I. Summary

Drug trafficking is a significant issue for Albania. Organized crime organizations use Albania as a transit point for drug and other types of smuggling due to its strategic location, weak police and judicial systems, and lax border controls. The most common illegal drugs are heroin, cocaine, and marijuana. Heroin is typically routed through the "Balkans Route" of Turkey-Bulgaria-Macedonia (FYROM)-Albania, and on to Italy and Greece. Cocaine is smuggled by air from the United States and South America, passing through Albania on the way to Western Europe. Although Albania is not a major transit country for drugs coming into the United States, it remains a country of concern to the United States. Drug abuse is a growing problem, but remains on a small scale compared with Western Europe. Statistics continue to be unreliable on drug trafficking or use, and the public is generally unaware of the problems associated with drugs.

The Government of Albania (GOA), largely in response to international pressure and with international assistance, is in the early stages of attempting to confront criminal elements more aggressively. This continues to be an uphill battle because of lack of resources and corruption in Albania. The government established an counternarcotics unit in 1998 under the Ministry of Public Order, and in 2001 approved a law on the prevention of illegal trafficking of narcotics and the establishment of the inter-ministerial drug control committee. On June 27, 2001, Albania became a party to the 1988 UN Drug Convention and the 1961 UN Single Convention on Narcotic Drugs, as amended by the 1972 Protocol.

The government is continuing its efforts to build security and stability throughout Albania. Police professionalism has increased in the past five years, especially among units that defend public order. The judiciary is engaged in improving the criminal justice system with technical assistance from the United States Government, though it remains weak and subject to corruption. The previous government of Prime Minister Ilir Meta, who resigned on January 29, 2002, had begun, with international assistance, to implement commitments to crack down on organized crime. The new Prime Minister is expected to continue these efforts. The Albanian military and police work with the Italian police and coastal patrol organizations to shut down smuggling runs of illegal immigrants, drugs, and other contraband across the Adriatic to Italy. The vast majority of interdictions, however, are actually organized and executed by the Italians.

Plagued by severe unemployment, crime, and lack of infrastructure, the Albanian public focuses little public attention or debate on the problem of drug abuse. There are no independent organizations that compile data on drug use in Albania, nor are significant government assets dedicated to tracking the problem. But Albania is experiencing an upsurge in drug abuse by younger Albanians. Heroin and marijuana abuse is growing; cocaine and crack are also available, but expensive, keeping their use more or less marginal. Heroin is imported from the Former Yugoslav Republic of Macedonia, but originates in Turkey or Afghanistan; marijuana is produced domestically. The UNDCP believes that drug use, especially among adolescents in cities, is on the rise. There are no special treatment centers for drug addicts, although the Tirana Military Hospital’s Toxicology Clinic treats overdose cases.

Policy Initiatives. In 2001, the GOA approved a law on the prevention of the illegal trafficking of narcotics and on the establishment of the Inter-Ministerial Drug Control Committee. This law created a mechanism for national coordination of policies regarding use and trafficking of narcotics, and one of the first tasks of the Inter-Ministerial Drug Control Committee will be the development of a national counternarcotics strategy. This law also established a framework to improve criminal investigations in drug-related cases by creating a formal structure for the Ministry of Public Order’s counternarcotics service, originally established in 1998. The counternarcotics service currently includes 100 police officers and agents, but remains understaffed and ill equipped. While some of the service’s counternarcotics units in Albania’s 12 police directorates have received equipment from the UNDCP, the majority must rely on local police budgets, which do not allow for the purchase of vehicles or surveillance equipment. With international assistance, the GOA also established an anti-trafficking center in Vlora in 2001. While this office is still not staffed, the center offers a potential vehicle for the government to increase significantly its role in confronting trafficking in drugs, weapons, and persons. The GOA works with its Balkan neighbors bilaterally and in regional initiatives to combat organized crime. Albania is a participant in the Stability Pact and the Southeast European Cooperation Initiative (SECI).

Law Enforcement Efforts. Authorities report that in 2001, police arrested 353 persons for drug trafficking, all but four of whom were Albanian nationals. The police seized 4.5 kilograms of heroin, 266 grams of cocaine, 6,915 kilograms of marijuana, 600 grams of cannabis seeds, 2.8 kilograms of red poppy seeds, and 1.3 liters of methadone. Police also destroyed three cannabis laboratories. According to the counternarcotics service, police targeted larger smuggling operations in 2001, resulting in the seizure of U.S. $1 million in cash and several key arrests. Police also have the power to seize assets, such as speed boats, used in smuggling operations, but only seized one boat in 2001 as a direct result of a drug investigation.

Precursor Chemical Control. Albania is not a producer of significant quantities of precursor chemicals. Albanian law does not address precursor chemicals.

Cultivation/Production. With the exception of cannabis, Albania does not produce illicit drugs. According to authorities of the Ministry of Public Order’s counternarcotics service, cannabis is currently the only drug grown and produced in Albania, and is typically for consumption or sale in Belgium, France, Germany, Greece, and Italy. Metric ton quantities of Albanian marijuana have been seized in Greece and Italy. Counternarcotics authorities do not have the capacity to determine crop sizes and yields, but they estimate that police destroyed more than 281,000 marijuana plants in 2001 in 129 locations throughout Albania. Police also destroyed 100 red poppy plants in northern Albania in 2000 and seized 2.8 kilograms of red poppy seeds in 2001, but have detected no new poppy plantings. The Ministry believes that this may have been an experiment to see if poppies could be grown in Albania.

Distribution. Corruption among police and magistrates hampers efforts to crack down on drug distribution, though distribution is less of a problem than transit of illegal narcotics for international trafficking. However, police may become more effective at combating distribution as the capacity of the counternarcotics service develops.

Drug Flow/Transit. Heroin and cocaine are the main drugs that transit Albania. Authorities report that heroin typically follows through the "Balkan Route." Traffickers also use Albania as an entry point to Europe when smuggling cocaine by air from the United States and Latin America. Domestically produced marijuana is smuggled to Belgium, France, Germany, Greece, and Italy.

Organized crime plays a significant role in drug trafficking, including the facilitation of sales, financial arrangements, and smuggling. The government, with significant help from the Italian authorities, has made some progress in interdicting narcotics smugglers at sea.

Agreements and Treaties. The United States has an extradition treaty with Albania that entered into force on November 13, 1935. Albania signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants in December 2000. Albania became a party to the 1988 UN Drug Convention and the 1961 UN Single Convention on Narcotic Drugs, as amended by the 1972 Protocol, on June 27, 2001. The GOA is also reportedly preparing materials to accede to the 1971 UN Convention on Psychotropic Substances.

Domestic Programs (Demand Reduction). Drug abuse is a comparatively new problem in Albania and the government and Albanian society have been slow to address it. Local and national authorities collect little data and do not believe the problem is particularly widespread, owing both to traditional cultural norms and low levels of discretionary income. The UNDCP addresses demand reduction in Albania through youth sports activities. The GOA estimates as many as 30,000 drug users in Albania in 2000, six times the amount estimated in 1995; but NGOs believe the figure is closer to 10,000. Of the overdose cases treated at the Tirana Military Hospital’s Toxicology Clinic, approximately 80 percent were injection drug users in 2001, up from only 20 percent in 1998.

Corruption. Corruption remains a deeply entrenched problem. While the GOA acts officially to combat drug trafficking, press reports have implicated government officials in smuggling operations. Low salaries and social acceptance of graft make it difficult to combat corruption among police, magistrates, and customs and border officials. If approved, a memorandum of understanding drafted in December 2001 between the Customs Service and the Border Police may help reduce the influence of corruption at Albania’s borders by instituting counternarcotics inspections of shipping containers before they are sealed by customs agents. The Ministry of Public Order’s Anti-Organized Crime Directorate became operational in January 2001 with technical assistance and training provided by the U.S. Department of Justice’s ICITAP and OPDAT with funding by the Department of State’s Bureau of International Narcotics and Law Enforcement Affairs (INL).

Bilateral and Multilateral Cooperation. The GOA continues to welcome assistance from the United States and Western Europe. The United States is intensifying its activities in the areas of public order and legal reform. U.S. advisors work closely with the Ministry of Public Order and the Ministry of Justice to combat organized crime and trafficking and to improve border control. The U.S. Department of Justice’s Border Patrol Tactical Unit conducted a comprehensive assessment in November and December 2001 of the capabilities of the Albanian Border Police and are developing proposals for initiatives to be implemented in 2002. Other USG, EU, and international programs include support for Albanian customs reform and enhanced border controls, continued judicial training, efforts to improve cooperation between police and prosecutors, and anticorruption programs.

The Road Ahead. The United States will continue to push the GOA to make progress on illegal drug trafficking, to use law enforcement assistance efficiently, and to support legal reform. U.S. assistance will continue to provide additional guidance and training to law enforcement and judicial bodies, including work on anti-trafficking and border security initiatives. Efforts by the EU, the UNDCP, and other international groups will provide the GOA with additional support.

Armenia

I. Summary

Armenia is not a major drug producing country and its domestic illicit drug consumption is relatively small. The Government of Armenia (GOAM), recognizing its potential as a transit route for international drug trafficking, has continued to work to improve its interdiction ability. The GOAM is currently considering draft legislation aimed at strengthening the police mandate to combat drug sales and trafficking. Together with Georgia and Azerbaijan, Armenia is engaged in a UN-sponsored "Southern Caucasus Anti-Drug Program" launched in 2001. Armenia is a party to the 1988 UN Drug Convention.

As a Caucasian crossroad between Europe and Asia, Armenia has the potential to become a transit point for international drug trafficking. At present, limited transport between the country and its neighboring states makes Armenia a secondary traffic route for drugs; however, the Anti-Drug Department (ADD) of the Ministry of Interior expects an increase in drug trafficking. Iran, the Russian Federation, and Lebanon are the main countries involved in drug trafficking to Armenia. Seventy-five percent of all opiates smuggled from Iran transit Armenia. Armenia’s borders with Turkey and Azerbaijan remain closed due to the Nagorno-Karabakh conflict, but when these borders open, drug transit could increase significantly. Armenia’s Interior Ministry maintains considerable information about regional drug trafficking, including a database on drug-transit sources, routes, and the people engaged in transit. However, the Ministry’s ability to combat drug trafficking is limited due to scarce government and human resources.

Drug abuse is not a serious problem in Armenia, and the local market for narcotics, according to the ADD, is not large. The main drugs of choice are opium and cannabis. Heroin and cocaine first appeared in the Armenian drug market in 1996 and since then there has been a small upward trend in heroin sales. Statistics for 2001 show a downward trend in drug abuse and seizures compared with the previous years. The reduction, according to the Interior Ministry’s experts, is explained partly by emigration and partly by the deterioration of living standards, which has forced drug addicts to switch to other, cheaper or self-made types of drugs.

