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On December 2006, Felipe Calderon Hinojosa (PAN) was sworn in as the president of Mexico for the following 6 years, after a close election victory against Andres Manuel Lopez Obrador (PRD) with a margin of less than 1%. A promise to fight corruption and organized crime was made to the Mexican voters during Calderon’s bid for the presidency. And when candidate Calderon was elected president, President Calderon declared war against the drug cartels and promise to get rid of the corruption that plagued the government for decades. No president before Calderon had made such a declaration of war. A Declaration of war to the drug cartel organizations (DTO’s), with powerful transnational and transcontinental networks, ample resources of money in the billions of dollars, weapons, and a ready army of criminals estimated in the 10’s of thousands, seemed like an impossibility not only to Mexican legislators but to experts in the field all over the world. Joel Vargas
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MEXICO’S FAILED POLICY IN THE
DRUG WAR: MEXICO’S NARCO
TERRORIST WAR
OPEN SOURCE INTELLIGENCE (OSINT)
10 N Martingale Rd
Schaumburg, IL 60173
312-650-9363 Chicago
www.contingentsecurity.com
Joel Vargas
CONTINGENT SECURITY SERVICES, LTD.
Intelligence Division
April 8, 2012
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TABLE OF CONTENTS
INTRODUCTION 3
PURPOSE STATEMENT 5
HYPOTHESIS 6
SIGNIFICANCE OF RESEARCH 6
LITERATURE REVIEW 7
A. THE DEMAND FOR DRUGS IN THE U.S. 7
B. THE DRUG VIOLENCE IN MEXICO 7
C. DRUG CARTELS POSE A THREAT TO
LAW ENFORCEMENT IN THE U.S. 8
D. DRUG CARTELS AND GANGS IN THE U.S. 8
E. U.S. INITIATIVE TO FIGHT CRIME IN
CENTRAL AMERICA 8
F. DRUG CARTELS AND THEIR TERRORIST
TIES 9
G. APPLICATION OF WRONG POLICY BY THE
U.S. AND MEXICO 10
H. DRUG CARTELS POSE A THREAT TO THE
FIRST AMENDMENT OF THE U.S.
CONSTITUTION 10
I. SECURITY RISKS FOR THE BUSINESSES
IN MEXICO 10
J. AN ACT OF CONGRESS TO LABEL MEXICAN
DRUG CARTELS TERRORISTS 11
K. CONCLUSION 12
THEORETICAL FRAMEWORK 12
RESEARCH DESIGN AND METHODS 13
DISCUSSION 13
CONCLUSION 14
REFERENCES 16
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I. Introduction
On December 2006, Felipe Calderon Hinojosa (PAN) was sworn in as the president of
Mexico for the following 6 years, after a close election victory against Andres Manuel Lopez
Obrador (PRD) with a margin of less than 1%. A promise to fight corruption and organized
crime was made to the Mexican voters during Calderon’s bid for the presidency. Calderon’s
statements were echoed during his political debates, political rallies and the media played along
that corruption and organized crime would face their biggest challenge, if he was elected
president. And when candidate Calderon was elected president, President Calderon declared war
against the drug cartels and promise to get rid of the corruption that plagued the government for
decades. No president before Calderon had made such a declaration of war. A Declaration of war
to the drug cartel organizations (DTO’s), with powerful transnational and transcontinental
networks, ample resources of money in the billions of dollars, weapons, and a ready army of
criminals estimated in the 10’s of thousands, seemed like an impossibility not only to Mexican
legislators but to experts in the field all over the world.
Critics argued President Calderon and his new government were not ready to go to war
against the Mexican drug cartels. However, President Calderon went ahead with his plan and
declared war against all Mexican drug cartels. In addition to fight the drug cartels, this
declaration of war was also to get rid of local, state and federal police forces, members in the
military and some members of the courts, all in the payroll of the drug cartels. While Mexicans
were celebrating the New Year in 2007, the Mexican government was going to war against all
the drug cartels, and the cartels against each other to gain territory “plazas” and control the
trafficking routes. The criminal organizations (DTO’s) were going to war against any law
enforcement agency civil or military that got in the way. Mexico would soon find out that the
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war would have a high price in human lives and money. Businesses began to experience
extortions by the drug cartels, kidnappings and assassinations because the drug cartels needed to
get cash to continue the war. Security in Mexico became a necessity for businesses, political
figures, reporters and people with money, as they all become targets for the drug cartels.
