1. Drugs and Drug Trafficking
Week Nine:
Drugs and Drug Trafficking

2. Chapter Outline Introduction & Overview
Brief History of Drugs & Drug Trafficking in North America
Heroin
Fentanyl
Cocaine
Marijuana
Hashish
Synthetic (Chemical) Drugs

3. Learning Objectives
After reading this chapter, you should have an understanding of:
Significance of drug trafficking in the repertoire of organized crime
History of illegal drug smuggling & trafficking affecting Canada
Organized crime genres involved in drug trafficking
Recent trends & developments concerning drug trafficking in Canada
Which illegal drugs are dominant in Canada’s black market
Source countries for illegal drugs imported into Canada
The rise in the domestic production of illegal drugs & Canada’s role as an international source country for marijuana & synthetic drugs

4. Introduction
Drug trafficking represents the most widespread & profitable organized criminal undertaking.
Drug trafficking transformed OC, by paving the way for:
A proliferation of OC groups & an increase in their scope & power
Increased cross-border criminal activity
Increased co-operation & networking among offenders & groups
The rise of multi-millionaire & billionaire “drug lords”
An unprecedented level of corruption in both illegal drug source & drug consuming countries
continued . . .

5. Introduction . . . continued
A level of social harm that is unparalleled among organized crimes
The unprecedented mobilization of enforcement resources to combat the illegal drug problem
A meteoric spike in the correctional population (especially in the US but also in Canada) & the disproportionate incarceration of members of visible minority groups
Debate over the effectiveness of the war on drugs & the broader issue of whether drugs should be legal or illegal to minimize their negative impact on society & to control organized crime

6. Introduction
The logistics of large-scale drug trafficking necessitates a certain level of organization requires:
A multi-layered process – including cultivation, refinement, transportation, storage, retail distribution, political payoffs, security, money laundering
Large scale smuggling & trafficking on a continuing basis necessitates a high level of organization & planning
Cooperation & coordination often among numerous individuals & organizations
Drug trafficking (from production to retail distribution) is carried out through networks

7. Brief History of Drug Trafficking in North America
Narcotic drugs were legal in U.S. & Canada until 20th C.
Opium & cocaine were active ingredients in numerous over-the-counter medicines & elixirs
Opium consumed (eaten) for recreational purposes
Chinese immigrants brought the practice of smoking opium to NA
50% tariff on (legal) opium led to smuggling into Canada
Early 20th C.: B.C. becomes centre for processing smokeable opium
Much of the finish product smuggled into the U.S. (to avoid American tariffs)

8. Brief History of Drug Trafficking in North America
Genesis of Modern-day Drug Trafficking
1908: Canadian government enacts the Opium Act, prohibiting the sale, importation, & manufacture of opium.
For the first time, a narcotic substance was outlawed in Canada
Other narcotic drugs (e.g., cocaine, marijuana) soon outlawed
Post WWI: drug trade becomes more organized & lucrative as demand increases
Vancouver & Montreal emerge as major conduits for heroin & other drugs smuggled into North America

9. Brief History of Drug Trafficking in North America
Post WW II
Italian mafia groups become major heroin traffickers in North America
Mafia groups in Quebec & Ontario are central to smuggling heroin into North America
French Connection becomes largest international drug smuggling & trafficking conspiracy to date
Much of Canada’s heroin supply eventually comes from “Golden Triangle”
Smuggling & wholesale distribution dominated by Chinese OC

10. Brief History of Drug Trafficking in North America
Drugs in the Psychedelic Era & Beyond
Beatniks, hippies & other counter-culture movements spur huge rise in demand for illegal drugs
Increasing profitability & organization of drug trafficking
New OC genres & groups compete with Italian mafia groups
OMGs become dominant in chemical drugs & then cocaine
Chinese crime groups become dominant in heroin smuggling/trafficking
Colombia dominates cocaine trafficking
Canada becomes major producer of marijuana & chemical drugs (for export to US & other countries)

11. Heroin
Heroin is a derivative of morphine, which is produced from the opium poppy.

12. Afghanistan is the world’s largest source of heroin

13. Heroin The majority of heroin in Canada is from Southeast Asia (SEA)
Large airports are also a popular smuggling conduit
SEA heroin is smuggled into Canada by
People travelling aboard aircraft (swallow, luggage)
Packages mailed from Asia
cargo shipments via freighters & airlines
SEA heroin trafficking networks connect independent brokers & shippers in Asia to Chinese criminal wholesalers in Canada

