Category Archives: Argentina

Tha lack of control in foreign commercial relations and the funding of terrorists

(From Spanish digital Newspaper NUEVO DIGITAL):

The operations of foreign and internal commercial relations are the more widespread methods for the ilegal bands from the named Triple Frontier between Argentina, Brazil and Paraguay to wash illegal money whose origin are the illicit manoeuvres that is used to finance the Islamic terrorism, mainly Al-Qaeda and Hizbollah. George Bush Administration is very worried about this situation and has asked the Governments of the region to adopt the necessary measures to fight the illegal business by which Latin America is finanacing terrorism.
A report published by the Wall Street Journal points out that the drug lords, smugglers and forgers based in that area systematically recur to foreing commercial operations to wash illegal money that is used afterwards by the terrorists organizations that act globally.
The modus operandi runs like this:

If an imported product is overvalued, the exporter receives an inflated price for the product, and wealth is shifted from the importer to the foreign exporter. Normally, this wouldn’t be a profitable deal for the importer, but if the parties are in cahoots they can share the proceeds. Likewise, when a money launderer converts illicit cash into goods and then sends them abroad at below market prices, the importer can resell them at real market prices and thus transfer value out of a country under the noses of authorities.

Looks like the Administrations of these countries as well as India, The Philippines and Panama have expressed their intention to acquire the software needed to combat these practices:

“For us, this is a very important concept because these trade transparency units should help us in not only combating transnational crime such as money laundering but also trade fraud,” says Marcos Vinicius Pinta Gama, head of Brazil’s Transnational Crime unit at the Foreign Ministry.

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Filed under Argentina, Brazil, Business and terrorism, Paraguay, USA