional de Inteligencia in Madrid that supports Spanish national interests. Please don't confuse the two.
President Peña Nieto's government has attempted to craft the new CNI after the USGOV's Central Intelligence Agency (CIA), except there is almost no comparison in terms of how it's set up, it's mission or the personnel gathered to administer it.

The US Central Intelligence Agency was formed to collect information on nations outside of the United States and it's predecessor, the Office of Strategic Services was an action oriented service. Thus CIA inherited a directorate which has had several names: Clandestine Service, Directorate of Operations, Directorate of Plans, etc. The Mexican version, CNI, won't have that sort of capability because it's linked to Justice-related intelligence collection on people and organizations of interest within Mexico. Based on an American model, it would be sort of an FBI/DEA fusion center (think of a centrally located HIDTA group and you're close).

Interior Minister (Secretaría de Gobernación) Miguel Ángel Osorio Chong would disagree with me but I don't care. That's what it is and a rose by any other name is still a rose. 

The principle mission of the new National Intelligence Center (Centro Nacional de Inteligencia) will be to fight organized crime. The CIA doesn't do that to any significant degree. And what little of it they do, they do poorly because the bureaucracy is big, slow and CNC is poorly funded with many in its dedicated staff "double or triple hatted". That means that there aren't enough people to do it right.

CNI will act as a central collection point for information generated by all other intelligence and justice entities in the country, including the police, military, Attorney General's Office (Procuraduría General de la República, PGR), and other federal and state agencies -- which is specifically what the CIA doesn't do. As Osorio Chong explained, it will "work towards the necessary bringing together of all information." CNI will be structured within the Interior Ministry (Secretaría de Gobernación, Segob), and will report to the existing Mexican Center for Investigation and National Security (Centro de Investigación y Seguridad Nacional, CISEN). Thus, an intelligence agency within an intelligence agency.

CNI's targets will be principally the very smallest of the narcotics trafficking groups: Los Cabelleros Templarios, Los Zetas, what's left of the Beltran Leyva Organization and the Gulf Cartel. They are not presently tasked with targeting the Sinaloa Federation, which incorporates Cartel de Jalisco Nueva Generacion and the Arellano Felix Organization -- and traffics about 80% of the narcotics across the US/Mexico and US/Canada borders. I won't be so indelicate as to ask why it's rolling that way. If you're a cynic, you may have already come to the same conclusion that I have.






Tuesday, January 15, 2013

US Customs and Border Protection Corruption?

I have a friend, now retired, who worked for the US Customs Service and handled internal affairs for both US Customs and occasionally was called in to assist internal affairs/OPR at the Border Patrol before they were all folded into the Department of Homeland Security. He told me that one in three US Customs Officers at the US/Mexico ports of entry were on the take from drug cartels. That was about a decade ago and I would be shocked if things changed since then.

There is a general sense among the great unwashed and unenlightened (which would include yours truly) that CBP has more corruption on the US/Mexico Border than they do on Canadian ports of entry. However people are transferred (the corrupt and the honest) and the lack of scrutiny on CBP on the Canadian Border may account in some measure for vast sea of narcotics entering the US from Canada these days.

Polygraph Failure

On Thursday, 11 March 2010, in testimony before a subcommittee of the Senate Homeland Security Committee, it was disclosed that the failure rate associated with theCBP pre-employment polygraph screening program stands at 60 percent. New York Times correspondent Randal C. Archibold reports.

Over half of all US Customs Officers who took the polygraph failed. Were they terminated from employment? NO, They just went back to work.
(FOX News) A government watchdog report has identified a dramatic increase in documented corruption cases among U.S. border and immigration agents, finding nearly 150 have been arrested or indicted since 2005.  
In a trend one top lawmaker said puts national security "in jeopardy," the Government Accountability Office tracked the rise in corruption cases among Border Patrol, Customs and Border Protection, and Immigration and Customs Enforcement agents. The report, issued last month, found spotty standards in screening new applicants and keeping tabs on agents after they're hired. 
"In fiscal year 2011 alone, the DHS Inspector General received almost 900 allegations of corruption from within CBP and ICE," McCaul said.  
McCaul has long asserted the presence of Islamic extremists groups such as Hezbollah -- which has been found to be working in collaboration with Mexican cartels -- coupled with the prospect of a corrupt officer intentionally allowing these individuals into the U.S. could be catastrophic. 
"There is speculation that some applicants may have applied to work for CBP with pre-existing ties to drug cartels facilitating drug trafficking." YOU THINK SO?