14. Cocaine
Cocaine is produced from coca plants; Peru is the single largest producer of coca leaves in the world

15. Cocaine Early 20th C: cocaine identified with the urban underworld
1930s: cocaine was criminalized in US & Canada
1930s until the 1960s: limited demand & supply
1970s: cocaine becomes the drug of choice; no longer associated with criminal deviants but with elites
As demand escalates, cocaine industry changes:
Laboratories spring up in Peru, Bolivia, & Colombia
Increased production, distribution & sophistication
Formation of Colombian cartels

16. Cocaine Cocaine trafficking in Canada
1970s-80s: Colombian cartels the main suppliers
Had their own distribution cells & also wholesaled to other groups
Today, major importers & wholesalers are Hells Angels, Italian-Canadian mafia groups, Montreal’s West End Gang groups, & numerous other independent groups
Canadian-based groups now deal directly with Colombia
Traditionally marine ports were main entry ports
Since Mexican cartels now dominate cocaine trade, it enters Canada through official land border ports (on board tractor-trailor trucks)

17. Fentanyl
Synthetic opioid analgesic 80 times more potent than morphine & 15 to 20 times more potent than heroin
Powder imported from China & pressed into pills
Often manufactured & sold as OxyContin
Fentanyl being found in numerous other chemical drugs
All of the above have contributed to an epidemic of overdoes in Canada (it is now a public health emergency)
Hells Angels & Chinese criminal networks are the largest wholesalers in Canada
Although there are numerous independent producers

18. Marijuana Never a popular drug during 19th or early 20th centuries
Nonetheless, it was caught up in drug prohibition laws in the first half of the 20th century.
Like other drugs, prohibitionists equated marijuana with racial minorities, crime, psychoses, as well as highly exaggerated & unsubstantiated evil properties.
Became the most widely used illegal drug in the 1960s

19. Marijuana
For years, marijuana consumed in Canada was imported from tropical climes (which maximized THC levels)
Canada now a source country for high-potency pot, much of which is grown indoors.
Indoor grow ops have become an enormous & lucrative industry in this country, producing a potent form of marijuana

20. Marijuana Proliferation of marijuana production in Canada is due to:
Relatively low level of capital required to begin operations
Advances in cultivation technology & the widespread & legal availability of equipment
A high profit potential
A large & receptive consumer market—both domestically & internationally
The internationally recognized quality of Canadian-grown pot
The relatively lenient penalties for marijuana offences in this country

21. Marijuana
Police cases have turned up large, decentralized grow operations controlled by outlaw motorcycle gangs
Asian criminal organizations are major players
Most marijuana production in Canada is attributed to small independent growers
A good percentage of Canadian marijuana is smuggled to the US, where it is very popular & fetches a high price
Criminal groups have infiltrated medicinal marijuana production
Illegal production will most likely continue following legalization as illegal pot is shipped to foreign markets

22. Hashish
Hashish contains the drug-rich residues of cannabis, which is dried, & then compressed
Cannabis resin (hashish oil) is a dark, viscous liquid, the result of repeated extractions of cannabis plant materials.
Most hash (& oil) is imported from Lebanon, Pakistan, Afghanistan, Morocco, Jamaica
Montreal’s West End Gang the single largest importer importation of hashish (much of which stays in Quebec)

23. Synthetic (Chemical) Drugs
The underground drug market also includes an array of chemical drugs, which are synthetically produced.
Lysergic Acid Diethylamide (LSD)
Amphetamines
Methamphetamine (also called meth, crank, ice, speed)
Phencyclidine (PCP)
Ecstacy
Gamma Hydroxybutyrate (GHB) – date rape drug
MDMA (ecstacy)
Crystal Meth

24. Synthetic (Chemical) Drugs
Canada is now a major producer of synthetic drugs (in particular ecstacy & crystal meth)
OMGs & Chinese criminal networks the largest producers & distributors or chemical drugs
In recent years, Canada has become exporter to the U.S. & Pacific Rim countries
Crystal Meth

25. Conclusion to Part III Salient features of organized crimes in Canada:
They encompass both predatory, consensual & hybrid crimes
Includes trafficking in both goods & services
Includes transactions in the underground economy & the legitimate economy
Smuggling has long been connected to a number of dominant organized crimes
Continued . . .

26. Conclusion to Part III
Salient features of organized crimes in Canada (cont.):
Are facilitated by corruption of public- & private-sector actors, although not absolutely necessary
Drug trafficking is a staple of most OC groups & networks in this country
Criminal groups are extremely opportunistic in developing & marketing new illicit goods, services, & markets
Frequently cross provincial borders as well as national borders

27. Conclusion to Part III
None of the organized crimes described in this part of the book are unique to Canada.
As such, there is no distinctive Canadian take on organized criminal activities
Canada plays different roles in the global theatre of transnational OC:
a consumer of international illegal goods & services
a source of counterfeit consumer goods & mass marketing fraud
a source, destination, & transit country for international migrant smuggling, human trafficking, & illegal drugs