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65 arrested in U.S.-Canada drug smuggling bust
CTV.ca News Staff
(http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/1050436399918_45845599///?hub=Canada)
Canadian drug company executives are among at least 65 people in 10 cities who have been arrested in connection with methamphetamine production and trafficking, Canadian and American drug enforcement officials announced Tuesday.
The Drug Enforcement Administration in the U.S. and the RCMP said the arrests signal the end of an 18-month investigation targeting illegal importation of pseudoephedrine from Canada into the U.S., dubbed "Operation Northern Star."
Pseudoephedrine is a normally legal chemical found in over-the-counter sinus medications. But it is also an essential ingredient in methamphetamine production. Also known as meth, speed or crank, methamphetamine is an illegal stimulant that acts on the central nervous system.
"Methamphetamine is a devastating, addictive drug that destroys human dignity," U.S. Justice Department Criminal Division chief Michael Chertoff said in a statement.
"We believe that Operation Northern Star has disrupted a major pseudoephedrine pipeline from Canada."
For the first time, investigators cracked down on every link of the drug ring, including suppliers of precursor chemicals, chemical brokers, transporters, manufacturers, distributors and the money launderers who helped conceal their criminal proceeds, officials said.
In the course of their investigation, agents targeted six executives from three Canadian chemical companies: G.C. Medical Products, Formulex, and Frega, Inc.
Police allege the executives arrested sold bulk quantities of pseudoephedrine to methamphetamine manufacturers in the United States, with the knowledge that the chemical was intended for illegal use.
Frega Inc., is charged criminally in Detroit for its role in supplying bulk quantities of pseudoephedrine to brokers in Cincinnati and Chicago.
Officials said that approximately 108 million tablets of pseudoephedrine originating from Frega Inc. was seized during the investigation. The drug was believed to be destined for manufacturing labs in the U.S., from where it would have yielded methamphetamine pills with a street value of between $36 US million and $144 US million.
Operation Northern Star is the fourth in a series of DEA-led investigations into the illegal international sale of pseudoephedrine.
According to the DEA, the success of previous investigations in the U.S. combined with tighter regulations to encourage meth producers to turn to Canadian suppliers for bulk pseudoephedrine.
During the course of Operation Northern Star, investigators monitored brokers in Chicago, Cincinnati, Detroit, and Los Angeles who arranged for bulk pseudoephedrine shipments from Canada.
Most of the shipments crossed into the U.S. at the Windsor-Detroit border, often hidden in tractor-trailers beneath legitimate products like bottled water and bubble gum.
Announcing the arrests, Canadian and U.S. drug enforcement officials said they've made a significant impact on a very lucrative business.
According to court documents and DEA statistics, one box of pseudoephedrine containing 80,000 60mg tablets can be purchased in Canada for approximately $900 US. After going through two to three brokers, the same box of pseudoephedrine would be sold to meth manufacturers in California for $18,000 to $20,000 US.
In a statement, RCMP Superintendent Raf Souccar expressed his satisfaction with the outcome of the joint operation.
"Today, you have witnessed the power of integrated policing. As criminal organizations do not respect borders, it takes true cooperation between law enforcement in our respective countries to bring transnational criminal organizations to justice."
CTV.ca News Staff
(http://www.ctv.ca/servlet/ArticleNews/story/CTVNews/1050436399918_45845599///?hub=Canada)
Canadian drug company executives are among at least 65 people in 10 cities who have been arrested in connection with methamphetamine production and trafficking, Canadian and American drug enforcement officials announced Tuesday.
The Drug Enforcement Administration in the U.S. and the RCMP said the arrests signal the end of an 18-month investigation targeting illegal importation of pseudoephedrine from Canada into the U.S., dubbed "Operation Northern Star."
Pseudoephedrine is a normally legal chemical found in over-the-counter sinus medications. But it is also an essential ingredient in methamphetamine production. Also known as meth, speed or crank, methamphetamine is an illegal stimulant that acts on the central nervous system.
"Methamphetamine is a devastating, addictive drug that destroys human dignity," U.S. Justice Department Criminal Division chief Michael Chertoff said in a statement.
"We believe that Operation Northern Star has disrupted a major pseudoephedrine pipeline from Canada."
For the first time, investigators cracked down on every link of the drug ring, including suppliers of precursor chemicals, chemical brokers, transporters, manufacturers, distributors and the money launderers who helped conceal their criminal proceeds, officials said.
In the course of their investigation, agents targeted six executives from three Canadian chemical companies: G.C. Medical Products, Formulex, and Frega, Inc.
Police allege the executives arrested sold bulk quantities of pseudoephedrine to methamphetamine manufacturers in the United States, with the knowledge that the chemical was intended for illegal use.
Frega Inc., is charged criminally in Detroit for its role in supplying bulk quantities of pseudoephedrine to brokers in Cincinnati and Chicago.
Officials said that approximately 108 million tablets of pseudoephedrine originating from Frega Inc. was seized during the investigation. The drug was believed to be destined for manufacturing labs in the U.S., from where it would have yielded methamphetamine pills with a street value of between $36 US million and $144 US million.
Operation Northern Star is the fourth in a series of DEA-led investigations into the illegal international sale of pseudoephedrine.
According to the DEA, the success of previous investigations in the U.S. combined with tighter regulations to encourage meth producers to turn to Canadian suppliers for bulk pseudoephedrine.
During the course of Operation Northern Star, investigators monitored brokers in Chicago, Cincinnati, Detroit, and Los Angeles who arranged for bulk pseudoephedrine shipments from Canada.
Most of the shipments crossed into the U.S. at the Windsor-Detroit border, often hidden in tractor-trailers beneath legitimate products like bottled water and bubble gum.
Announcing the arrests, Canadian and U.S. drug enforcement officials said they've made a significant impact on a very lucrative business.
According to court documents and DEA statistics, one box of pseudoephedrine containing 80,000 60mg tablets can be purchased in Canada for approximately $900 US. After going through two to three brokers, the same box of pseudoephedrine would be sold to meth manufacturers in California for $18,000 to $20,000 US.
In a statement, RCMP Superintendent Raf Souccar expressed his satisfaction with the outcome of the joint operation.
"Today, you have witnessed the power of integrated policing. As criminal organizations do not respect borders, it takes true cooperation between law enforcement in our respective countries to bring transnational criminal organizations to justice."