Estimates of the number of drug addicts in Armenia vary from the most conservative—7,000—to the highest—20,000. The second figure is the estimate of Seda Jamalian, Armenia’s chief drug abuse expert and Deputy Director of the Narcotics Dispensary, who estimates that 50 percent of Armenian drug addicts consume opiates. In light of regional trends, Jamalian’s higher estimates seem more likely to be accurate. Fewer than 300 addicts are registered with the Republican Narcotics Dispensary, which was established to treat addicts while gradually weaning them off their addiction. The average cost to the state of treating one drug addict is approximately U.S.$250 over the several months that their de-toxification/rehabilitation program normally lasts. This is a considerable amount in Armenia.

Policy Initiatives. In 2001, Armenia, together with Georgia and Azerbaijan, joined the UNDCP South Caucasus Anti-Drug Program, aimed at harmonizing the counternarcotics legislation of the three Caucasus countries and drafting a model law on licit production of drugs available for use for all countries. According to the working group experts participating in the UNDCP program, this effort will include relevant changes and amendments in the new draft Armenian Criminal Code, which is anticipated to pass its third and final reading in 2002. In 2001, the draft "Law on Operative Investigative Activities" for the police, which regulates undercover operations and grants police officers the right to engage in "controlled purchase/delivery" of drugs, was sent by the Cabinet to the GOAM ministries for consideration. Once it is approved by the ministries, it will be sent to the Parliament, where final approval is likely.

According to the Interior Ministry’s experts, Armenia’s accession to the Council of Europe (COE) in January 2001 and the country’s commitment to improve its human rights record as part of its COE obligations led to the suspension of the controversial Article 229, part 5 of the current Criminal Code, which provided for administrative punishment and a six-month probation for a first time drug user. This article has been deleted from the new draft Armenian Criminal Code. The draft Code also includes a provision that for the first time makes money laundering a criminal offense.

Accomplishments. The amount of drugs confiscated during the first nine months of 2001 totaled 8.177 kilograms. The Interior Ministry reported that during the first nine months of 2001, the police eradicated 173,980 kilograms of wild (green) hemp and 3,379 kilograms of poppy under the Hemp and Poppy 2001 program.

Law Enforcement Efforts. In 1999, the Interior Ministry deployed joint teams of Armenian police and Customs representatives at each Customs post and checkpoint. The Ministry obtained 15 drug-sniffer dogs from Western Europe for use in screening for drugs. The canine program went well initially; however, training of the dogs has not been adequately maintained and their skills are not exercised on a regular basis, resulting in steadily decreasing skills of the dogs in the program.

Corruption. Although corruption is endemic in Armenia, there were no cases reported of government officials being involved in drug-related corruption in 2001.

Agreements and Treaties. Armenia is a party to the 1988 UN Drug Convention, the 1961 UN Single Convention, as amended by the 1972 Protocol, and the 1971 Convention on Psychotropic Substances. Armenia is a signatory to the 1992 Kiev and 1996 Dushanbe Narcotics Control Assistance Agreements of the NIS countries. In 1999, Armenia, Georgia, and Iran signed a trilateral Agreement on Cooperation to Combat Drug Trafficking. In 2000 Armenia ratified the Memorandum of Understanding among the UNDCP, Armenia, Georgia, and Iran on the Cooperation in Drug Control and Activities to Combat Money Laundering. Armenia has also signed bilateral agreements on cooperation combating illicit traffic in narcotics and psychotropic substances with the Customs Services of Turkmenistan and Georgia, and the Customs Committee of Tajikistan. Armenia signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants on November 15, 2001.

Cultivation/Production. According to the Office of Procurator General, some hemp and poppy grows wild, primarily in Ararat and Gegharkunik provinces in northern Armenia, and to a lesser extent in the provinces of Armavir, Lori, and Syunik. According to the Office of the Procurator General, no illicit laboratories producing synthetic drugs were discovered in 2001.

Drug Flow/Transit. Drug transit is recognized as a serious concern for the GOAM; however, no estimates of the total amount of drugs transported through Armenia are available. The main drug routes run from Iran to Russia and Ukraine.

The following are approximate black-market prices for illicit narcotics in Armenia:

Domestic Programs (Demand Reduction). According to health authorities, poor financing, a lack of communication with remote rural areas, and a lack of interest in counternarcotics campaigns from local NGOs prevent them from launching a wide-scale program aimed at demand reduction.

The United States focuses on transit control and prevention in discussions with Armenian officials about counternarcotics controls.

Armenia and the United States signed a letter of agreement (LOA) on narcotics control and law enforcement on June 11, 2001. Under the agreement, the Department of State has granted funds for narcotics control and law enforcement assistance that will help establish an independent forensic institute to provide state-of-the-art forensic analysis, including drug testing.

Austria

I. Summary

Austria is primarily a transit country for drug trafficking from the Balkans to western European markets. Organized drug trafficking is performed largely by non-Austrian criminal groups. While Austrian authorities express concern over the continued rise of organized crime in the country (which they attribute predominantly to Mafia-type gangs from Russia and other former east bloc countries), a Europol official speaking on organized crime in December 2001 termed Austria "still one of the safest areas in Europe." Illegal drug consumption is not a severe problem in Austria, and production or cultivation of illegal substances remains insignificant. In order to move more effectively against organized, drug-related crime, the Austrian law enforcement community in 2001 further intensified cooperation with counternarcotics agencies in Central Europe and relied on expanded investigative tools passed in recent years. The government’s establishment of a centralized, federal crime-fighting authority by 2002 is expected to make narcotics investigations more effective. In 2001, Austria continued to provide counternarcotics experts to Central Asian countries to help train local law enforcement officials. Cooperation with U.S. authorities remained excellent during 2001. Austria is a party to the 1988 UN Drug Convention.

The year 2001 did not see any significant change in overall trends regarding drug-related organized crime, illegal drug trafficking routes, consumption, and distribution channels in Austria. Production of illicit drugs in Austria continues to be marginal. However, Austria remains a transit country for drugs transported by organized crime syndicates along the major European drug routes. Seizures of heroin rose to 230.7 kilograms in 2000. According to officials, preliminary data for 2001 indicated a further rise. Cocaine seizures (20.3 kilogram in 2000) were also expected to increase in 2001, while confiscation of MDMA ("ecstasy") (162,000 units in 2000) remained at approximately that level in 2001. The number of drug-related deaths rose from 215 to 227 in 2001. Unofficial estimates place drug-related crime at about 30 percent of all offenses. Most organized drug crime is traced back to the NIS (Newly Independent States).

Policy Initiatives. As of June 1, 2001, amendments to the narcotic substances act passed by Austria’s center-right government became effective. Under the revised law, drug dealers of a criminal organization may face up to life for large-scale drug dealing. The amendment introduced minimum penalties of at least three years in prison for drug trafficking crimes. The law also, for the first time, penalizes the promotion of illicit drug consumption on the Internet.

In April 2001, the limit quantity of heroin was reduced from five grams to three grams. In December 2001, a Vienna court sentenced a Nigerian asylum applicant to nine years in prison on charges of having operated an international drug ring over the past few years. Following several drug-related arrests in the wake of police raids of asylum homes housing African asylum seekers, conservative policy-makers have called for swift expulsion of any asylum seeker caught dealing drugs. Throughout 2001 there was also intense public discussion of obligatory drug tests for drivers and would-be teachers—a government policy initiative, which met with criticism from some sectors. Under existing legislation, first-time users of cannabis may avoid criminal proceedings if they agree to therapy. Austria punishes traffickers and treats and educates abusers. Austrian drug users tend toward polydrug abuse. In 2001 amphetamine (speed) and cocaine have become somewhat more popular than opiates among young addicts.

In October 2001, the government lifted a sunset clause on a sensitive law providing for expanded police powers and made it permanent. This law targets organized crime as it authorizes investigators to collect and analyze information about likely extremist/terrorist groups without judicial approval and prior to the establishment of "substantiated suspicion."

Vienna is the seat of the UNDCP, and Austria has been a "major donor" to the UNDCP for years. It has pledged ATS 6.67 million (U.S. $442,000) for 2001.

Within the EU’s Schengen framework, Austria is drafting a proposal for a systematic program to improve border/customs controls of five Central Asian republics.

Since 1998, Austria has been a full member of the Schengen process, which allows countries to eliminate passport control and visas for internal travel among European member states. It has invested an equivalent of U.S. $300 million for Schengen-related measures. The city of Vienna is a co-sponsor of the "UN-Vienna Civil Society Award"—a U.S. $100,000 prize given to individuals and organizations fighting drug abuse and organized crime. In 2001 the UN and Austria awarded the prize to four private initiatives from Algeria, Burundi, Indonesia, and Peru.

Accomplishments. With the support of the DEA office at the U.S. Embassy in Vienna, Austrian police seized 10.5 kilograms of heroin in December 2000. A related investigation later led to seizure of 51 kilograms of heroin in Germany. In May 2001, 100,000 ecstasy tablets were seized and two arrests made. Following a joint investigation by Austrian and Turkish national police forces and DEA, 5 kilograms of heroin and 13 kilograms of hashish were seized in June 2001. In August 2001, 30,000 ecstasy tablets were seized leading to four arrests. In October 2001, 2.2. kilograms of heroin was seized at Vienna’s Schwechat Airport, which led to further seizure of 4 kilograms of heroin and five arrests in Bangkok. In December 2001, 50,000 ecstasy tablets were seized, leading to three arrests.

In 2000, authorities registered 17,568 cases of domestic drug-related criminal offenses, 2.07 percent more than in the previous year. Figures for 2001 are not yet available, but no major changes in these figures are expected for this year. According to a 1998 study, the country spent about U.S. $135 million annually (i.e., 0.27 percent of total budget outlays that year) to combat illegal drugs. Two-thirds of this amount went into law enforcement efforts.

In 2001 Austria continued its transfer of illicit drug investigation expertise to Central Asian countries by sending experts to the region who trained local authorities in counternarcotics measures. Austria further intensified its cooperation with law enforcement authorities in Central and Eastern Europe—most visibly at a June 2001 meeting of interior ministers from the Czech Republic, Slovakia, Hungary, Slovenia, and Poland. Austria continues to cooperate within EU fora, prioritizing social and health policy measures and urging inclusion of NGOs at the planning stages of the ECU’s counternarcotics strategy plans.

Law Enforcement Efforts. For the year 2001, law enforcement authorities expect a higher number of seizures for heroin and cocaine, and largely unchanged seizure levels for ecstasy compared to 2000. That year, authorities seized 230.75 kilograms of heroin, 20.38 kilograms of cocaine, 1,806.50 kilograms of cannabis-related substances, and other narcotic substances. Out of 17,568 drug-related offenses in 2000, 556 were related to illegal possession of psychotropic substances. One offense was registered in 2000 regarding precursor materials.

Unofficial estimates note that the overall number of illicit drug abusers—believed to range between 15,000 to 20,000—remained stable in 2001. A 2001 field study extrapolated that 20 percent of Austrians above 15 had had "some experience" with cannabis, 4 percent with ecstasy, and 1 percent have tried opiates. One gram of street heroin (purity between 8 percent and 16 percent) sold for 36 EUR in 2000, and one ecstasy tablet was sold for EUR 11. The number of drug-related deaths in 2000 was 227, and by November 2001 authorities had registered 177 cases of suspected drug-related deaths.