It is questionable if delaying the drug war would have made a difference. As the drug war
in Mexico was beginning in early 2007, the financial crisis in the U.S. and the rest of the world
began to show its effects and the global recession was eminent. Policy makers in the U.S. began
to make plans to fund programs with the State Department to train new police, modernize their
police forces, and train the Mexican military to do the work of the police in the war against drug
cartels. The Merida Initiative was approved in 2008 with billions of dollars to fight organized
crime in Mexico and other Latin American countries. The score card in 2008 in the U.S. was a
global recession and financial crisis, a drug war next door, two wars and the possibility of a
terrorist attack inside U.S.
Drug cartels operating in the U.S. have changed their business models to recruit gang
members and non-criminals. Partnerships are stronger than ever as loyalty and profit are played
with these gangs and other criminal organizations. Money anti-laundering policy is not very
strong. Guatemala actually has stronger anti-money laundering laws than the U.S. such as the
law Extincion de Dominio which confiscates questionable assets and money from suspected
criminals until these criminals proof how they got the money. Guatemala has now seized 12
billion dollars in assets and cash in one year and growing.
Additionally, the actions between the drug cartels, in mass killings of rivals, beheadings
published in YouTube, the cruel torture techniques used against suspected rivals and the use of
explosives are all part of a terror that lately has become the main topic in the news. Many North
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Americans with financial interests in Mexico refuse to go to Mexico for fear of being kidnapped
or killed. On April 4, 2012, an announcement from Coparmex that 160, 000 business had left
Mexico in 2011 because of the security problems including the drug war (Coparmex). The
businesses are formal businesses registered and operating in Mexico. No condemnation is heard
from the U.S. government when innocent people are killed in Mexico or solutions when
businesses leave the country. The U.S. public can only hear that things are bad in Mexico when
one law enforcement agents I killed there or when a deputy is nearly killed in a shooting.
A. Purpose Statement
There should be no doubt the policy of Mexico dealing with drug war has failed. The
drug cartels are behaving as terrorist organizations operating with impunity in Mexico and Latin
America, and because of pressures from the United States these drug cartels are not classified as
terrorists. This research will focus on the Mexican drug cartels and Mexican government’s failed
policy to deal with the drug war. Mexican drug cartels have been in operation without much
interruption from the Mexican and U.S. government for decades. Their networks are more
extensive than any intelligence network in the world. They rely on all forms of intelligence and
have the money to pay for it. The unknown fact in the United States is that in Mexico possession
of any drugs including heroin is not a crime as long as it is for personal use. In fact, what the
Guatemalan President Otto Perez Molina is talking about legalizing drugs completely removes
the prohibition from drugs. Mexico has been fighting a war that is losing. When the question
about legalization of drugs comes up, the U.S. has the power to and ability to exercise pressure
against these countries. Therefore, policy makers in Mexico must begin to take charge and make
legislation that will benefit Mexico and not the United States. Mexico is fighting a war against
narco terrorists.
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B. Hypothesis
The research project will proof that Mexico’s policy to deal with the drug war has failed.
As a note, Mexico’s policy on the drug war has always been tailored by the U.S. While the
Mexican government continues to succumb to the desires of the U.S., people die in Mexico.
Mexico’s policy on the drug war is a failure. The drug cartels are winning the drug war.
C. Significance of the research
Today, there is little coverage in the U.S. media regarding the war on drugs in Mexico
and in Latin American countries. Since 2006, Mexico has been at war against all Mexican Drug
Cartels. The Mexican drug cartels are at war against each other for control of Mexican drug
routes and markets and against the Mexican government. The Mexican drug cartels have shown
a significant defiance toward the government of Mexico and in many occasions the government
of the U.S. The Mexican drug cartels are a significant challenge not only to Mexico but to the
U.S. as well as the war against drugs belongs to both countries.
Since 2006, the drug cartels began an active campaign of terror against each other, the
Mexican authorities and the civilians who live and do business in Mexico, and anyone who tries
to interfere with their operations. Their acts are a topic of all Mexican newspapers, magazines
and television newscasts. Their acts consistent as acts of terrorism continue to be ignored by U.S.
lawmakers because as long as the war is in Mexico, the containment policy is working, but at
what price for Mexico? A war in Mexico against powerful criminal organizations performing
acts of terrorism is no different than any other war against terrorist organizations. Mexican
officials lately are calling these Mexican drug cartels terrorists but the U.S. insists that they are
just criminal gangs. This research explores the current state of these criminal organizations and
Mexico’s failure to enact policy that would ensure security to the nation.
