Criminals had proceeds of $2.1 trillion (excluding tax evasion) in 2009 of which around $1.6 trillion may have been laundered - around 20% of that may have come from the illicit drug trade, according to a new report from United Nations Office on Drugs and Crime (UNODC). This figure is in line with the range of two to five per cent of global GDP previously established by the International Monetary Fund (IMF) to estimate the scale of money-laundering. The report, entitled Estimating illicit financial flows resulting from drug trafficking and other transnational organized crime, also says that the “interception rate” for anti-money-laundering efforts at the global level remains low. Not Getting Caught? Globally, it appears that much less than one per cent of illicit financial flows are currently being seized and frozen. “Tracking the flows of illicit funds generated by drug trafficking and organized crime and analyzing how they are laundered through the world’s financial systems remain daunting tasks,” according UNODC Executive Director Yury Fedotov, who launched the report today in Marrakech, Morocco, during meeting of the Conference of the Parties to the UN Convention on Corruption. The report points out that “dirty money” promotes bribery and corruption, finances insurgency and, in some cases, terrorist activities. It also destabilizes and deters legitimate enterprise, foreign investment and development. (READ – “Fight Corruption in Developed & Developing Countries” - diplomaticallyincorrect.org/films/blog_post/fight-corruption-in-developed-developing-countries-by-ambassador-mo/27671 ). Illicit Drug Trade-Most Cocaine Profits made by “Traders”: The illicit drugs trade, which accounts for half of all transnational organized crime proceeds and one fifth of all crime proceeds, is the most profitable sector, UNODC notes. The report focused on the market for cocaine, probably the most lucrative illicit drug for transnational criminal groups. Traffickers’ gross profits from the cocaine trade stood at around $84 billion in 2009. While Andean coca farmers earned about $1 billion, the bulk of the income generated was in North America ($35 billion) and in West and Central Europe ($26 billion). Close to two thirds of that total may have been laundered in 2009.The findings suggest that most cocaine-related profits are laundered in North America and in Europe. The main destination to process cocaine money from other subregions is probably the Caribbean. (READ – “Cocaine Use Surges in Europe” - diplomaticallyincorrect.org/films/blog_post/cocaine-abuse-surges-in-europe-un-by-ambassador-mo/27891 ). The report says that for drug-related crime, there tends to be a significant “re-investment” of illicit funds into drug trafficking operations which have major negative implications for society at large. Once illegal money has entered the global and financial markets, notes UNODC, it becomes much harder to trace its origins, and the laundering of ill-gotten gains may perpetuate a cycle of crime and drug trafficking. FILM REPORT – “Designer Drugs Rise” - diplomaticallyincorrect.org/films/movie/designer-drugs-rise/27553 By Ambassador Muhamed Sacirbey Facebook – Become a Fan at “Diplomatically Incorrect” Twitter – Follow us at DiplomaticallyX War Crimes Justice” Channel - diplomaticallyincorrect.org/c/war-crimes-justice