Corruption. Austria has been a party to the OECD Anti-Bribery Convention since 1999. The GOA’s public-corruption laws recognize and punish the abuse of power by a public official. Recent legislation has eliminated tax deductibility of bribes. No records exist yet to assess the degree of enforcement. There are no cases pending at the moment that involve any bribery of foreign public officials. The U.S. government is not aware of any high-level Austrian government officials’ involvement in drug-related corruption, including corruption relating to the laundering of proceeds from illegal drug transactions.

Agreements and Treaties. Austria is a party to the 1988 UN Drug Convention, the 1971 UN Convention on Psychotropic Substances, and the 1961 UN Single Convention on Narcotic Drugs, as amended by the 1972 Protocol amending the Single Convention on Narcotic Drugs. The U.S.-Austria Mutual Legal Assistance Treaty, signed in 1995, was ratified by the Austrian Parliament in June 1998 and entered into force on August 1, 1998. An updated extradition treaty between the United States and Austria became effective in January 2000. It replaced a 1930 extradition treaty with Austria and a 1934 supplementary extradition convention. The new treaty is a modern dual criminality treaty, i.e., it no longer lists specific extraditable offenses, but makes extraditable all criminal offenses that are prosecuted in both countries and carry a penalty of more than one year or a residual penalty of more than three months. Also, the treaty contains a provision that would permit Austria to require a formal assurance prior to extradition that the death penalty would not be imposed or carried out. The United States and Austria have a 1931 arrangement for the direct exchange of information regarding traffic in narcotic drugs.

In December 2000, Austria signed the Council of Europe’s agreement on illegal drug trafficking at sea, a legal instrument that implements Article 17 of the 1988 UN Drug Convention.

In December 2000, Austria signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

Cultivation/Production. The U.S. government is not aware of any significant cultivation or production of illicit drugs in Austria.

Drug Flow/Transit. Organized drug trafficking is carried out by foreign criminal groups (Turks, Albanians, and others from the former Yugoslavia) which are well established on major European drug routes, particularly along the Balkan route. Illicit drug trade by Austrian nationals is negligible. The nearby Slovak capital of Bratislava serves as a temporary heroin depository for traffickers. Couriers from South American drug cartels import most of the cocaine that transits Austria. In 2000, 80 percent of the cocaine that transited Austria was destined for Italy, and the remaining 20 percent were destined for other EU countries. This illicit trade increasingly relies on Central and East-European airports, including Austria’s. Couriers are mostly individuals from source countries, particularly African nationals, but also Croatian, Yugoslav, and Romanian nationals. Over 90 percent of the heroin that enters Austria (mostly for transit) comes from the diverse venues of the Balkan route. Trafficking and consumption in Austria of ecstasy products, originating in the Netherlands, continued to rise in 2001. Illicit trade of amphetamines, carried out by criminal groups from Poland and Hungary, as well as of cocaine, also increased. In a new development, biogenic drugs (mushrooms, cacti, etc.) have become popular among young drug users in certain regions of the country.

Domestic Programs (Demand Reduction). Austrian authorities and the public generally view drug addiction as a disease rather than a crime. This is reflected in rather liberal drug legislation and in related court decisions. In a 2001 amendment, the center- right government took a somewhat more restrictive approach by lowering the permissible amount of heroin from five to three grams, before criminal sanctions are imposed. Overall, federal and state authorities remain committed to Austria’s "balanced, comprehensive" drug policy focusing on health and social policy measures designed to prevent social marginalization of drug addicts. The government and regional authorities routinely sponsor treatment centers. Federal guidelines ensure minimum quality standards for drug treatment facilities. The use of heroin for therapeutic purposes is generally not allowed. Demand reduction puts emphasis on primary prevention, drug treatment, and counseling, as well as "harm reduction." New challenges in demand reduction are the need for psychological care for drug victims, and greater attention to older victims and immigrants.

Primary intervention starts at the pre-school level, extends to apprenticeship institutions and includes out-of-school youth programs. Special emphasis is placed on multipliers, i.e., authority figures, such as teachers and coaches. Each of Austria’s nine states maintains addiction prevention units, which, inter alia, use the Internet as a venue. The government and local authorities routinely sponsor "educational campaigns" inside and outside school fora, e.g. mass media campaigns. Overall, youths in danger of addiction have become the prime target of new treatment and care policies.

Austria has syringe exchange programs in place for HIV prevention. Available data for 2000 indicate a stable HIV prevalence rate at a low level (0 percent to 5 percent) while the hepatitis prevalence rates among intravenous drug abusers remain high (Hepatitis C: 48 percent to 71 percent; Hepatitis B: 25 percent to 47 percent). The trend toward diversification in substitution treatment (methadone, prolonged-action morphine, and buprenorphine) continued.

Bilateral Cooperation. Austrian cooperation with U.S. investigative efforts is excellent, even though Austria has no specific bilateral narcotics agreement with the U.S. Austrian Interior Ministry officials have consulted the FBI on know-how designed to help update Austrian criminal investigations. Austria and the United States operate a joint "contact office" in Vienna which serves as a key facilitator for flexible and speedy anticrime cooperation. In 2001, the DEA, through its office in the U.S. Embassy in Vienna, again assisted in training Austrian drug undercover officers.

U.S.-Austrian negotiations on the establishment of an Interior Ministry liaison office at the Austrian Embassy in Washington, D.C. continued in 2001. The office would handle bilateral issues involving all forms of crime, including illegal narcotics.

The Road Ahead. The United States will continue to support Austrian efforts to create more effective tools for law enforcement, as well as to work with Austria within the context of U.S.-EU initiatives, the UN, and the OSCE.

Azerbaijan

I. Summary

Azerbaijan is located along a drug transit route running from Afghanistan and Central Asia west into Western Europe, and from Iran north into Russia and west into Western Europe. Consumption and cultivation of narcotics are low, but levels of use are increasing. During 2001, the main drugs seized were opium and cannabis. Section 907 of the FREEDOM Support Act precluded the funding of U.S. counternarcotics assistance to Azerbaijan in 2001. Azerbaijan is a party to the 1988 UN Drug Convention.

Azerbaijan’s main narcotics problem is the increased transit of drugs through its territory resulting from the disruption of the "Balkan Route" due to regional conflicts in several countries of the former Yugoslavia. Narcotics from Afghanistan enter from Iran or cross the Caspian Sea from Central Asia and continue on to markets in Russia and Europe. Azerbaijan shares a 700-km frontier with Iran, and its border control forces are insufficiently trained and equipped to patrol it effectively. Iranian and other traffickers are exploiting this situation. Domestic consumption is growing with over 14,760 persons registered in hospitals for drug abuse or treatment in Azerbaijan. The actual level of drug abuse is estimated to be many times higher The Government of Azerbaijan (GOAJ) continues to claim that parts of Azerbaijan occupied by Armenia are used for drug cultivation. The GOAJ also maintains that narcotics are transported across the approximately 130 km of Azerbaijan’s border with Iran that is under the control of Armenian forces.

Policy Initiatives. The "State Committee on Drug Control," headed by Deputy Prime Minister Ali Hasanov, continues to lead counternarcotics policy initiatives. The Committee has a regional branch in Lenkoran in the south and in 2001 opened a second in Ganja. The Ministry of Internal Affairs has continued its program in the southern portion of the country along the border with Iran, that organizes local counternarcotics police officials to work closely together across local jurisdictions. It has begun similar programs in Sumgayit near Baku and Ganja in western Azerbaijan.

Accomplishments. A new criminal code entered into force in September 2000 that contains special provisions dealing with crimes related to trafficking in narcotics. Initial experience with the new code in 2001 was very positive.

Law Enforcement Efforts. There were 2,017 drug-related arrests during the first ten months of 2001. Police lack basic equipment and have little experience in modern counternarcotics methods. Border control capabilities on the border with Iran and maritime border units are inadequate to prevent narcotics smuggling. In 2001 Customs officials seized a vessel in the port of Baku carrying 48 tons of poppy seeds from Afghanistan.

Corruption. Corruption permeates the public and private sectors. Government officials including the President and Prime Minister have remarked on the gravity of the problem. Current legislation has proven inadequate to address police and judicial corruption.

Agreements and Treaties. Azerbaijan is a party to the 1988 UN Drug Convention, the 1971 Convention on Psychotropic Substances, and the 1961 UN Single Convention on Narcotic Drugs, as amended by the 1972 Protocol. Azerbaijan signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants in December 2000.

Cultivation/Production. Cannabis and poppy are cultivated illegally, mostly in southern Azerbaijan. During the first ten months of 2001, law enforcement authorities discovered and destroyed about 358 tons of hemp and poppies that were under cultivation on 345 hectares of land.

Drug Flow/Transit. Narcotics traffickers seem to rely on familiar transit routes. Opium and poppy straw originating in Afghanistan transit through Azerbaijan from Iran, or from Central Asia across the Caspian Sea. Drugs are also smuggled through Azerbaijan to Russia, then on to Central and Western Europe. Azerbaijan cooperates with Black Sea and Caspian Sea littoral states in tracking and interdicting narcotics shipments, especially morphine base and heroin. Caspian Sea cooperation includes efforts to interdict narcotics transported across the Caspian Sea by ferry. Law enforcement officials report that they have received good cooperation from Russia, but have encountered considerable reluctance from Iran to assist in counternarcotics efforts.

Domestic Programs (Demand Reduction). Opium and cannabis products are the most commonly used drugs. The GOAJ has begun education initiatives directed at curbing domestic drug consumption.

Bilateral Cooperation. The exchange of information between U.S. and Azerbaijan law enforcement officials increased in 2001. Nonproliferation assistance to the Border Guards and Customs is providing modest, indirect help to the government’s efforts to fight drug trafficking, but the impact is not substantial. As a matter of policy, consistent with the restrictions set out in section 907 of the FREEDOM Support Act, INL has not provided counternarcotics/anticrime assistance to the GOAJ.

Belarus

I. Summary

The economic, political, and geographical situation of Belarus gives it the potential to become a major drug transit and synthetic drug production site. Deteriorating economic conditions and a sharp drop in real wages continue to dislocate many workers and, among some in the population, encourage the belief that wealth can and should be acquired by any means possible. The Belarusian government currently lacks both the legislative framework and the financial resources to combat drug trafficking. Belarus’ location between Russia and the west combined with its good rail and road transportation system and a customs union with Russia that eliminates internal borders between the two countries add to Belarus’ potential as a narcotics transit corridor.

Belarus also faces many organized crime problems that plague other countries of the former Soviet Union. The lack of Belarusian laws on organized crime could lead syndicates to use Belarus for not only drug production and trafficking, but also other drug related crimes such as money laundering.

According to Ministry of Health data, the number of officially registered drug addicts in Belarus totals 5,000, with an estimated 700 to 800 new registrants per year. These statistics do not take into account unregistered addicts which are estimated to exceed the nominal 5,000 figure by a factor of ten. The drugs of abuse of choice in Belarus are opium derivatives like poppy oil. Cannabis is also widely abused. However, synthetic drugs, heroin, cocaine, barbiturates, and other drugs are being used in increasing amounts.

