HONG KONG 2009-2010 INTERNATIONAL NARCOTICS CONTROL

UNCLAS SECTION 01 OF 04 HONG KONG 002025 SIPDIS STATE FOR EAP/CM STATE ALSO FOR INL/AEE FOR JOHN LYLE E.O. 12958: N/A TAGS: SNAR HK SUBJECT: HONG KONG 2009-2010 INTERNATIONAL NARCOTICS CONTROL STRATEGY REPORT (INCSR) PART I, DRUG AND CHEMICAL CONTROL ¶1. Summary: The Hong Kong Special Administrative Region (HKSAR) is not a major transshipment point for illicit drugs destined for the international market. Some narcotics shipments do transit Hong Kong's high volume port, but its efficient law enforcement efforts, the availability of alternate routes, and the development of port facilities elsewhere in southern China prevent the HKSAR from becoming a major transshipment point. Some traffickers continue to operate out of Hong Kong, arranging shipments from nearby drug-producing countries via Hong Kong to other international markets, including to the United States. The HKSAR Government actively combats drug trafficking and abuse through legislation and law enforcement, preventive education and publicity, treatment and rehabilitation, as well as research and external cooperation. The 1988 UN Drug Convention, to which the People's Republic of China (PRC) is a party, also applies to Hong Kong. ¶2. Status: Hong Kong's position as a key port city in close proximity to the Golden Triangle and mainland China historically made it a natural transit/transshipment point for drugs moving from Southeast Asia to the international market, including to the United States. In recent years, Hong Kong's role as a drug transshipment point has diminished due to law enforcement efforts and the availability of alternate routes in southern China. Despite this diminished role, some drugs continue to transit Hong Kong to other international markets. Some drug traffickers continue to use Hong Kong as their financial base of operations, including investors involved in international drug trafficking activity who reside in Hong Kong. Drug trafficking groups operating in Hong Kong are primarily transnational in nature. Hong Kong law enforcement officials maintain very cooperative liaison relationships with their U.S. counterparts in the fight against drugs. According to HKSAR authorities, drugs seized in Hong Kong are smuggled mostly for local consumption and to a lesser extent for further distribution in the international market. Statistics released by the Hong Kong Central Registry of Drug Abuse (HKCRDA) for 2008 indicate the number of reported drug abusers declined from 14,115 in 2005 to 13,252 in 2006. In 2007 this figure increased slightly to 13,591, whereas 2008 saw a marked increase to 14,175. Newly-reported drug users age 30 and under account for the largest increases since 2007. Though heroin was once the most commonly abused drug in Hong Kong, the number of heroin abusers continued its steady decline in 2008 with 7,243 heroin abusers reported, compared to the 7,419 reported in 2007. For the second year in a row, HKCRDA also reported a larger number of psychotropic substance abusers than heroin abusers. In 2008, 8,306 psychotropic abusers were reported, an increase from the 7,908 psychotropic abusers reported in 2007. Ketamine is the most commonly abused psychotropic substance with over 5,000 abusers, approximately 1,000 more since 2007. Triazolam/midazolam/zopiclone, methamphetamine, MDMA, cannabis, cocaine, and cough medicine are also regularly abused. In 2009, the Hong Kong Government continued its efforts to combat psychotropic substance abuse, particularly among Hong Kong's youth. Beginning in December 2009, approximately 22,000 students in 23 Hong Kong secondary schools will take part in a voluntary drug testing pilot program through the remainder of school year 2009/2010. Although public opposition to student drug testing on grounds of privacy concerns initially stalled this project, the Hong Kong Government stepped up its drug prevention public outreach against a backdrop of widely reported psychotropic substance abuse cases involving children. The goals of the school drug testing pilot program are to deter youth substance abuse, to facilitate early intervention for identified abusers, and to gain empirical data applicable to further substance abuse prevention programs. ¶3. Actions Against Drugs in 2009 Policy Initiatives: The Hong Kong Government continued to employ existing counternarcotics policies and strategies in drug prevention efforts. As previously discussed, the formerly stalled plan for voluntary drug testing in Hong Kong schools is moving forward with a pilot program commencing December 2009, despite some public opposition. Law Enforcement Efforts: Hong Kong's law enforcement agencies, including the Hong Kong Police and Hong Kong Customs and Excise Department (HKCE),place high priority on meeting the objectives of the 1988 UN Drug Convention. Their counternarcotics efforts focus on the suppression of drug trafficking and the control of precursor chemicals. The Hong Kong Police have adopted a three-level approach to combat narcotics distribution: headquarters level focus is on high-level traffickers and international trafficking; the regional police force focuses on trafficking