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How the government set up a fake bank to launder drug money (2012)

210 pointsby mdeck_almost 4 years ago

9 comments

reedjoshalmost 4 years ago
Everyone is surprised to find the government does shady stuff, but many of these operations are even acknowledged like Iran-Contra where the government sold arms to the embargoed Khomeini government to generate black money to fund the Contras.<p>&gt; Senior administration officials secretly facilitated the sale of arms to the Khomeini government of the Islamic Republic of Iran, which was the subject of an arms embargo.[2] The administration hoped to use the proceeds of the arms sale to fund the Contras in Nicaragua.<p><a href="https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Iran%E2%80%93Contra_affair" rel="nofollow">https:&#x2F;&#x2F;en.wikipedia.org&#x2F;wiki&#x2F;Iran%E2%80%93Contra_affair</a><p>It&#x27;s also discussed that the CIA does similar things with poppies to generate black money to fund regime changey activities.<p>Here&#x27;s one such article which is a weird source, but points to more mainstream sources for evidence.<p><a href="https:&#x2F;&#x2F;www.thelibertybeacon.com&#x2F;a-conspiracy-theory-that-became-a-conspiracy-fact-the-cia-afghanistans-poppy-fields-and-americas-growing-heroin-epidemic&#x2F;" rel="nofollow">https:&#x2F;&#x2F;www.thelibertybeacon.com&#x2F;a-conspiracy-theory-that-be...</a>
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saul_goodmanalmost 4 years ago
Let&#x27;s see, so they didn&#x27;t nab any of the big players in the operation. So effectively they helped the biggest players by making it harder for the small to mid-tier drug cartels do conduct business. Sure, way to put the squeeze on the cartels there...<p>A tangent to this is the way we conduct drug enforcement in the US. It&#x27;s much better for police departments to wait until after the dealers make money to catch them so they can seize the cash as part of the crime. This dis-incentivises the actual prevention of the spread of illegal drugs. The entire system is corrupt and there&#x27;s little to no incentive for the authority to behave in the spirit of the laws they enforce - to raise public health by eliminating the personal health and social problems that drug addition creates.
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ptsnevesalmost 4 years ago
I always wonder how this is legal in the U.S.A? Creating a fake bank in another country sounds like committing fraud in another country. At worst it can be they would be charged with money laundering themselves.<p>What is the line of what is acceptable at entrapment in the United States? What stops any agency from creating permanent fake banks for example?<p>I am glad drug lords get busted. I hate them, but I think if there is no line, then we do not need any kind of law. Just declare drug traffickers as not human and exterminate them. I do not think the outcome would be good.
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fnord77almost 4 years ago
text version<p><a href="https:&#x2F;&#x2F;www.publicradioeast.org&#x2F;post&#x2F;episode-418-how-government-set-fake-bank-launder-drug-money" rel="nofollow">https:&#x2F;&#x2F;www.publicradioeast.org&#x2F;post&#x2F;episode-418-how-governm...</a>
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pxltalmost 4 years ago
Similar to this story that broke today, where the FBI secretly ran an &#x27;encrypted&#x27; messaging network as a two-year sting operation<p><a href="https:&#x2F;&#x2F;www.theverge.com&#x2F;2021&#x2F;6&#x2F;8&#x2F;22524307&#x2F;anom-encrypted-messaging-fbi-europol-afp-sting-operation-trojan-shield-greenlight" rel="nofollow">https:&#x2F;&#x2F;www.theverge.com&#x2F;2021&#x2F;6&#x2F;8&#x2F;22524307&#x2F;anom-encrypted-me...</a>
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ttulalmost 4 years ago
Today’s version would be a crypto exchange with its own USD stable coin.
ChrisArchitectalmost 4 years ago
transcript: <a href="https:&#x2F;&#x2F;www.npr.org&#x2F;transcripts&#x2F;694548245" rel="nofollow">https:&#x2F;&#x2F;www.npr.org&#x2F;transcripts&#x2F;694548245</a>
trhwayalmost 4 years ago
Government provides an encrypted platform, a bank for money laundering, ... the supply chain has long been CIA side hustle. Basically private drug criminals are really federal contractors by now.
strathmeyeralmost 4 years ago
Three short paragraphs? Do we have to install the app or something?
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