The Minsk office of the UN High Commissioner for Refugees reports that many illegal immigrants in Belarus finance their trips to the West through narcotics smuggling.

Belarus has all the resources necessary for the production of synthetic narcotics. The laboratory and technical capabilities are in place while many industrial facilities suitable for basic chemical production are idle. Law enforcement is not trained in the detection of synthetic drug manufacturing facilities. There is no legislation in Belarus dealing with precursor chemicals; the chemical industry, all government owned, is allowed to police itself. Control of precursor chemicals is not an issue that appears to be on the agenda of policy makers, or even law enforcement officials.

Drug Flow/Transit. Belarus is growing in importance as a transit country. Good rail and road connections running east to west and north to south are used to transport narcotics from areas such as Ukraine, Central Asia, the Caucasus, and Russia to the Baltic States, Poland, and Germany. Cases of drug heroin trafficking from Afghanistan destined for Poland and Germany have increased dramatically as a result of the customs union that eliminated internal borders between Belarus and Russia.

Domestic Programs (Demand Reduction). No national drug abuse prevention strategy has been formulated in Belarus. The main emphasis is put on treatment and social rehabilitation of current drug addicts, while only limited efforts are devoted to prevention programs. Treatment for drug addicts is generally done in psychiatric hospitals, either as a result of Court Remand or self-enrollment. The emphasis of treatment is medical detoxification. Psychological counseling, and social rehabilitation is beyond the capacity of local institutions.

Law Enforcement Efforts. Many crimes are associated with narcotics trafficking in Belarus. Smuggling is the most significant. Other crimes include: stealing narcotic and addictive substances, organizing or maintaining drug dens for using drugs, and forging medical documents with the aim of procuring drugs. There were 1,252 criminal cases related to illegal drugs in 1998 and 3,018 drug-related offenses during the same year. (More recent statistics are unavailable.)

In 2001, there were no significant arrests or seizures of drugs, despite evidence of growing abuse and trafficking, but the first months of 2002 brought some large drug seizures.

The enforcement effort against narcotics in Belarus suffers from lack of efficient coordination among the agencies charged with various aspects of narcotics control. The Ministry of Internal Affairs, KGB (External Intelligence), Customs Committee, Border Guards, and Ministry of Health are all involved. An interagency commission for combating crimes and drug abuse is supposed to coordinate the effort, but problems persist.

Belarusian law does not provide for the seizure of assets of drug criminals. (Asset of businesses and political groups are routinely seized by the government.) There is not even provision for enforcement of correct title. For example a person found to have purchased a car stolen from Germany may keep the car as long as it was purchased legally in Belarus.

Agreements and Treaties. Belarus is a party to the 1988 UN Drug Convention, the 1961 UN Single Convention on Narcotic Drugs, as amended by the 1972 Protocol, and the 1971 UN Convention on Psychotropic Substances. Belarus has signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

Belarus is a member of INTERPOL and has a department of 12 people dealing with cross border crime. Belarus has also joined regional efforts at law enforcement cooperation and has signed bilateral agreements on cooperation against organized crime and drug trafficking with many of its neighbors. Belarusian ruler Lukashenko has emphasized in policy statements the importance of strengthening the state’s capacity to fight organized crime and drug trafficking.

Belarus signed an agreement in 1993 on drug control assistance with Italy, and plans to conclude similar agreements with Austria, Bulgaria, Sweden, and Germany. The GOB has also signed enforcement cooperation agreements with Lithuania and China. Belarus is a party to the CIS (Confederation of Independent States-Soviet successor states) Convention on Legal Assistance.

The United States has not provided narcotics/justice sector assistance to the GOB since a U.S. policy of selective engagement became effective in February 1997.

Belgium

I. Summary

The Kingdom of Belgium continued to be an important producer and transit point of synthetic drugs. Police report that through November 2001, six amphetamine-type stimulant (ATS) laboratories were seized and destroyed, down from ten ATS labs seized in 2000. Belgium ranks second worldwide, behind the Netherlands, in ATS production. Belgium is a major trader in chemicals and an important transit country for precursor chemicals used in the illicit manufacture of cocaine, heroin, and ATS. Narcotics traffickers continue to exploit Belgium’s large port facilities, transportation infrastructure, and central location in Western Europe for transshipment of illicit drugs. The increase in the incidence of trafficking in MDMA ("ecstasy"), which began in 1999, continued unabated in 2001. The United States remains the most lucrative destination for ecstasy manufactured and transited from and through Belgium, although evidence to date does not support a finding that ecstasy that transits Belgium en route to the United States has a significant effect on the United States. Belgium’s contribution to the UNDCP’s budget, as a major donor, rose to $500,000 in 2001. Belgium is a party to the 1988 UN Drug Convention.

Historically, Belgium has not been a significant producer of illicit narcotics or precursor chemicals. However, starting in 1999, Belgium became a producer of ATS drugs; police seized four ATS laboratories that year. In 2000, police seized ten ATS labs and from January to November 2001, police seized six ATS labs. Dutch traffickers were found to control most of the operations seized in Belgium. Authorities suspect that Dutch synthetic drug producers are periodically shifting operations over the border from the Netherlands to avoid mounting law enforcement pressure there and to create cross-border, jurisdictional problems. Couriers and express mail remained popular forms of delivery during the year. An emerging trend is for the export of very large shipments (500,000 to 1,000,000 tablets), concealed in maritime shipments.

Although Belgium is not a major producer of precursor or essential chemicals used in the illicit manufacture of drugs, it is an important transshipment point for these chemicals. Precursor chemicals that transit Belgium include acetic anhydride (AA) used in the production of heroin, PMK, and BMK used in the production of ecstasy, and potassium permanganate used in cocaine production.

Hashish and cannabis continue to be the most widely distributed and used illicit substances in Belgium, but heroin abuse produces the most important health and social problems, including drug-related crime. Over the last several years, Belgium has emerged as a growing cultivator of cannabis. In 2001 police seized seven greenhouse and hydroponic growing facilities. In 2000, Belgian police seized 15 cultivation labs. Belgian authorities attribute the growth of cannabis production to the influence of Dutch organized crime groups.

Belgian authorities recognize the growing threat posed by trafficking in ecstasy and have taken steps to curb the problem. In January 2001, Belgium established a National Security Plan that identified synthetic drugs as the highest drug priority. Approximately 1.6 million ecstasy tablets were seized in Belgium in 2001.

Heroin trafficking into Belgium remains under the control of Turkish trafficking groups. Authorities estimate that 75 to 80 percent of the Belgian heroin market is controlled by these Turkish groups. Additionally, Belgium is an important transit route for heroin destined to other European markets, particularly the UK and the Netherlands.

Policy Initiatives. In a sweeping reorganization carried out during 2001, the former Police Judiciare and the Gendarmerie merged at the federal level to form a new federal police force responsible for internal security and nationwide law and order issues. Local Gendarmeries merged with local police forces and now operate as local branches of the federal police. Investigations of drug trafficking fall under the newly created Directorate General Judicial. The Directorate oversees all crimes against persons, including drugs, terrorism, trafficking in persons, and crimes of violence.

The reorganization plan also established a new federal prosecutor’s office. This office, expected to be operational in early 2002, will have jurisdiction over major federal cases and will consist of 18 prosecutors and a chief prosecutor.

A new National Security Plan, approved in 2001, includes a drug control strategy that identifies the fight against illicit synthetic drugs as the number one priority. The plan received wide political support and listed three primary objectives: 1) dismantling illicit labs; 2) enhancing interdiction of drugs to be shipped abroad, with the United States identified as the primary export destination; and 3) implementing joint investigations with neighboring countries, particularly the Netherlands.

In its EU Presidency role (July-December 2001), Belgium proposed that the EU undertake a feasibility study to examine the issue of tracing precursor chemicals used in the illicit production of drugs to their source. (For additional details see the Chemical Controls chapter of this report.)

Accomplishments. Belgium organized a high-level conference in January 2001 in Ghent, entitled "Strategies of the EU/US in Combating Transnational Crime." The conference included modules focused on cooperation to combat drug trafficking and was widely attended.

Belgium, in conjunction with the UNDCP, also organized a high-level conference on synthetic drugs. Prime Minister Guy Verhofstadt hosted the conference, which focused on demand and supply reduction and produced a list of conclusions to serve as the basis for future action.

Belgian authorities announced plans in 2001 to establish a national Synthetic Drugs Cell (SDC). The SDC will serve as an advisory panel for policy makers on demand and supply reduction, treatment, and preventive aspects of the synthetic drug problem. The SDC will comprise representatives from the Ministries of Health, Justice, and Home Affairs and the federal police, with ad hoc participation by other government entities where appropriate. The SDC is expected to be operational by mid-2002.

Law Enforcement Efforts. Belgian law enforcement authorities actively investigate individuals and organizations involved in illegal narcotics trafficking into and through Belgium. The newly reorganized federal police concentrate their investigative efforts on trafficking of synthetic drugs, cocaine, and heroin. In various cities, including Brussels and Antwerp, the federal police have formed specialized units that investigate synthetic drugs. At Brussels Zaventem Airport, the federal police have trained private airport personnel in order to raise awareness levels about drug trafficking. As a direct result of this training, Belgian authorities have intercepted couriers possessing ecstasy shipments destined for the United States. Joint investigations between Belgian and U.S. authorities remained at a very high level of cooperation throughout the year.

Belgium is one of the preferred transit routes for organizations trafficking ecstasy to the United States, although available evidence does not suggest that ecstasy entering the United States from Belgium has a significant effect on the United States. Most of the ecstasy trafficked through Belgium originates in the Netherlands. Dutch trafficking organizations commonly use Brussels Zaventem Airport as a transit point for drug couriers en route to the United States. Despite a lack of sufficient resources and manpower, Belgian customs authorities stationed at the Antwerp seaport and at Brussels Zaventem Airport were highly proactive in their searches and inspections. Airport-based officers report a high degree of success in seizing shipments of ecstasy destined for the United States. Ecstasy seizures at the airport increased from 296,000 tablets in 1999 to 478,000 in 2000. (Statistics for 2001 are not yet available.) Most such seizures came from express mail or postal packages.

Customs officials report that a five-person team of inspectors is responsible for all port activities involving drugs. Officials report that 3,000-4,000 containers are loaded and unloaded at the port of Antwerp on a daily basis. The inspection team has the capacity to search five to ten containers per week. In addition to containerized freight, customs also reports increased activity involving the ships’ crew members. This entails the smuggling of smaller quantities of drugs by individual crew members and larger operations where crew members arrange to off-load large amounts of drugs from the ship before it reaches the dock.

Corruption. Corruption is not judged a problem within the narcotics units of the law enforcement agencies. Legal measures exist to combat and punish corruption.