across police district boundaries; and the district-level police force has responsibility for eradicating street-level distribution. HONG KONG 00002025 002 OF 004 The HKCE's Chemical Control Group, in cooperation with the U.S. Drug Enforcement Administration (DEA) office in Hong Kong, continues to closely monitor the usage of precursor chemicals and tracks the export of suspicious precursor chemical shipments to worldwide destinations with significant results impacting on several regions, including the United States. Corruption: The Government of Hong Kong SAR does not encourage or facilitate illicit production or distribution of narcotic or psychotropic drugs or other controlled substances, or the laundering of proceeds from illegal drug transactions. No senior government official is alleged to have participated in such activities. Hong Kong has a comprehensive anticorruption ordinance that is effectively enforced by the Independent Commission Against Corruption (ICAC),which reports directly to the Chief Executive. In addition, the UN Convention Against Corruption, which the PRC ratified on January 13, 2006, is applicable to Hong Kong. Agreements and Treaties/International Cooperation: Upon resuming the exercise of sovereignty over Hong Kong, the PRC advised the UN Secretary General that the 1961 Single Convention, as amended by the 1972 Protocol, the 1971 Convention on Psychotropic Substances, and the 1988 UN Drug Convention apply to Hong Kong. The UN Convention against Transnational Organized Crime and the UN Convention against Corruption also apply to Hong Kong. Hong Kong has Mutual Legal Assistance in Criminal Matters Agreements (MLAA) with the United States and many other countries. Hong Kong currently has signed Surrender of Fugitive Offenders Agreements with Australia, Canada, Finland, Germany, India, Indonesia, Ireland, Korea, Malaysia, the Netherlands, New Zealand, Philippines, Portugal, Singapore, Sri Lanka, the United Kingdom, and the United States. Hong Kong has also signed Transfer of Sentenced Persons Agreements with eight countries, including the United States. Hong Kong law enforcement agencies enjoy a close and cooperative working relationship with their mainland counterparts and those in many other countries. Hong Kong participates in Project Prism and Operation Cohesion, both managed by the International Narcotics Control Board, to control the illegal diversion of chemical precursors. Hong Kong also participates in joint tracking programs, which allow HKCE and the U.S. DEA to target the movement of precursor chemical shipments exported from, transshipped or transiting via Hong Kong to high-risk countries. In addition to the monitoring of controlled chemical precursors, Hong Kong monitors the movement of ephedra, a raw material for the manufacture of ephedrine. Cultivation and Production: Hong Kong is generally not considered a significant producer of illicit drugs. However, Hong Kong law enforcement authorities dismantled an indoor cannabis cultivation operation and six small-scale crack cocaine production labs in 2009. Drug Flow/Transit: Some drugs continue to transit Hong Kong for destinations in overseas markets, including Australia, China, Japan, Taiwan, Europe, and the United States. In September 2009, HKCE officials seized two DHL packages destined for Sacramento, California, containing approximately 46 kilograms of opium concealed in wooden carvings and drums. On July 2009, Hong Kong law enforcement officials were alerted to a shipment of 196 one-kilogram bags of sugar and rice originated in India and destined for Taiwan, seizing a one-kilogram bag of ketamine. Cocaine, amphetamine-type stimulants (ATS; such as methamphetamine and MDMA),and ketamine continue to be smuggled into Hong Kong. Although local cocaine consumption is often sourced out of Southern China (Guangdong Province),cocaine was transported directly into Hong Kong from locations other than mainland China during 2009. In August 2009, HKCE arrested at the Hong Kong International Airport an arriving passenger possessing approximately six kilograms of cocaine hidden within checked luggage clothing articles. The suspect had traveled to Hong Kong from Lima, Peru, by way of Sao Paulo, Brazil and Johannesburg, South Africa. On another occasion, a female courier was arrested at Sao Paulo, Brazil's Guarulhos International Airport also bound for Hong Kong with approximately 3.87 kilograms of cocaine concealed in shampoo bottles. The female courier's itinerary was: Lima, Peru; Sao Paulo, Brazil; Amsterdam, the Netherlands; Hong Kong. The heavy volume of vehicle and passenger traffic at the land boundary between mainland China and Hong Kong poses difficulties in the fight against the trafficking of drugs into and out of Hong Kong. In an effort to curb Hong Kong's role as a transit/transshipment point for illicit drugs, the HKSAR maintains a database of information on all cargo, cross-border vehicles, and shipping. The air cargo clearance system, the land border system, and the customs control system are all capable of quickly processing information on all import and export cargoes, cross-border vehicles and vessels. The local Chinese