Hong Kong and USA share proceeds of anti-drug co-operation

Concerted efforts by the narcotics law enforcement agencies of Hong Kong and the United States have paid dividends in the battle against international drug trafficking.

At a ceremony today (July 17), the Hong Kong government received a cheque for US$2,898,755 from the US Consul General, Mr James Keith, representing Hong Kong's share of confiscated assets following co-operation between the two governments in cracking the Claude Duboc case.

In early 1994, information from the U.S. Customs Service and the Drug Enforcement Administration revealed that Claude Duboc and John Knock were the masterminds of a significant marijuana and hashish smuggling syndicate operating in the U.S., Canada and Europe.

Duboc was arrested in Hong Kong in March that year and later extradited to the U.S. for trial. The Hong Kong Customs and Excise Department launched a financial investigation into the syndicate's activities in the territory.

In receiving the cheque, the Secretary for Security, Mrs Regina Ip, said it was one-tenth of the US$29 million in cash surrendered to the U.S. government by Duboc in 1994. The notorious drug trafficker was estimated to have amassed drug-related assets worth about US$100 million.

"These figures starkly illustrate the magnitude of illicit drug trade, and the paramount importance of international co-operation in combating drug trafficking and organised crime," Mrs Ip said.

She said Hong Kong and the U.S. had enjoyed excellent law enforcement co-operation in a wide range of areas for many years and since 1998 had shared confiscated proceeds of drug trafficking on four occasions.

"As we all know, criminal activity and the proceeds of crime do not stop at national borders. That is why it is vitally important for different jurisdictions to join hands in fighting trans-national crime and confiscating the proceeds of those criminal activities," Mrs Ip said.

"One of the lessons we learned from the terrible events of September 11 is that we cannot take our safety and security for granted. And that is why we are more alert than ever to the dangers of money laundering and terrorist financing, and the need for cross-boundary co-operation."

Mrs Ip said more sharing of the drug proceeds would be made as more of Duboc's criminal assets were uncovered and confiscated.

The Consul General, Mr Keith, said today's ceremony represented nine years of joint investigation by U.S. and Hong Kong law enforcement authorities to break a major marijuana money laundering ring.

"Hong Kong Customs greatly contributed to the overall effort by carefully investigating bank accounts, seizing assets, and sharing information with the U.S. Drug Enforcement Administration," he said.

"This cheque presentation is the latest in a series of joint law enforcement efforts, including the extradition two weeks ago of Chui-ping Cheng, aka 'Sister Ping,' an accused human smuggler and financier who had fought a three-year extradition battle to elude U.S. prosecution," Mr. Keith said.

On the counter-terrorism front, he said, the U.S. appreciated the close co-operation with Hong Kong law enforcement authorities.

"Hong Kong has an important role to play given its status as a major financial and transportation hub," Mr Keith said.

End/Thursday, July 17, 2003