With an estimated $40 billion in drugs crossing the U.S.-Mexico border annually, the battle against temptation is daunting. 

PAY for Customs and Border Patrol Agents
New agents are hired at the GL-5, GL-7 or GL-9 level depending on education and experience and are paid at a special salary rate for Federal law enforcement personnel. The base starting salary is GL-5 ($38,619), GL-7 ($43,964), and GL-9 ($49,029) grade levels, with excellent opportunity for overtime pay. (CBP.GOV)
At the princely sum of $3,200 per month, a newly minted Border Patrol Agent can wave one small load of drugs through the port of entry and make more than he makes all YEAR on the job. Corruption? WHY NOT?

Some uninformed people feel that raising the pay and required vetting (now in the works) may improve the situation at CBP. Others feel that the opportunities for corruption are just too vast.


Monday, January 14, 2013

Canadian-NY-Sinaloa Connection


Amilia Racine - Mob girlfriend
or a madona in need of a
manager now? You decide.

The City of New York is reeling with concern over who will supply their marijuana needs now that Canadian Citizen Jimmy Cournoyer (33) is in custody and headed for a long stay in the US. Not really. He's been in custody for almost a year. The trial is spinning up so USGOV is spitting out a few details of the case that the defense vigorously denies.

A friend wanted me to provide some after-the-fact coverage of this on the blog that you're reading. For more, go to nypost.com.

Cournoyer was a major player in West Coast Canadian hydroponic marijuana (BC Bud). He spent his money like a drunken French Canadian, on pretty women such as model/actress/companion, Amilia Racine (left); on fast cars; on yachts and on jet aircraft. He partied big with Hollywood royalty like Leonardo DiCaprio.

Amilia Racine - They never
used to make Canadians
like this. Just saying...
The US Attorney's Office believes that he trafficked about $1 billion (retail value) in BC Bud.

Amilia Racine may not be as innocent as she appears in the photographs here on this blog. Her brother, Mario, was second in command to Cournoyer according to government documents now made public.

Cournoyer supplied John Venizelos (LCN - Bonanno crime family) with marijuana products that he distributed to the needy New York City market. John Venizelos contends that he is not a drug dealer. He manages night clubs in New York City and a strip club (Crazy Horse Too) in Las Vegas, NV.

Amilia Racine - innocent victim?
The Hells Angels moved the marijuana from British Colombia to Eastern Canada and from there into New York State. Cournoyer, ever the entrepreneur, also used marijuana profits to purchase cocaine (for distribution in New York) from the Sinaloa Federation (Mexican drug cartel). Then again, it might just be a bad misunderstanding. Cournoyer and friends (including the lovely Amilia) may be innocent of the charges laid against them.
Jimmy Cournoyer’s lawyer, Gerald McMahon, promises a vigorous court battle. Venizelos’ lawyer, John Meringolo insisted that $100,000-plus found in his house by DEA agents isn’t drug cash. (nypost.com)
Since the embarrassment suffered by Joaquin Guzman Loera (El Chapo), who'd allegedly been supplying Cournoyer from his Canadian cocaine supply, he's vetting his suppliers more carefully. If you're driving around in a Bugati Veyron, Chapo will have his competitors sell to you...





Gun Smuggling from Mexico to the US

Rev. Jesse Jackson (Famous American racial advocate) recently suggested on MSNBC that the 500+ murders in Chicago in 2012 were attributable to firearms smuggled 1,300 miles from Mexico to the Windy City.
Rev. Jackson: "These guns come from the suburbs and from Mexico." The advocates of gun control keep ranting about firearms being shipped wantonly from the US to Mexico.*
*While it has always been debatable how many of Mexico's weapons come from America, we do know that well over 2,000 were delivered to the drug cartels courtesy of the US Department of Justice through Operation Fast & Furious and that those firearms were the source of over 300 deaths in Mexico.

Officially, Mexico's homicide rate in 2008 was 2.4 times greater than that of the US.** Brazil's homicide rate is 4.2 times greater. However, those statistics are artificially lowered for the sake of reporting, because the real numbers would be shocking and would deter tourism. The body count from President Calderon's war on drugs that everybody in Mexico knows to have been an abject failure, is now estimated at 120,000. That's a far different number than the artificially low "official" number - 50,000.
**The homicide rates as reported in the 2011 Global Study on Homicide, conducted by the United Nations Office on Drugs and Crime shows that the latest reportable numbers come from 2008.
However, there is cause for hope and change that will improve the Mexican economy yet again. Because of soaring firearms prices in the US due in large part to efforts by both President Obama and Vice President Biden to promote a 'run on firearms' in stores, many cartels are planning to ship firearms north. There is a market in the US now that was not there in the past. Both Los Caballeros Templarios and Cartel de Jalisco Nueva Generacion are in the process of buying more firearms from sources in the former Soviet Union and China principally with the intent to satisfy the demand generated by President Obama's policies.