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II. Literature Review
A. The Demand for drugs in the United States.
In is necessary to first of all address the issue of demand for drugs in the U.S. In a
Foreign Affairs article titled “Surgical Strikes in the Drug Wars” published in 2011, Kleiman
goes into detail about policy making in the U.S. and Mexico when it comes to drugs and
highlights the undisputed fact that the U.S. suffers from a widespread abuse of cocaine, heroin,
methamphetamines, and cannabis (Kleiman, 2011). As long as the demand from drugs in the
U.S. continues to exist, there will be a significant cash business for the drug cartels. Perhaps the
U.S. government can put some billboards showing people killed on the ground next to cars full
of bullet holes in order to bring awareness that drugs fuel violence. The tobacco companies have
to do things to deter the use of their product, perhaps thinking outside the box is necessary to
deter buyers of illicit drugs.
B. Drug violence in Mexico.
A lot has been written about the declaration of war by the President of Mexico Calderon
in 2006 that has led to a level of violence never seen before in North America with the number of
deaths over 40,000 (The Dallas Morning News, August 31,2011). While the New York Times
reports the number to be about 50,000; the number is not certain since thousands remain as
missing persons (Cave). Another occurring situation in Mexico is the use of explosives by the
drug cartels is now common practice. Also the drug cartels are attacking using military grade
artillery used in war-zones. In fact, drug cartels are committing acts similar to the ones
committed by terrorist organizations such as al-Qaeda, Hezbollah or the Taliban.
C. Drug cartels pose a threat to law enforcement in the U.S.
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In the article by Michelle Mittelstadt, from The Houston Chronicle, titled “Border Patrol,
lawmen outgunned by cartels; Homeland Security panel also says traffickers are forming ties
with U.S.-based gangs” (October 17, 2006), Mittelsdath states that a congressional report the
local police and federal border patrol agents, guarding the border, are outgunned by the drug
cartels (Mittelstadt, 2006). The same article states the drug cartels are using sophisticated
equipment to keep track of movements from law enforcement in the U.S. and the same report
confirms the drug cartels are now able to break any encryption code used by police and border
patrol agents (Mittelstadt, 2006). These gangs are known to kill police officers if given the
opportunity.
D. Drug cartels and gangs in the U.S.
In the Article from The Christian Science Monitor, 2011, titled “Gangs arrest a blow to
Mexican Cartels’ reach north of the border; Project Southern Tempest netted 678 gang members
connected to international drug syndicates. It’s a sign the U.S. is trying to help in the war against
Mexican cartels” Patrick Jonsson analyses the efforts of U.S. officials in the U.S. Immigration
and Customs Enforcement (ICE) in their fight against the Mexican drug cartels and discuses the
five year program that has resulted in more than 20000 arrests (Jonsson, 2011). However, this
project is not a complete solution because it only addresses the removal of criminal
undocumented aliens.
E. U.S. Initiative to fight crime in Central America.
In an article from UPI Emerging Threats, titled “Obama urges action on drug trail,
crime” (2011)., while in El Salvador, President Obama called for more concerted pan-American
efforts to fight the economy and the drug trail from South to North and its nexus in organized
crime (UPI Emerging Threats, 2011). In talks with Salvadoran President Mauricio Funes, Obama
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cited the growing threat in Central America of the drug cartels and gangs, as the result of the
fight against drugs in Colombia and Mexico (UPI Emerging Threats, 2011). During this summit,
the U.S. pledged $200 million dollars in cash for an initiative called Central American Regional
Security Initiative aimed to reinforce governments’ capacity to secure their borders (UPI
Emerging Threats, 2011). Central America is the weakest link in the drug war these countries
also are home to some of the deadliest gangs (Maras). When the Central American gangs began
to surface in the U.S., the law enforcement community began to launch a serious attack to
minimize their networks. In many ways, the law enforcement succeeded by using immigration
laws and acting fast. Drug cartels like to partner up with violent gangs in Central American
gangs because these gangs have territories and significant networks in place. It is likely that the
drug cartels will also use the same gangs in the U.S. to perform some of their “enforcement
activities” as has been the case in El Paso, Texas and several parts of the country.
F. Drug cartels and their terrorist ties.
When the U.S. government finds a criminal group tied to a terrorist organization or a
state that endorses and supports terrorism, policy is immediately implemented to isolate and
eliminate the threat. In the article by UPI Emerging Threats, titled “U.S., Iran on new collision
course” (2011), the plot to assassinate Saudi Arabia’s Ambassador to the United States is a
reminder that terrorism is not just from groups such as al-Qaida but also states that approve
terrorists (U.S., Iran on new collision course, 2011). Iran has denied connection with the plot but
the U.S. has affirmed that there are links to their government. No theory has come out yet as to
why Iran would want to kill the ambassador (U.S., Iran on a new collision course, 2011). This
again confirms a connection.
