1. Chile $0.4226 Billion ($422.6 Million)


  2. Black Market Crime in Chile


Chile Security Threats

Data and information about security threats from Chile’s black market. Intelligence data and security information collected from government agencies, news articles and other public information sources.

Between 2011 and 2013, authorities in Chile seized 362,752 pirated books from stores across the country. The pirated books were valued at $1.5 Million. In 2013, a total of 6,559 pirated books valued at $106,000 were seized in Chile. The rate of seizures has increased in 2014, with 13,181 pirated books being seized in the first three months of the year, or more than doubled the total amount for 2013. Most of the pirated books seized in Chile are children’s books and literature books. However, police have seen an increase in pirated textbooks in 2014. For example, the textbook Atlas of Human Anatomy is the main book used for health programs in universities in Chile. Officials have seized 34 pirated copies in the first 3 months of 2014. The pirated textbook costs $35, while an original copy of the textbook cots $200. According to security officials, pirated book smugglers from Peru have strapped copies to their bodies and have smuggled it into the country by copying the tactics of drug traffickers.

A study conducted by the Mexican House of Representatives reported on the top countries in Latin American where money laundering cases occurs.

The countries and the amount of money laundered is as follows:

Brazil: $2.9 Trillion (5 percent of GDP).

Mexico: $1.1 Trillion (3.6 percent of GDP).

Chile: $268.27 Billion (4 percent of GDP).

Peru: $200 Billion (4 percent of GDP).

Ecuador: $70 Billion (4 percent of GDP).

According to an anti-money laundering expert with Grant Thornton, money launderers follow a three steps process of placement, stratification and integration.

The first step of how money launders move their funds is by placing numerous small amounts into different financial institution. Then, the funds are deposited into various accounts around the world in order to move the money further away from its original source. The final step of the laundering process is to use those funds to purchase legal assets, such as real estate.

(More cases of money laundering.)

Source:  Sergio Ramos, “Money laundering by organized crime affects regional economy,” Infosurhoy, February 11, 2014.

Human traffickers were bringing illegal immigrants from Haiti into Chile. In the process of smuggling in the immigrants, the traffickers attempted to pay border officials $400 per immigrants in bribes. The border patrol officials instead started an undercover operations to break up the ring.

Court documents state that the traffickers were selling immigrants in Chile for $1,000.

(More profits from human trafficking.)

Source:  Charlotte Karrlsson-Willis, “Chilean authorities thwart human trafficking operation,” Santiago Times, February 22, 2013.

In 2011, around 2,400 people from foreign countries were arrested for crimes in Chile. 70 percent of those arrested and in the criminal justice system were for drug smuggling activities.

48 percent of the drug arrests were of people from Bolivia, 34 percent from Peru, and 8 percent of the foreign nationals were from Argentina.

In 2011, up to 5 percent of the jail population in Chile were of foreign nationals.

Source:  Struan Campbell Gray, “Drug trafficking is the main crime of foreign nationals in Chile,” Santiago Times, February 13, 2012.

In 2010, police in Chile seized 69,866 counterfeit goods items valued at $427,670. Among the counterfeit goods seized were counterfeit cigarettes, fake clothing and counterfeit auto parts.

Between 2008 and 2010, police arrested over 12,500 people for selling counterfeit goods.

(More security threats and crime in Chile.)

Source: Kendra Ablaza, “Authorities Warn Of False Branding Of Chilean Consumer Goods,” Santiago Times, May 15, 2011.

The European Trade Commission reported that up to 35 percent of revenue for the audiovisual industry in Chile is lost each year to piracy.