Agreements and Treaties. Belgium is a party to the 1988 UN Drug Convention. Belgium is also a party to the 1961 Single Convention on Narcotic Drugs, the 1972 Protocol amending the 1961 Single Convention on Narcotic Drugs, and the 1971 UN Convention on Psychotropic Substances. In December 2000 Belgium signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

The United States and Belgium have an extradition treaty in force, as well as a mutual legal assistance treaty, which entered into force in January 2000.

The Belgian Navy and the U.S. Coast Guard signed a memorandum of understanding in March 2001 formalizing the Belgian Navy’s participation in the Caribbean Maritime Counterdrug Initiative. The first Belgian Navy vessel deployment in support of this initiative is expected in 2003.

Belgium entered into bilateral police cooperation agreements with Estonia, Latvia, and Slovakia in 2001. The agreements are wide-ranging and provide a framework for cooperation on narcotics matters. Negotiations are ongoing for similar police cooperation agreements with Lithuania and the Czech Republic. Belgium entered into a bilateral police cooperation agreement with Poland in 2000. The Belgian Ministry of Justice maintains drug liaison offices in more than a dozen foreign cities with territorial competence for 33 countries. The drug liaison offices in Bangkok, Bogota, Bucharest, The Hague, Istanbul, Madrid, Moscow, Paris, Rabat, Rome, Vienna, Warsaw, Washington, and Wiesbaden are staffed by federal police officers.

Belgium is a member of several international counternarcotics organizations, including the Heads of European Narcotics Law Enforcement Agencies (HONLEA), the European Committee to Combat Drugs (CELAD), and the Dublin Group. Belgium is a member of the major donors group of the UNDCP. Belgium ratified the Europol Convention in June 1998.

Cultivation/Production. Belgian federal police have observed a new and significant trend in cannabis cultivation. Authorities believe that Dutch-based traffickers and cultivation equipment and supply companies have adopted an aggressive marketing strategy aimed at Belgium. The objective of the marketing campaign is to persuade Belgians to grow and harvest cannabis for Dutch distributors. Dutch companies advertise incentives for Belgian growers on the Internet. These incentives include offers of free cultivating equipment in exchange for the first cannabis harvest. Authorities report that many Belgians pursue these offers on the mistaken belief that cannabis production is not illegal in Belgium. The misperception is rooted in a pending government proposal to decriminalize cannabis possession for personal use. The proposal, which has not yet become law, would not alter the illegality of the sale, distribution, cultivation, and trafficking of cannabis.

Although the number of seizures of ATS labs dropped from ten in 2000 to six in 2001 (as of November), Belgian authorities continue to view the production of ATS drugs as a significant problem.

Drug Flow/Transit. Belgium remains an important transit point for drug traffickers because of its port facilities (Antwerp is Europe’s second-busiest port), airports, excellent road connections to neighboring countries, and central geographic location. Most illicit drugs pass through Belgium via the ports of Antwerp and Zeebrugge, across the border from the Netherlands, or through Brussels Zaventem Airport. Smuggling routes change constantly, but Belgian authorities believe an increasing number of heroin shipments arrive from Central Asia via Turkey. Belgian customs reports that the heroin is most probably concealed in containerized freight in relatively small quantities of ten to 15 kilograms. Customs reports that because Antwerp is considered a "free trade zone," traffickers know that inspections of containerized freight are minimal. These shipments take one of two trafficking routes: in northern Europe through Hungary, Poland, the Czech Republic, Slovakia, and Austria, or in southern Europe through Italy. Cannabis imported into Belgium, not Dutch in origin, generally originates in Morocco, Latin America, or Southeast Asia and arrives via land, air, and sea routes.

Express mail companies in and around Brussels are commonly used by trafficking organizations to smuggle ecstasy tablets into the United States. The express mail method of transport is particularly popular with import organizations in Los Angeles, New York, and Florida. Dutch groups utilize the Belgian postal system to send packages containing drugs to U.S. destinations. Israeli criminal organizations continue to play a prominent role in the transportation of ecstasy from producers in the Netherlands and Belgium to distributors in the United States. Belgian authorities are cooperating with U.S. law enforcement agencies to disrupt this transit route.

Demand Reduction (Domestic Programs). Belgium has an active counternarcotics educational program that targets the country’s youth. The regional governments (Flanders, Wallonia, and Brussels) now administer such programs. The programs include education campaigns, drug hotlines, HIV and hepatitis prevention programs, detoxification programs, and a pilot program for "drug-free" prison sections. In contrast to the U.S. approach, Belgium directs and targets its programs at individuals who influence young people versus young people themselves. Teachers, coaches, clergy, and the like are employed to deliver the counternarcotics message to the target audience because young people already know and respect them.

Belgium participated in a training program in 2000 with the U.S.-based DARE program. DARE officials traveled to Belgium to sponsor a "train the trainers" project. Belgium-based trainers are now qualified to teach the DARE program to other demand reduction officers in Europe.

Bilateral Cooperation. Cooperation between the United States and Belgium continues to be outstanding. The number of cooperative drug investigations, the majority of which pertain to ecstasy trafficking, continues to increase. Belgium’s role as a large producer and exporter of ecstasy, coupled with the role of the United States as a large and lucrative market, has generated a high level of investigative interaction. As a result, the number of International Controlled Drug Delivery (ICD) operations between Belgium and the United States has increased. These ICDs have been particularly effective in combating ecstasy trafficking between the two countries. A number of requests for assistance under the Mutual Legal Assistance Treaty were exchanged between the two countries throughout the year.

The DEA and the FBI enjoy close and effective cooperation with the Belgian federal police. U.S. law enforcement agencies represented in Brussels enjoy excellent working relationships with offices of the Belgian national magistrates and prosecutors.

The DEA’s office in Brussels and the Belgian federal police regularly exchange intelligence information concerning trends and techniques employed by ecstasy trafficking organizations operating between Belgium and the United States. This exchange of information (including arrest and seizure statistics) enables both countries to anticipate emerging patterns of drug transportation. Belgian police have initiated an intelligence program targeting outbound commercial flights from Belgium to the United States.

The Road Ahead. The United States looks forward to continued close cooperation with Belgium in combating illicit drug trafficking and drug-related crime, and to continued Belgian participation in multilateral counternarcotics fora such as the Dublin Group of countries concerned with narcotics trafficking.

Bosnia and Herzegovina

I. Summary

Bosnia and Herzegovina remains a small but growing market for drug consumption, and has emerged as a regional hub for narcotics transshipment. Despite increasing law enforcement cooperation, gradual improvements in oversight of the financial sector, and several drug seizures, local authorities are still politically divided, law enforcement efforts still poorly coordinated, and the justice system still antiquated and inadequate. The narcotics trade remains an integral part of the influence of foreign and domestic organized crime figures and ethnic extremists who operate with the tacit acceptance—if not active collusion—of corrupt public officials. Bosnia is a party to the 1988 UN Drug Convention and is attempting to forge ties with regional and international law enforcement agencies. Border and customs controls are improving, but grave flaws in the regulatory structure and justice system, coupled with a lack of attention by Bosnia’s political leadership have left few practical impediments to narcotics trafficking and related crimes in Bosnia.

Bosnia occupies a strategic position along the historic Balkan smuggling routes between drug production and processing centers in Southwest Asia (Afghanistan) and markets in Western Europe. The "Balkan Route" has been an important trafficking route from production/refining areas to Europe for years. During the Bosnian conflict, narcotics trafficking reflected the general breakdown of law and order and allowed some of the warring parties to generate revenue. Bosnian authorities at the state, entity, cantonal, and municipal levels have been unable to stem the continued transit of illegal aliens, black market commodities (especially cigarettes), and narcotics since the conclusion of the Dayton Accords. Traffickers have capitalized in particular on minimal border controls, an ineffective judicial system, widespread public sector corruption, and poor coordination among law enforcement authorities. Although Bosnia is not a major transit country for illicit drugs entering the United States, it remains a country of concern to the United States.

Information on domestic consumption is not gathered systematically, but anecdotal evidence indicates that drug abuse is increasing. In Sarajevo this summer, three young men and women died from heroin overdoses, bringing the total confirmed heroin-related deaths to 15 since the end of the war in 1995. Statistics show that despite limited financial means, 20 to 30 percent of high school students have used drugs at least once in their lives. According to a recently published article, Bosnian drug addiction has risen rapidly over the last two years and Tuzla Canton, representing roughly 14 percent of Bosnia’s population, has treated 400 heroin overdose cases.

Policy Initiatives. Although Bosnia has neither a national police force nor a national counternarcotics strategy, the initial deployment of the State Border Service (SBS) in June 2000 has improved controls at a limited number of international crossing points. Telephone hotlines, local press coverage, and public relations efforts organized by the international community have focused public attention on smuggling and black marketeering. Foreign donors continue to provide law enforcement assistance training to Bosnian authorities both on a bilateral basis and through international agencies. The United States’ bilateral law enforcement assistance program continues to emphasize counternarcotics and law enforcement training, targeted on units charged with narcotics law enforcement.

Accomplishments. Under close supervision by the international community, Bosnian law enforcement agencies have taken initial steps toward substantive cooperation on the counternarcotics front, most notably with the formation of an inter-entity joint task force. At the state level, criminal procedure and criminal justice codes are being revised and strengthened, with the entities reportedly set to adopt consistent codes next year. In August, the Federation adopted legislation governing criminal procedures and the creation of more sophisticated law enforcement surveillance units, though only one of 18 established positions has been filled. The Republika Srpska (RS) followed suit with similar legislation in November. Recent improvement in relations with the Federal Republic of Yugoslavia, working-level cooperation with Slovenian and Croatian law enforcement authorities, and potential upgrades in Bosnia’s Interpol office may also presage progress in these areas.

Less porous borders should also help stem the flow of illicit goods through Bosnia. The United Nations Mission to Bosnia and Herzegovina (UNMIBH) currently reports that the SBS is roughly 75 percent deployed, though the task of building a viable border service is far from three-fourths complete. Most checkpoints are minimally staffed and many crossings are severely understaffed, bordering on unsafe staffing levels. With significant USG and international community financial assistance and technical support, computerized tracking information systems have been installed at Sarajevo airport. But the rest of the SBS lacks even the most basic command, control, and communication expertise, technology, and equipment, as well as adequate professional training. Banja Luka International Airport was recently turned over to the SBS. Mostar and Tuzla airports, currently closed to international air traffic, will be put under SBS control early in 2002. Noting that the routes for trafficking in drugs and in persons are often the same, the USG has begun close liaison with the SBS to improve transborder law enforcement.

There are now counternarcotics law enforcement units in each of the ten Federation cantons, ranging in size from 11 persons in Sarajevo Canton to two persons in smaller cantons. Yet information exchange among the ten cantons’ police forces—so important for effective law enforcement—is virtually non-existent. Each canton is separately administrated and budgeted, essentially independent of Federation-level coordination or control. The lone RS counternarcotics unit is based in Banja Luka.

Neither the RS nor the Federation has made significant progress in addressing the paralyzed legal environment that allows criminals to act with virtual impunity. Law enforcement cooperation is primarily informal and ad hoc. Mutual legal assistance is severely limited by the judicial bureaucracy, and serious legal and bureaucratic obstacles to the effective prosecution of criminals remain in place. Moreover, Bosnia has not sent any officials to Southeast Europe Cooperation Initiative (SECI) counternarcotics meetings in Bucharest due to an inability to resolve who the representatives should be.