Even though many Americans feel that tougher laws will prevent smuggling, the tough laws now in place don't stop thousands of TONS of methamphetamine and cocaine from being shipped from Mexico into the US today. If you can ship a ton of meth, you can ship a ton of AK-47's. Where many Americans would not purchase drugs, the lure of inexpensive (compared to prevailing rates in gun stores) firearms and 7.62x39 ammunition opens up an entirely new market.


The US could solve this budding problem by not artificially increasing the 'street price' of firearms, but the Obama Administration doesn't see it that way. Their concept of "gun free zones" is backfiring with unintended consequences. 



Sunday, January 13, 2013

Minarets in Mexico

Eid al-Fitr celebrated in Mexico City
Over five million Arab and Persian Muslims currently live in Europe, a continent of 740 Million people. And it's interesting that in Germany there are more kabob shops than there are establishments serving wienerschnitzel. Or so it would appear. South America alone has over twenty Million Arab and Persian Muslims (and a few Berbers), most of whom are generally assimilated. (http://latinarabia.com

The Arab Muslims in Europe seem to be more angry and agitated than their more bucolic cousins in Mexico and further south in "the Southern Cone".

Torres y Minarete de Agua Caliente
(Tijuana, BC, Mexico)
There are Arab Muslims who support the weapons needs of the cartels. Walid Hassan comes to mind, the arms merchant who provides AK-47's and RPG rockets and rocket launchers to Cártel de Jalisco Nueva Generación. However, Walid is the exception, not the rule.

Most Mexicans simply don't like Muslim people who are not assimilated into the culture and they are not bound by the US obsession with political correctness. So Muslims either find themselves going along to get along, or they're 'moved along'. Other than the sleeper cells placed by unfriendly governments in Mexico with an eye toward causing harm to the US, neighbor to the north, most Muslims - to include Middle Eastern people in general, who settle there want to get away from the turmoil at home.


Sunday, January 6, 2013

La Resistencia (Cárteles Unidos)

Juan Carlos Nava Valencia
Cárteles Unidos took a fairly big hit when  the Mexican Federal Police arrested Victor Manuel Torres Garcia (El Papirrin) in Michoacán almost two years ago now. At that time there were two branches of Cárteles Unidos. Victor Torres ran one branch and Juan Carlos Nava Valencia (El Tigre) ran the other. When the federal police arrested Ramiro Pozos Gonzales (El Molca) last September, it left Juan Carlos Nava in command.* 

*His brother, Oscar Orlando Nava Valencia (El Lobo) has been in US Custody in Texas for some time now.
Citizens of this municipality, you are notified that from 
this day forward los Caballeros Templarios are present in 
Jose Azueta (Zihuatanejo)... Establishing the people's order 
and tranquility. "Thank you"
The Apatzingan Plaza was disrupted by arrests two years ago, but the disruption was only temporary and cooperative efforts between Los Caballeros Templarios (LCT) and La Resistencia/Cárteles Unidos got the plaza back on its feet quickly. At the time the LCT methamphetamine output was significant enough that they needed Cárteles Unidos to move at least a portion of it into the United States. 

Cárteles Unidos had/have clandestine methamphetamine laboratories of their own but arrests of leadership both in LCT/LFM and the occasional raid on labs that are not paying off sufficiently to the police (or are denounced by rival drug kingpins to the police/army) caused the cartels to cooperate in trafficking across Mexico and into the United States. Both cartels have significant holdings in Avocados and produce in the same region and worked together through the US Customs/CTPAT route discussed before on this blog.

Today La Resistencia exists because their methamphetamine labs and their distribution routes inside the US still exist. It's an odd mix of different cartels including the Millennium Cartel/Valencia Cartel and an assortment of outcasts from the Sinaloa Federation. With the leadership on the ropes, they have dropped below the radar to rebuild. Never fear, there are other actors in Mexico for MEXGOV and their American cousins to focus on. But they're not gone.

Victor Manuel Torres Garcia currently awaits his fate, wondering whether or not he'll do the rest of his life in a Mexican prison or a prison in the United States. The future is not bright, Victor.