population dominates the Hong Kong drug trade. Contrary to common belief, a significant and direct HONG KONG 00002025 003 OF 004 connection between Hong Kong narcotics activity and Hong Kong triads at the wholesale and manufacturing level does not exist. Therefore, drug investigations are not focused on known triad societies, but rather on the particular trafficking syndicates or individuals involved. Trafficking destined for mainland China by Southeast Asians remains prominent. Domestic Programs/Demand Reduction: The Hong Kong Government uses a five-pronged approach to confront domestic drug problems, including legislation and law enforcement, preventive education and publicity, treatment and rehabilitation, research, and external cooperation. In 2009, the Hong Kong Government's preventative education policy efforts continued to focus on youth and parents. The Hong Kong Government provides a comprehensive drug prevention program throughout Hong Kong's education system. In 2009, the Hong Kong Narcotics Division continued efforts to educate Hong Kong adolescents about the detrimental effects of commonly abused drugs by using public interest announcements through TV and radio broadcasts, short internet films, and wide dissemination of posters and printed materials. The Narcotics Division also partners with youth organizations and groups such as Junior Police Call, the Hong Kong Red Cross, and the Scout Association of Hong Kong to promote its youth anti-drug message. The Hong Kong Government continued its comprehensive public awareness campaign to educate the public about the harmful effects of ketamine and ecstasy, the two most commonly abused drugs among youth. Since June 2004, the Hong Kong Narcotics Division has also disseminated its anti-drug message through multimedia exhibits at the Hong Kong Jockey Club Charities Trust-funded Drug Information Centre (DIC). The Government also continued to commission nongovernmental organizations to assist in educating primary and secondary school children by sponsoring counternarcotics education programs in local schools and conducting counternarcotics seminars with parents, teachers, social workers and persons from various uniformed groups. The Hong Kong Government continued to implement its comprehensive drug treatment and rehabilitation program in 2009. The Government's fifth Three-year Plan on Drug Treatment and Rehabilitation Services, released in April 2009, sets out the overall direction for enhancing Hong Kong's treatment and rehabilitation services and increases focus on early intervention efforts and programs that reach out to substance abusers. The Department of Health and the Social Welfare Department operate seven residential drug treatment centers and several counseling centers for psychotropic substance abusers. The Correctional Services Department continued to provide compulsory treatment for convicted persons with drug abuse problems. While these programs are welcomed in principle, Hong Kong residents are averse to having treatment and rehabilitation programs in their neighborhoods. ¶4. U.S. Policy Initiatives and Programs Bilateral Cooperation: The U.S. Government and the HKSAR continue to promote sharing of proceeds from joint counternarcotics investigations. In May 2003, Hong Kong began participating in the U.S. Container Security Initiative (CSI),which U.S. law enforcement believes increases the potential for identifying shipments of narcotics, even though its focus is on terrorism and weapons of mass destruction. Hong Kong is also an active participant in the International Law Enforcement Academy (ILEA) in Bangkok, Thailand. From 2003 to October 2005, HKCE, Hong Kong Department of Health, and the U.S. DEA launched a joint operation to monitor the movement of precursor chemicals used in the production of methamphetamine and other drugs from Hong Kong to high-risk countries. The operation effectively decreased the frequency of these shipments and, through the high level of information exchange and timely international tracking, was indicative of the strong cooperation between Hong Kong Government officials and their U.S. counterparts. To further strengthen international cooperation against illicit drug precursor trafficking, Hong Kong secured an agreement with the U.S., Mexico and Panama to impose stringent shipment controls in April ¶2005. Since the agreement's implementation, no large-scale shipments of such products to Mexico or other high-risk countries have been detected. Another cooperative chemical initiative was implemented in February 2006 between the Hong Kong Government and the U.S. DEA to monitor and track precursor chemical shipments sourced from countries or territories in Asia, which transit through Hong Kong, and are destined for high-risk countries. The Road Ahead: The Hong Kong Government continues to be a valuable partner in the fight against drug trafficking and abuse. Hong Kong law enforcement agencies, among the most effective in the region, continue to cooperate closely with U.S. counterparts. The U.S. Government will continue to encourage Hong Kong to maintain its active role in counternarcotics efforts. HONG KONG 00002025 004 OF 004 MARUT