Law Enforcement Efforts. Law enforcement efforts improved in 2001 but remain inadequate given the level of narcotics trafficking. In the Federation, arrests reportedly increased by more than 20 percent and police counternarcotics operations resulted in the seizure of more than 311 kilograms of marijuana (a 476 percent increase over 2000) and 525 grams of heroin (a 66 percent increase). From data through December 11, 2001, arrests in the RS were up six percent compared to their 2000 levels, and police counternarcotics operations had resulted in the seizure of approximately 253 kilograms of marijuana (a 98 percent increase), and 105 grams of heroin (a 72 percent decrease). Meanwhile, the newly established SBS had seized approximately 121 kilograms of marijuana since October 2000.

On May 26, the SBS seized an 82-kilograms shipment of marijuana, hidden in a roadside forest near Trebinje. In an operation on July 20, law enforcement authorities seized a 124-kilograms shipment of marijuana, reportedly destined for Croatia from Montenegro, near the village of Ostojici in Trnovo’s municipality, and arrested three individuals. On September 13, the SBS stopped a Ford Escort with Montenegrin license plates with 16 kilograms of marijuana concealed in a specially prepared spare gas tank. The driver was reportedly paid U.S. $250 to transport the drugs, valued at more than U.S. $3,000.

These actions represent largely isolated efforts by local authorities rather than a coordinated national counternarcotics program. Despite these individual successes, narcotics- trafficking remains a crime of opportunity limited primarily by the interest of criminal elements in the higher profit margins offered by black marketeering and alien smuggling. Authorities have yet to focus systematically on major narcotics traffickers; they have yet to bring a major case to trial or bring adequate resources to bear.

Corruption. Both local and international community law enforcement agencies have substantiated links between the narcotics trade and the parallel institutions that undermine the rule of law in Bosnia. Bosnia has no laws specifically targeting narcotics-related public sector corruption and has not pursued charges against public officials on narcotics-related offenses. A long-standing parliamentary inquiry into the disappearance of over 20 kilograms of heroin from the safe of the war-time Federation Interior Minister has made no progress to date. The United States is coordinating closely with the peace Stabilization Force (SFOR), the United Nations Mission in Bosnia-Herzegovina (UNMIBH), and the Office of the High Representative (OHR) to combat the influence of organized crime, corrupt officials, and ethnic hard-liners, all of whom use the narcotics trade to generate revenue.

Agreements and Treaties. Bosnia is a party to the 1988 UN Drug Convention, the 1961 UN Single Convention on Narcotic Drugs, the 1972 Protocol amending the Single Convention, and the 1971 UN Convention on Psychotropic Substances. Bosnia has signed but not ratified the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

It is also developing bilateral law enforcement ties with neighboring states to combat narcotics trafficking. There is no bilateral agreement between Bosnia and the United States specifically pertaining to counternarcotics. Nonetheless, counternarcotics assistance does feature prominently in the United States’ bilateral law enforcement assistance training program, which has provided both the Federation and the RS advice and assistance in a broad range of law enforcement issues including investigative techniques, border controls, and major case management. Both entities worked closely with the UNDCP under the terms of a 1997 agreement to establish five regional drug analysis laboratories in Mostar, Zenica, Tuzla, Trebrinje, and Zvornik. These laboratories are currently capable of providing analysis of seized drugs, but do not have the capacity to examine blood toxicology of drug offense suspects. The UNDCP’s program has been reduced to a staff of one and is currently aimed at training narcotics police in specialized investigative procedures.

Drug Flow/Transit. Major heroin and marijuana shipments are believed to travel through Bosnia by several well-established overland routes. Local officials believe that Western Europe—not the United States—is the proximate destination for this traffic. Judging by reported seizures, cocaine trafficking is minimal; the market for designer drugs, especially MDMA (ecstasy), in urban areas is growing rapidly. Law enforcement authorities posit that elements from each ethnic group and all major crime "families" are involved in the narcotics trade, often collaborating across ethnic lines. There is mounting evidence of links between, and conflict among, Bosnian criminal elements and organized crime concerns in Russia, Albania, the Federal Republic of Yugoslavia (FRY), Croatia, Austria, Germany, and Italy.

Cultivation/Production. Federation Interior Ministry officials believe that domestic cultivation is limited to small-scale marijuana crops grown in southern and western Bosnia. Although refinement and production are negligible, law enforcement officials indicate that Bosnia is increasingly becoming a temporary storage point for drug shipments en route from east to west. Though Bosnia does not have an infrastructure that could support large-scale illicit manufacturing, synthetic drug production in clandestine laboratories cannot be ruled out, given that production and possession of precursor chemicals is currently legal.

Domestic Programs (Demand Reduction). U.S.-sponsored community-oriented policing programs, which contain a strong counternarcotics component, have reached many more Bosnian children this year (2001). Although individual cantons have sponsored pilot community outreach programs and sought international assistance to introduce more proactive initiatives, there is no national drug awareness program. In August, the United Nations Trust Fund gave approximately $12,000 to the Institute for the Treatment of Alcoholism and Drug Addiction—the only substance abuse treatment center in Bosnia—to help cover the purchase of computer and multi-media equipment.

U.S. Policy Aims. U.S. policy objectives in Bosnia include reforming the criminal justice system, improving the rule of law, depoliticizing the police, improving local governance, strengthening the bank regulatory authorities, and introducing free-market economic initiatives. The United States will continue to work closely with Bosnian authorities and the international community to combat narcotics trafficking and money laundering.

Bilateral Cooperation. The United States remains committed to providing the counternarcotics training and support needed to foster independent law enforcement operations by Bosnian authorities.

The Road Ahead. With the International Police Task Force’s (IPTF) shifting from training to more focused monitoring of local police forces, the international community will increasingly emphasize advanced specialized training in areas such as counternarcotics. Seeking voluntary contributions from donor governments, the UNDCP has put forward a proposal to help speed this effort. The USG in particular has focused its bilateral training programs on related subjects such as organized crime, public sector corruption, and border controls. The international community is working to increase local capacities and to encourage interagency cooperation by mentoring and advising the local law enforcement community. The recent formation of an inter-entity joint task force will facilitate the exchange of information between RS and Federation authorities and could pave the way for inter-entity law enforcement operations, a distant but essential goal.

Bulgaria

I. Summary

Bulgaria, strategically situated on Balkan routes between Turkey to the southeast and Romania and Serbia to the north and west, is vulnerable to illegal flows of drugs in either direction. Heroin moves through Bulgaria from Southwest Asia, while precursor chemicals used for making heroin move from the former Yugoslavia to Turkey and beyond. Marijuana and cocaine also pass through Bulgaria. Although Western Europe may be in more immediate danger, the DEA reports that organized crime networks linked to Bulgaria have a "direct U.S. impact nexus" with bases in Phoenix, Las Vegas, and Los Angeles. Nevertheless, there is no indication yet that they traffic narcotics to the United States in quantities sufficient to have a significant impact on the United States.

Despite the complications arising from the formation of a new administration after elections in June 2001, Bulgaria has made steady, if not spectacular, progress in improving its law enforcement capabilities and Customs Service. Bulgaria has taken pride in the large amounts of drugs (particularly heroin) seized by its law enforcement agencies. The Government of Bulgaria (GOB) has proven very cooperative, working with many U.S. agencies, and has reached out to neighboring states to work on the illegal flows of drugs and persons. Nevertheless, Bulgarian law enforcement agencies and the judiciary require further assistance to develop the capacity to fight serious crimes effectively.

Bulgaria is a significant drug-transit country centrally located on three traditional Balkan routes between Turkey and, respectively, the Federal Republic of Yugoslavia, Romania, and the former Yugoslav Republic of Macedonia. Small quantities of opium poppies and cannabis are grown in Bulgaria. Clandestine labs produce amphetamines and diverted acetic anhydride is transported from Bulgaria to Turkey.

The new government, elected in June 2001, has emphasized its commitment to combat serious crime including corruption and drug trafficking. The new President, who took office in January 2002, has also indicated his support for these efforts. Bulgaria’s efforts to meet EU legal standards is a noteworthy accomplishment, but there were no major convictions for drug trafficking during 2001. Among the problems hampering Bulgaria’s counternarcotics efforts are poor inter-agency cooperation, weak witness and victim protection mechanisms, inadequate equipment to facilitate the search for drugs, and a lack of prosecutions. Moreover, as the Bulgarian Interior Minister has publicly stated: "Few of [Bulgaria’s] judges have any courage. Quite a few [are] corrupt."

Policy Initiatives. The new Bulgarian government put in place an activist (albeit controversial) new head of the Customs Service whose mission has been to enhance that agency’s ability to seize contraband, decrease corruption within that agency, and increase the revenues for the GOB derived from the proper payment of duties. Customs announced in September 2001 that it was setting up a new directorate to combat drug trafficking and instituting properly vetted mobile teams to stop and search for drugs in any vehicle in the country. At the same time, the National Service for Combating Organized Crime (NSBOP) remains the principal investigative agency in this area. The NSBOP, based in Sofia, collects and analyzes information from all agencies, and has national jurisdiction. In December 1999, the NSBOP inaugurated the Narcotics Intelligence Center, which is an interagency body, and has continued to train its analysts with support from the EU and UN.

Accomplishments. According to the head of Bulgaria’s Customs Service, a total of two metric tons of drugs was seized at Bulgarian border crossings from the beginning of 2001 to early November 2001. Of that overall amount, some 1.5 metric tons were heroin, according to the same source. By comparison, 2,541 kilograms of narcotics were seized in 2000, of which 1,785 kilograms were heroin. In addition, following a wave of killings among underworld figures, the Sofia police increased their interrogation of drug dealers and stepped up efforts to keep street dealers away from schools.

Law Enforcement Efforts. NSBOP has proved effective in blocking some percentage of the flow of drugs through Bulgaria. Unfortunately, as the Chief Secretary of the Bulgarian Interior Ministry has acknowledged, Bulgaria has not done as good a job in combating the distribution of narcotics within Bulgaria. Otherwise, as noted, seizures of drugs during 2001 appear to be on a par with 2000. In October 2001 there was a spike in seizures, which may have been due in part to the efforts of the Taliban to unload stocks of heroin following the onset of hostilities in Afghanistan.

Corruption. On November 27, 2001, the new government issued a 34-page anticorruption plan, which includes the establishment, along EU lines, of an anticorruption unit within the Ministry of Interior. The plan also calls for the development of an integrated information system, the improvement of fiscal controls within agencies, the implementation of measures to reduce tax evasion, and the review of major privatization deals, as well as the improvement of the privatization process. (One factor in the defeat of the previous governments was that many Bulgarians perceived it as suffering from endemic corruption.) The Minister for State Administration has said that foreign donors will provide 15 to 20 million leva (about U.S. $7-$10 million) for this initiative. The extent to which the plan is implemented remains to be seen. At the same time, the overly broad immunity granted to judges, prosecutors, and investigating magistrates by article 132 of the Bulgarian constitution is believed to abet corruption because those officials cannot be prosecuted for criminal acts. Efforts to rationalize the extent of such immunity have yet to come to fruition.

