BULK CURRENCY INITIATIVEBULK CURRENCY INITIATIVE

Texas Department of Public SafetyTexas Department of Public Safety

Narcotics ServiceNarcotics Service

J. Pat O’Burke, Deputy J. Pat O’Burke, Deputy CommanderCommander

9/7/2006

SINALOANUEVO LEON

TAMAULIPAS

COAHUILA

CHIHUAHUA

Smuggling Routes

DPS Stats

I-40 Corridor

I-30 Corridor

I-20 CorridorI-20 Corridor

I-35

Cor

rido

r

US-

59 C

orrid

or

I-10 Corridor

Hidalgo

Cameron

Willacy Cos.

Lubbock

All 2005 Seizures-Hotspots regardless ofCommodity or Seizure Size

Law Enforcement SensitiveFor Official Use Only

Total Seizures - State and Federal CombinedAll Commodities (Cocaine, Meth., Heroin, MJ, & Currency)

Operation Free Safety Counties (29)June 2004 - December 2005

0

100000000

200000000

300000000

400000000

500000000

600000000

700000000W

ebb

Hid

algo

El P

aso

Hud

spet

hC

amer

onB

rook

sS

tarr

Mav

eric

kK

ened

yJi

m H

ogg

Zapa

taD

uval

Val

Ver

deLa

Sal

leP

resi

dio

Bre

wst

erW

illac

yC

ulbe

rson

Uva

lde

Terr

ell

Dim

mit

Kin

ney

Pec

osS

utto

nC

rock

ett

Ree

ves

Zava

laJe

ff D

avis

Operation Free Safety Counties

$ V

alu

e

Commodity Value

High Activity Counties

Webb County - 28%Hidalgo County - 22%El Paso County - 14%Hudspeth County - 8%Cameron County - 7%

$588 M

$160 M

$294 M

$465 M

$156 M

All Narcotics and Currency SeizuresCombined and Valued

$2.13 BILLION

NATIONAL CODE OF NATIONAL CODE OF PROFESSIONAL CONDUCT FOR PROFESSIONAL CONDUCT FOR ASSET FORFEITUREASSET FORFEITURE

• Law enforcement is the principal Law enforcement is the principal objective of forfeiture. Potential objective of forfeiture. Potential revenue must not be allowed to revenue must not be allowed to jeopardize the effective investigation jeopardize the effective investigation and prosecution of criminal offenses, and prosecution of criminal offenses, officer safety, the integrity of ongoing officer safety, the integrity of ongoing investigations, or the due process investigations, or the due process rights of citizens.rights of citizens.

CY 2003-2004 currency CY 2003-2004 currency seizures >$10,000 seizures >$10,000

investigated by CLE.investigated by CLE.

46%

54%

INVESTIGATEDNOT INVESTIGATED

CY 2003-2004 courier arrested CY 2003-2004 courier arrested more than $10,000. more than $10,000.

29% 71%ARRESTEDNOT ARRESTED

CY 2003-2004 trafficker (DTO) CY 2003-2004 trafficker (DTO) arrested from investigation.arrested from investigation.

3%

97%

Trafficker ArrestedNo Additional Arrests

TEXAS MONEY LAUNDERING TEXAS MONEY LAUNDERING

• Texas Penal Code 34.02 makes it a felony to Texas Penal Code 34.02 makes it a felony to conceal, transport or possess the proceeds conceal, transport or possess the proceeds from any criminal activity, includes any from any criminal activity, includes any felony.felony.

• Model state drug law.Model state drug law.• In 2003 and 2004 there were only seven In 2003 and 2004 there were only seven

convictions reported to DPS Crime Records convictions reported to DPS Crime Records by all Texas law enforcement agencies for by all Texas law enforcement agencies for this offensethis offense..

Source: Texas DPS Crime Records Division, February, 2005Source: Texas DPS Crime Records Division, February, 2005

COLLABORATIVE APPROACHCOLLABORATIVE APPROACH• Participating law enforcement agencies Participating law enforcement agencies

should consolidate efforts across Texas.should consolidate efforts across Texas.• Agencies should collect and analyze Agencies should collect and analyze

intelligence and investigative information intelligence and investigative information in a central location (PSAT).in a central location (PSAT).

• Develop a statewide comprehensive Develop a statewide comprehensive business plan to utilize “best practices” in business plan to utilize “best practices” in money laundering investigations.money laundering investigations.

• Agencies should leverage investigative Agencies should leverage investigative resources in collective efforts.resources in collective efforts.

• Implemented training in January 2005.Implemented training in January 2005.

CY 2005 currency seizures over CY 2005 currency seizures over $5,000 investigated by CLE.$5,000 investigated by CLE.

62% 38%INVESTIGATEDNOT INVESTIGATED

CY 2005 courier arrested by CY 2005 courier arrested by CLE following investigation. CLE following investigation.

89% 11% ARRESTEDNOT ARRESTED

OUTCOME MEASURESOUTCOME MEASURES

• Increase in information sharing and utilization Increase in information sharing and utilization of complex investigative techniques.of complex investigative techniques.

• Identification and disruption of major drug Identification and disruption of major drug trafficking organizations. trafficking organizations.

• Identification and investigative referral in Identification and investigative referral in other organized crime conduct.other organized crime conduct.

• Increase in sharing of prosecution efforts in Increase in sharing of prosecution efforts in federal and multi-state enforcement federal and multi-state enforcement investigations for money laundering, investigations for money laundering, conspiracy and other organized crime conspiracy and other organized crime charges.charges.

Arrests/Convictions by all Texas LEA’s on state Arrests/Convictions by all Texas LEA’s on state

chargescharges..Source: DPS Crime Records April, 2007Source: DPS Crime Records April, 2007

93

4

262

7

263

16

305

16

304

20

188

31

77

90

50

100

150

200

250

300

350

CY2001

CY2002

CY2003

CY2004

CY2005

CY2006

CY2007

ArrestsConvictions

NATIONAL CODE OF NATIONAL CODE OF PROFESSIONAL CONDUCT FOR PROFESSIONAL CONDUCT FOR ASSET FORFEITUREASSET FORFEITURE

• Law enforcement is the principal Law enforcement is the principal objective of forfeiture. Potential objective of forfeiture. Potential revenue must not be allowed to revenue must not be allowed to jeopardize the effective investigation jeopardize the effective investigation and prosecution of criminal offenses, and prosecution of criminal offenses, officer safety, the integrity of ongoing officer safety, the integrity of ongoing investigations, or the due process investigations, or the due process rights of citizens.rights of citizens.

J. Patrick O’BurkeJ. Patrick O’BurkeDeputy CommanderDeputy Commander

512-424-2150512-424-2150pat.oburke@txdps.state.tx.uspat.oburke@txdps.state.tx.us

TEXAS DEPARTMENT OF TEXAS DEPARTMENT OF PUBLIC SAFETYPUBLIC SAFETY

Narcotics ServiceNarcotics Service