BMUN LXIX UNODC

In the past few months, two top members of the Sam Gor drug syndicate (known as "The Company") have been arrested around the world. The AFP estimates that "The Company" traffics cocaine, ecstasy, ketamine and heroin all across Southeast Asia. In 2018, the UNODC predicted the drug syndicate made over $17 billion from trafficking methamphetamines.  The AFP is the head agency of the Operation Kungur taskforce which aims to bring down the drug  syndicate . In  October 2020,  Lee Chung Chak, a senior member of the drug syndicate, was arrested in Bangkok, Thailand by the Australian Federal Police (AFP).  In  January, AFP made tremend ous progress by arresting  Tse Chi Lop, the suspected leader of Sam Gor. Many officials  compare Tse to Latin America's Sinaloa Cartel leader Joaquin "El Chapo" Guzman. These are significant arrests for the AFP as it is very " rare for suspected senior drug traffickers to be arrested and successfully prosecuted in...

One of the biggest money laundering schemes of all time, often referred to as the Russian Laundromat, involved moving more than $20 billion from shell companies in Russia to at least 732 banks in 96 countries between 2010 and 2014. These untraceable shell companies often received money from Russian corporations through fraud, rigging of contracts, and customs and tax evasion [1]. For instance, claims for false loans would lead Russian companies to transfer real money to the Moldovan bank Moldindconbank, which would then send money to Trasta Komercbanka in Latvia to distribute or conceal the large transactions. The money laundered was used on anything from private school tuition fees to diamonds and designer chandeliers to organizations supporting specific political agendas [2].  Records from the Organized Crime and Corruption Reporting Project (OCCRP) revealed that nearly $13 billion was sent to Trasta Komercbanka (Latvia), $738.1 million was sent to bank accounts in the UK, and ov...

  Earlier this year, Germany’s Deutsche Bank paid $130 million to settle allegations of bribery through the use of “consultants,” or middlemen, to gain advantages in business. These consultants allowed Deutsche Bank to strike deals with other banks around the world (such as those in Saudi Arabia, China, and Italy), opening up the possibility of funneling illicit cash to governments and corporate officials [1]. To cover up their tracks, the bank falsified records, concealed bribes from clients, and hid payments in nearby countries. The U.S. Department of Justice (DOJ) and Securities and Exchange Commission (SEC) conducted investigations on Deutsche Bank, which later led to the allegations and prosecution by the U.S. government [1].  A Deutsche Bank spokesman noted that the “thorough internal investigations, and full cooperation with the DOJ and SEC investigations” reflect the bank’s “transparency and determination to put these matters firmly in the past” [2].  However, thi...

  Hi delegates! Welcome to the UNODC committee blog! My name is Ruchirangad Sharma, and I will be your head chair for UNODC at BMUN 69! I'm accompanied by three incredible vice chairs: Dylan, Cassidy, and Karissa. We are so incredibly excited to meet all of you in March! A little bit about myself -  I  am currently a senior here at UC Berkeley studying Economics and Data Science. I love the course material and am really interested in this field mostly because of the huge part it plays in day to day life. When I am not swamped with work, I like to blow off steam by playing cricket with some of my friends or even just watching it! Apart from that, I also love to watch TV shows, with some of my favorites being Sherlock, Brooklyn Nine-Nine, and Chuck. Now, just a little bit about our committee. As you already know, our two topics this year are Money Laundering and Terrorism Financing, and Illicit Substance manufacture and trade. Both of these topics are extremely relevant to ...

  Hearing all about Bitcoin? Confused about how it relates to our topic on money laundering? Here's a case study that you should look into!  Hugo Mejia pleaded guilty to (1) operating an unlicensed money transmitting business and (2) money laundering. Mejia operated a digital currency business that exchanged $13 million in cryptocurrency for cash, taking commissions for transactions conducted on his platform. During the 28-month period that he conducted his digital currency business, Mejia established other companies to hide his illegal activities, also known as shell companies.  Why is this case study important?  It happened THIS year! January 29, 2021 to be exact. It highlights how a lack of regulation about cryptocurrency can become problematic in terms of not only prosecutorial actions, but also monitoring.  This is not an isolated case. In fact, three weeks ago, the owner of RG Coins in Bulgaria was sentenced for conspiracy to commit a Racketeer Influenced...

In recent years, how has drug trafficking affected the lives of civilians? Do civilians take part in smuggling, and if so, why and to what extent?  In western Afghanistan, the “village of widows” remains an unfortunate repercussion of the village’s men disappearing in attempts to smuggle opium, heroin, and methamphetamines into Iran. Those who smuggle are able to earn a few hundred dollars per trip, a great amount for a small village that lacks electricity and running water [1]. However, the risk of being shot and killed by Iranian border guards or executed in Iran’s courts for smuggling has led to the demise not only of the village’s men, but many of its women and children as well [1].  Profits from opium fund the Taliban’s financial networks, and hush money leads to the government of Afghanistan being complicit and allowing opium cultivation, processing, and trafficking to continue [1]. With its corruption and subsequent lack of control over operations, the central governmen...