Agreements and Treaties. Bulgaria is a party to the 1988 UN Drug Convention, the 1961 UN Single Convention on Narcotic Drugs, the 1972 Protocol amending the Single Convention, the 1971 UN Convention on Psychotropic Substances, and the 1990 Convention on Laundering, Search, Seizure and Confiscation of Proceeds from Crime. Bulgaria deposited its instruments of ratification for the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants on December 5, 2001. Bulgaria signed the Protocol against the Illicit Manufacturing of and Trafficking in Firearms on February 15, 2002.

The 1924 U.S.-Bulgaria Extradition Treaty and a 1934 supplementary treaty are in force and in use although there have been difficulties in implementation in narcotics cases. For example, a Bulgarian court in 2000 released an indicted narcotics trafficker whose provisional arrest and extradition the United States had requested. That case remains unresolved as Bulgaria is still looking for the individual. As a result of these difficulties, productive consultations were conducted in 2001 with Bulgaria regarding implementation of the treaty. Bulgaria is also party to the 1957 Council of Europe Convention on Extradition, the 1959 European Mutual Legal Assistance Treaty in Penal Measures, and the 1983 Council of Europe Convention on Transfer of Sentenced Persons. It also has a bilateral treaty with Turkey for transfer of convicted persons. The Bulgarian Customs Service has memoranda of understanding on mutual assistance and cooperation with several European counterparts and is negotiating or updating others. The United States and Bulgaria signed a cooperation agreement in 2000. The GOB coordinates with INTERPOL and EUROPOL.

In addition to being a party to the international agreements and treaties noted above, the Government of Bulgaria works actively with the United States and EU member states to improve their law enforcement capabilities.

With respect to cooperation on narcotics, the National Service for Combating Organized Crime, which has established a center for analyzing narcotics trafficking information, maintains close contact with the DEA. Bulgaria has been working closely with the Southeast European Cooperation Initiative (SECI), and it is expected to provide a narcotics officer to serve as a facilitator of the SECI regional task force. At the same time, as part of Bulgaria’s efforts to join the EU, Bulgaria has willingly accepted close cooperation with UK experts, particularly in the customs field. Finally, Bulgaria is reaching out to neighboring countries, and not just in the context of SECI. In October 2001, a tripartite Cooperation Committee was established under the auspices of the foreign ministers of Bulgaria, Greece, and Turkey to deal with issues of common interest, including the illegal trafficking of drugs and persons across their borders.

Cultivation/Production. Law enforcement officials do not routinely calculate crop size or yields for illegal narcotics crops. When necessary, case-specific determinations are made based on the weight of dry leaves yielded from one square meter times the dimensions of the field. In general, yield calculations for illegal narcotics crops are difficult because cannabis, for example, can be grown among other, legal crops.

Drug Flow/Transit. Heroin from the Golden Crescent and Southwest Asian sources (e.g., Afghanistan) remains the main illegal drug transiting Bulgaria, though some marijuana and cocaine also transit Bulgaria. The northern Balkan route from Turkey through Bulgaria to Romania is the most frequently used overland route. Other routes go through the Federal Republic of Yugoslavia and the former Yugoslav Republic of Macedonia. In previous years, GOB officials noted the transiting of apparently increasing amounts of Brazilian cocaine. It is clear that precursor chemicals for the production of heroin pass from the former Yugoslavia through Bulgaria to Turkey.

Domestic Programs (Demand Reduction). Although Bulgaria’s drug abuse problem is not growing as rapidly as some observers had anticipated, it is growing, in part because drug traffickers compensate local criminal organizations in kind. This supply, in turn, helps create a market as local criminals seek to unload the drugs they receive as payment. Experts estimate that in this country of slightly less than eight million, according to the latest census, there are up to 50,000 heroin users, fewer than ten percent of whom are in treatment. Cocaine is too expensive for all but the wealthy. Marijuana has traditionally been used in rural areas. MDMA (ecstasy) is an important and growing problem among university students. As in previous years, drug consumption is particularly noteworthy among marginalized Roma, among whom glue sniffing is a serious problem. There is also drug abuse in prisons and among traffickers.

Demand reduction has received government attention for several years. The Ministry of Education requires that schools nationwide teach health promotion modules on substance abuse. There is also a World Health Organization program for health promotion in 30 target schools. The Bulgarian National Center for Addictions provides training seminars on drug abuse for schoolteachers nationwide. There are also municipal demand reduction programs co-sponsored by the National Center for Addictions and the Institute of Public Health in six major cities and a number of smaller communities. Three universities provide professional training in drug prevention.

For drug treatment, there are 35 outpatient units and ten to 12 inpatient facilities nationwide. The National Center for Addictions has psychiatric units in 20 regional centers. Specialized professional training in drug treatment and demand reduction has been provided through programs sponsored by the UNDCP (funded by the U.S. Department of State and the Government of Italy), the EU’s PHARE program, and the Council of Europe’s Pompidou Group.

The United States supports various programs, through the State Department, USAID, DOJ, DEA, and FBI to address various problems in the Bulgarian legal system. Among the issues these initiatives address are a lack of adequate equipment (e.g., in the Customs Service), the need for improved administration of justice at all levels (starting with investigations and continuing through better training of judges), and the inadequacy of cooperation among Bulgarian agencies. In late 2000, DOJ sent a regional legal advisor, who set up a permanent office in early 2001 to work with the GOB on law enforcement issues including drugs. Likewise, a Department of Justice/Central and East European Legal Initiative advisor was appointed to consult with and advise Bulgarian prosecutors and investigators. USAID’s assistance in the training of magistrates, which continues to focus on judges, also serves to reinforce the GOB’s counternarcotics effort.

Bilateral Cooperation. Officials from the DEA, DOJ, FBI, and other agencies report positive and productive relations with their Bulgarian counterparts. Such excellent connections are significant not only with respect to training programs, such as courses offered at the International Law Enforcement Academy (ILEA) in Budapest or workshops, but also at the operational level. The challenge has been, as often as not, to encourage cooperation among Bulgarian institutions themselves.

The Road Ahead. Among the most important steps the United States would like to see the Government of Bulgaria take are: successful prosecution of organized crime figures (especially but not limited to drug traffickers); implementation of the anticorruption program; continued progress in making the Customs Service more effective; proper limits on magistrates’ immunity; and the establishment of adequate witness protection mechanisms.

Croatia

I. Summary

In December 2001, Croatia’s new counternarcotics law went into effect, creating an interagency government commission to fight drug abuse and a new office of drug control policy. The commission will be chaired by the Assistant Minister of Health and will be staffed by senior experts with backgrounds in enforcement and treatment. The government office will serve as a resource for the commission and for ministries dealing with drug-related issues. Both bodies are eager to discuss ways to benefit from other countries’ experience.

Croatia is not a major producer of narcotics. However, narcotics smuggling, particularly heroin, through the "Balkan Route" to Western Europe remains a serious concern. The Balkan Route appears to be the source of narcotics for most of Croatia’s moderate domestic consumption. Although Croatia is not a major transit country for illicit drugs entering the United States, it remains a country of concern to the United States. Croatia also has moved aggressively to increase law enforcement and border control cooperation with its neighbors, including the Federal Republic of Yugoslovia (FRY) and Bosnia and Herzegovina. Croatia’s Interior and Health Ministries are the government bodies most directly involved in counternarcotics activities. Croatia’s national narcotics strategy focuses on reducing the availability and demand for narcotics and curtailing Croatia’s use as a narcotics transshipment point. Croatia is a party to the 1988 UN Drug Convention.

Croatia, with a geographic position along the most direct route to Europe from Asia and with limited resources for securing its extensive coastline and land borders, offers significant possibilities for smuggling narcotics and other contraband. The disruption in the Balkan Route caused by the breakup of Yugoslavia is ebbing. Police officials note a steady increase in smuggling from Bosnia, although some traffic continues to flow through alternative, northern routes developed during the 1991 to 1995 Balkan wars. Domestic narcotics abuse remains a priority area of attention. Drug abuse is centered in major urban areas. Along with Zagreb, the port city of Split, in part because of its poor economy, is developing into a center of drug abuse.

Croatia developed a national strategy for combating narcotics abuse in 1998 to address the serious issue of heroin addiction, the growth of which Croatian experts attributed to continuing effects of the war. Croatia’s strategy includes measures to reduce supply and demand and also addresses treatment issues. The Interior Ministry, Justice Ministry, and Customs Directorate have primary responsibility for law enforcement issues, while the Ministry of Health has primary responsibility for the strategy to reduce and treat drug abuse. The Interior Ministry’s counternarcotics division is responsible for coordinating the work of drug units in police departments throughout the country. The Interior Ministry maintains cooperative relationships with INTERPOL and an expanding number of neighboring states.

Policy Initiatives. Croatia’s parliament passed a new drug law in late November 2001 which entered into force in early December. The law identifies drug trafficking and abuse as priorities for the Croatian government and creates a senior-level interagency commission to oversee government efforts on the issue. The law also creates a permanently staffed government office of administrators and policy experts from enforcement and abuse prevention to support the work of the commission and the ministries involved in the fight against drugs. As the new drug law only entered into force in early December, the commission has not yet met. The commission intends to seek out advice from the international community in establishing its counternarcotics office.

The parliament also recently passed new legislation creating a special office within the Office of the State Attorney (Prosecutor’s office) to combat organized crime and corruption. The new legislation gives the office enhanced powers to detain suspects, freeze assets, and use plea bargaining to attack organized crime. The government is developing new legislation on witness protection and is planning a thorough overhaul of the penal code. Taken together, these changes should enhance the ability of Croatian law enforcement and prosecutors to combat international narcotics trafficking. In 2001 Croatia also adopted new legislation strengthening the enforcement capabilities of customs officials.

Croatia in 2001 stepped up its international law enforcement cooperation, for example, signing police and border cooperation agreements with Bosnia and Herzegovina, the FRY, and Hungary. Croatia also has intensified its cooperation with Western European states to improve the control and management of its still porous borders.

Law Enforcement Efforts. Unlike 2000, when 930 kilograms of cocaine were seized, there were no major seizures of narcotics in Croatia in 2001. During the first ten months of 2001, police made 6,604 seizures of narcotics and 6,180 persons had drug-related criminal charges filed against them. This represents an approximately ten percent increase over 2000. Seized drugs include: heroin, cocaine, hashish, marijuana, amphetamines, LSD, and MDMA (ecstasy), but judging from amounts seized, heroin and marijuana appear to remain the local drugs of choice. Croatian officials estimate that there are approximately 12,000 heroin addicts, consuming between 400 to 500 kilograms of "street-ready," "cut" heroin per annum.