G. Application of the wrong policy by the U.S. and Mexico.
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The U.S. launched an operation that went very wrong. In an article from the International
Business Times, published on July 26, 2011, titled “'Reckless and Arrogant' Government
Program Supplied Guns to Mexican Drug Cartels: Report,” the government program to track
guns purchased by drug cartels resulted in over 100 guns turning up at crime scenes, including
that of a murdered U.S. Border Patrol agent, according to a highly critical report released by
lawmakers on Tuesday (International Business Times, 2011). The operation was known as
“Operation Fast and Furious.,” a program in which agents deliberately do not halt illegal gun
purchases, instead seeking to trace them to their source. This policy application shows a
complete disregard to the value of life in Mexico by the U.S. authorities.
H. Drug cartels pose a threat to the First Amendment of the U.S. Constitution.
In an article titled “The Cartel Next Door” Connolly discusses how to write about
Mexican drug cartels. Memphis has been a hub for Mexican drug cartels since the 1930’s. The
author researched and found a person arrested with ties to the Beltran Leyba Cartel. Connolly
traveled to Mexico and teamed up with a local reporter to learn more about the drug cartels and
the dangers to reporters (Connolly 2011). Connelly assures other reporters that these drug cartel
organizations have networks all over the U.S. and an order to kill a reporter is not a difficult one
for these criminal organizations (Connolly 2011). Reporters in Latin America and in the U.S.
understand that they can not take things out of proportion when they write the news. This clearly
is an attack to the First Amendment of the U.S. Constitution. It appears drug cartels are not
interested in respecting the freedom of speech and of the press in the U.S. or Mexico.
I. Security risks for the businesses in Mexico.
In the report titled “Putting Risks and Threats in Proper Perspective” the author discusses
how to put security risks and threats in proper perspective, when it comes to Mexico (Putting
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Risks 2011). Many times the news and media make statements that are false and only create
fears on the people of both sides of the border. The author argues that the a fact that plays day
and night in Mexico is that for the most part the cartels are killing each other (Putting Risks
2011). However, the author fails to claim in his article the extortion and kidnapping cases in
Mexico. Small businesses in Mexico are paying protection fees or called “piso” which means
right to be there. The numbers from personal contacts are a percentage of gross revenues that can
be as high as 20% percent, according to Contingent Security Services, Ltd (Contingent Security).
The narco terrorist attack of August 25, 2011 in Monterrey, Mexico, against Casino Royale,
where two dozen armed men went in and set the casino on fire killing 52 people all innocent
bystanders would go into history as one of the worst terrorist acts by member of Los Zetas Drug
Cartel (Dudley). It was later revealed the owner of the casino was a victim of extortion by
government officials and the drug cartel. It is a cost of doing business in Mexico and the day
payment is not handled, the business goes up on flames.
J. An act of congress to label Mexican drug cartels terrorists.
The current climate in the U.S. is to designate the drug cartels in Mexico as terrorist
organizations due to the violence against civilians, the control they are trying to exercise over
territory, and the narco terrorist acts. However, legislators in Mexico or the U.S. are taking a
long time to take action. In an article by the New York Times page 21A, published on April 22,
2011, titled “Bill Seeks To Designate Drug Cartels As Terrorists” Aguilar states that a Texas
congressman is seeking to designate seven of the top Mexican cartels as foreign terrorist
organizations, a move he says would give law enforcement in the United States enhanced tools to
combat the cartels (Aguilar, 2011). This movement appears to be gaining momentum as the
Mexican president Calderon and Hillary Clinton appear to agree drug cartels are terrorists.
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However, playing with what people in the U.S. have of perception of terrorists, it is likely that
the cartels will never be classified as such.
K. Conclusion
The failure to curb the use of drugs in the U.S. population has failed. Talks about legalizing
marihuana as a federal policy are conversations in the media. While all that takes place, the
federal government is not suppressing drug cartels in the U.S. The violence in Mexico is coming
north in the U.S. Local law enforcement is not getting enough training on how to detect drug
cartel operations. Gangs are gaining significant ground in the drug trade. Drug cartels continue to
improve their business models making these gang leaders partners and not just distributors. As
partners, gangs engage in some of the enforcing activates, which include kidnappings, killings
and several other criminal activities. With over 50,000 people killed in the Mexican drug war
and 10’s of thousands missing, a drug war that is fought just south of the border requires a firm
commitment from the U.S. Mexico must make policy to fight the drug cartels or begin to enact
laws to remove the prohibition, which continues to build these criminal organizations. While this
literature review leaves many different aspects of the drug war, it is important to highlight that
there are other factors that are important and require further examination such as the problem of
money laundering and policy to send to jail bankers and business people laundering billions of
dollars for the Mexican drug cartels.
III. Theoretical Framework.
While it is possible to examine the drug war in Mexico in the context of a global threat to
national security, this research focused on the Mexican drug cartels narco terrorist activities and
Mexico’s failed policy. The drug war in Mexico has many different variables and this research
will narrate and illustrate the acts and the terrorist-like actions in Mexico by the Mexican drug
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cartels. Reports indicate the drug war may be moving north into the U.S. territory. Newscasts in
states like Texas, Arizona and New Mexico are spending considerable time covering drug cartel
activates in these states. Additionally, the drug war in Mexico can be analyzed as one war and
not small wars between cartels and the government. Therefore, this research will view the
Mexican drug cartels as one group i.e. all Mexican drug cartels. Finally, this research will answer
this question, has Mexico’s policy against the drug war a failure? This research will confirm
Mexico’s policy against the drug war is a failure.
IV. Research Design and Methods.
The methodology that will be applied by the study chosen in order to collect information
sources will be to deduce conclusions about the drug cartels operating in Mexico. The facts of
what makes these drug cartels dangerous, as terrorist organization and Mexico’s failed policy to
deal with the drug war. The method what will be used is a qualitative. The research will cover
the following variables: the variable of the actions from the cartels against each other, actions
from the cartels against the government, the corruption elements identified, the relationships
between cartel organizations and gangs in the U.S., the tactics of the cartels to gather intelligence
in the U.S., and the current escalation of intimidation tactics against U.S. law enforcement. The
research will have multiple sources of data and from different journals in a qualitative method. In
the process each variable will be analyzed and deductive reasoning will be applied to come to the
same conclusion that the drug cartels are terrorist organizations and Mexico’s policy has failed.
V. Discussion
There is strong evidence U.S. policy makers prefer wars take place somewhere else and
not inside the U.S. While the Department of Homeland Security (DHS) is doing its best to get rid
of the gang members who have ties with Mexican organized crime, they can only do so much.
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Therefore, policymakers’ failure to treat the drug war in Mexico as a serous problem must be
addressed before it is too late and the war moves north. Strengthening the relationships with
Latin America in the fight against drugs is fundamental, as the Central American governments
appear to be the weakest link in this drug war. On the issue of demand for illicit drugs in the U.S.
is not going down and must be also addressed appropriately.
Demand control programs can be implemented, such as drug testing in order to obtain
public aid, drug testing for employees (private and public), judicial reform, and a more effective
form of treatment. While decriminalization of drugs are reason for discussion in political
debates, it is unlikely the U.S. would ever make that a federal policy, so Americans are left with
poor policy decisions both from the U.S. and Mexico. Even the U.S. Constitution is suffering an
attack, when the news reporters are forced to curb how the news in the U.S. is published because
of fears of retaliation by the drug cartels. The real facts in the news are necessary to make
Americans stop or reduce their demand for the illicit drugs. The Use of Face Book and other
forms of social networking are under attack by Los Zetas as Mexican bloggers who have
criticized Los Zetas drug cartel are being killed and hung from breaches with notes on them
telling bloggers to stop criticizing their activities.
VI. Conclusion
Mexican drug cartels are committing acts of narco terrorism in Mexico. It is not fiction
that the drug cartels are becoming entangled with terrorist states. Venezuela has shown
significant ties to Iran and Hezbollah and training camps of Los Zetas have also shown insignia
of the relationship. The U.S. downplays the assassination plot to kill the ambassador of Saudi
Arabia to the U.S. and taking off the focus from the drug cartel contacted to handle the execution
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for 1.5 million dollars. It appears U.S. policymakers would rather not discuss terrorist ties with
the Mexican drug cartels. It almost seems that it would not be smart to upset the “Los Zetas” by
linking them to a terrorist plot. The U.S. policy is failing to address the National Security threat
of the drug war in Mexico. The U.S. approach of containment, that is of just keep in down in
Mexico kind of policy, affects Mexicans. With over 40,000 people killed and 10’s of thousands
missing in Mexico, the drug war is fought just south of the border. U.S. lawmakers to must take
the step to work out policy that makes Mexico safer and Mexico must legislate what is best for
Mexico. While this research proposal leaves many different aspects of the drug war out, it is
important to highlight that there are other factors that are important and require further
examination such as money laundering legislation, regional, national and international
collaborations, and many more, one thing is clear, Mexico’s policy on the drug war is a failure.
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References
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