Corruption. Narcotics-related corruption does not appear to be a serious problem in Croatia. A trial of a Croatian organized crime ring is underway. The Prosecutor’s office is seeking to prosecute a number of businesspeople and politicians linked to the right-wing HDZ party for corruption and financial crimes during HDZ rule in the 1990s, but none of these cases is linked to narcotics.

Agreements and Treaties. In 2001 Croatia entered into a number of agreements with neighboring states, such as Bosnia and Herzegovina, the FRY, and Hungary, on law enforcement cooperation. It also intensified its cooperation with Italy and Slovenia on border control. In 2000 Croatia entered the Southeast Europe Cooperative Initiative’s (SECI) agreement to prevent and combat transborder crime. Croatia plans to send its police and customs representative to the SECI crime center in Bucharest in early 2002 for on the job training in international police coordination. Croatia is a party to the 1988 UN Drug Convention, the 1961 UN Single Convention on Narcotic Drugs, the 1972 Protocol amending the Single Convention, and the 1971 UN Convention on Psychotropic Substances. Croatia has signed but not ratified the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

Extradition between Croatia and the United States is governed by the 1902 extradition treaty between the United States and Serbia, which applies to Croatia as a successor state to the FRY. Under the Croatian constitution, Croatian citizens may not be extradited, except to the Yugoslavia War Crimes Tribunal in The Hague.

Cultivation/Production. The Interior Ministry continues a program to identify marijuana cultivation. Small-scale production for domestic use is the only narcotics production within Croatia, according to enforcement officials.

Domestic Programs (Demand Reduction). The GOC continues to follow its 1998 national strategy on demand reduction. Croatia’s new law on drugs will enable the Ministry of Health to support the efforts of non-governmental (primarily church-based) drug treatment programs. This reduction also reflects a slight decline in heroin addiction from its 1998-1999 peak. The Ministry of Health attributes this decline as much to the gradual easing of social upheaval caused by the war as to the efforts of the government.

The Ministry of Education requires drug education in primary and secondary schools. The state-run medical system offers treatment for addicts, but slots are insufficient to house all those needing treatment. The Ministry of Health operates in-patient detoxification programs as well as 14 regional out-patient methadone clinics. Because of reduced funding, the Health Ministry reports that the number of adults in state treatment programs has been reduced by ten percent. The government continues to run public awareness campaigns against drug use and continues to reject calls to decriminalize possession of marijuana for personal use..

The United States is providing technical assistance to the Croatian Customs Directorate in support of its participation in a World Bank/Southeast Europe Cooperative Initiative (SECI) trade and transportation facilitation project that, inter alia, will assist the GOC in interdicting contraband shipments. The United States also is increasing its technical assistance to Croatia to assist the GOC in its efforts to improve the criminal justice system and attack organized crime and money laundering.

Croatia’s democratic transition in 2000 opened the door to enhanced bilateral law enforcement cooperation. The USG has sent advisers to work with the Ministry of Interior, Ministry of Justice, and Prosecutor’s Office on criminal justice reform. Issues addressed include money laundering, organized crime, and witness protection. In 2001 the USG also launched a program of technical assistance to the Interior Ministry with the goals of supporting GOC police reform efforts, modernizing police training, and strengthening internal affairs and general police policies and procedures. In addition, the United States is providing technical assistance to the Croatian Customs Directorate that, inter alia, will improve the capabilities of Croatian Customs to profile suspicious shipments, interdict drug shipments, and curb corruption.

Cyprus

I. Summary

Although Cypriots do not produce or consume significant amounts of narcotics, there continues to be increasing concern on the island about a perceived increase in drug use. The Government of Cyprus traditionally has had a low tolerance attitude toward any use of narcotics by Cypriots and continues to utilize a public affairs campaign to remind Cypriots that narcotics use carries heavy penalties. Drug traffickers appear to continue to use Cyprus as a transshipment point due to its strategic location and its relatively sophisticated business and communications infrastructure. In 2001, several persons transiting Cyprus were arrested for possessing significant quantities of narcotics.

Cyprus monitors the import and export of precursor chemicals for local markets. Cyprus’s geographic location and the free-port status of its two main seaports continue to make it an ideal transit country for trade in chemicals and most goods between Europe and the Middle East. Cyprus customs authorities are implementing a series of changes in their inspection procedures, including computerized profiling and expanded use of technical screening devices, such as portal monitors. A party to the 1988 UN Drug Convention, Cyprus strictly enforces tough counternarcotics laws, and its police and customs authorities maintain excellent relations with their counterparts in the U.S. and other governments.

Cyprus has a small, but growing population of soft-core drug users. Hashish is the most commonly used drug, followed by heroin, cocaine, and MDMA (ecstasy), all of which are available in major towns. The use of cannabis and ecstasy by young Cypriots and tourists continues to grow. The Government of Cyprus has traditionally adopted a low tolerance attitude toward any use of narcotics by Cypriots and uses a pro-active public relations strategy to remind Cypriots that narcotics use carries heavy penalties. The media reports extensively whenever narcotics arrests are made.

Cypriots themselves do not produce or consume significant quantities of drugs. The island’s strategic location in the eastern Mediterranean may have made Cyprus a convenient stopover for narcotics traffickers in the past. Cyprus offers highly developed business and tourism facilities, a modern telecommunications system, and the fifth largest merchant shipping fleet in the world. Still low by international standards, drug-related crime has been steadily rising since the 1980’s.

Cypriot law carries a maximum prison term of one year for drug users under 25 years of age with no police record. Sentences for drug traffickers range from four years to life, depending on the substances involved and the offender’s criminal record. Cypriot law allows the confiscation of drug-related assets and allows the freezing of profits or a special investigation of a suspect’s financial records.

Policy Initiatives. Following the September 11 terrorist attacks on the United States, the Central Bank issued a series of orders requiring banks to notify the Central Bank of accounts held by specified individuals or organizations associated with the financing of terrorist organizations and to freeze assets held in those accounts.

On September 25, 2001, the Central Bank sent a letter to the Cyprus Bar Association and the Institute of Certified Public Accountants calling upon the two associations to request their members to examine whether "they have ever been employed to carry out any work which may even vaguely be suspected to relate directly or indirectly with Bin Laden, the Al-Qaeda organization, or related persons." This request could also produce some new information about transactions involving narcotics trafficking or the proceeds of narcotics trafficking by Al-Qaeda or associated groups.

Cultivation/Production. Cannabis is the only illicitly cultivated controlled substance in Cyprus, and it is grown only in small quantities for local consumption. The Cypriot authorities vigorously pursue this illegal cultivation.

Drug Flow/Transit. Although no longer considered a significant transit point for drugs, Cyprus has seen several cases of narcotics smuggling. During the past year, Cypriot law enforcement authorities developed information and cooperated with the DEA’s office in Nicosia in an international investigation that resulted in the seizure of five tons of cocaine originating from Colombia, the dismantling of a Spanish criminal organization, and the seizure of a fishing vessel and off-load crew responsible for transporting the cocaine. Tourism to Cyprus is accompanied by the import of some narcotics, principally ecstasy and cannabis. Cyprus police believe their efforts in combating drug trafficking have mostly converted Cyprus from a drug transit point to a "broker point," in which dealers meet potential buyers and negotiate the purchase and shipment of future shipments. This change is likely also as a result of improved conditions in Lebanon. Lebanese containerized freight now moves directly to third countries without transiting Cyprus. Law enforcement authorities in Cyprus attempt to interdict drugs transiting Cyprus when information is made available. Cypriot law enforcement authorities robustly continue their policy of cooperating with international efforts to combat organizations responsible for the trafficking of narcotics. There is no significant sale of narcotics occurring in Cyprus.

There is no production of precursor chemicals in Cyprus, nor is there any indication of illicit diversion. Precursor chemicals manufactured in Europe do transit Cyprus to third countries. Cyprus Customs no longer receives manifests of transit goods, as the seaports of Larnaca and Limassol have been declared "free ports." Goods entering Cypriot free ports can be legally re-exported using different Customs documents, as long as there is no change in the description of the goods transported.

• Cyprus aggressively pursues drug seizures, arrests, and prosecutions for drug violations.
• Cyprus focuses on major traffickers when the opportunities are available and readily supports the international community in its efforts.
• There have been no significant changes in the structure of the Cypriot law enforcement agencies.
• Cypriot police are generally effective in their law enforcement efforts; their techniques and capacity remain restricted by a shortage of financial resources.

The Republic of Cyprus authorities have no working relations with enforcement authorities in the Turkish-controlled northern sector of the island—the self-proclaimed "Turkish Republic of Northern Cyprus (TRNC)." The U.S. Embassy, including in particular the DEA office within the embassy, work with Turkish Cypriot authorities on international narcotics-related issues. Turkish Cypriots have their own law enforcement organization, responsible for the investigation of all narcotics-related matters. They have shown a willingness to pursue narcotics traffickers and to provide assistance when asked by foreign law enforcement authorities request it.

Corruption. There is no evidence that senior or other officials facilitate the production, processing, or shipment of drugs, or the laundering of the proceeds of illegal drug transactions.

Agreements and Treaties. Cyprus is a party to the 1988 UN Drug Convention, the 1961 Single Convention on Narcotic Drugs, the 1972 Protocol amending the Single Convention on Narcotic Drugs, and the 1971 Convention on Psychotropic Substances. It is also a party to the 1995 European Convention on Laundering, Search, Seizure and Confiscation of the Proceeds from Crime, the European Convention on the Transfer of Proceedings in Criminal Matters, and the European Convention on Mutual Assistance in Criminal Matters. Cyprus has signed the UN Convention against Transnational Organized Crime, the Protocol to Prevent, Suppress and Punish Trafficking in Persons, and the Protocol against the Smuggling of Migrants.

A new extradition treaty between the United States and Cyprus entered into force in September 1999. The United States and Cyprus signed a mutual legal assistance treaty in December 1999. The treaty awaits ratification by the House of Representatives of Cyprus.

Domestic Programs (Demand Reduction). Cyprus actively promotes demand reduction programs through the school system and through social organizations. Drug abuse remains relatively rare in Cyprus. Hashish is the most commonly encountered drug, followed by heroin, cocaine, and ecstasy, all of which are available in most major towns. Users consist primarily of young people and tourists. Recent increases in drug use have prompted the government actively to promote demand reduction programs through the school system and social organizations, with occasional participation from the DEA’s office in Nicosia. Drug treatment is available.

The deterrence of money laundering in Cyprus continues to be one of the highest priorities for U.S. policy toward Cyprus. The Ambassador and other members of the U.S. Embassy in Nicosia raised the issue repeatedly during 2001 with key Cyprus government officials.

Bilateral Cooperation. Bilateral cooperation between the USG and GOC in law enforcement efforts has been excellent, as has the GOC’s bilateral cooperation with neighboring countries.

The Road Ahead. The USG receives close cooperation from the Office of the Attorney General, the Central Bank, the Cyprus Police, and the Customs Authority in drug enforcement and anti-money laundering efforts. In 2002, the USG will continue to work with the Government of Cyprus to heighten further its enforcement of its laws. The USG, through the U.S. Embassy in Nicosia, will make every effort to track the influence/effect of organized crime in Cyprus.

Czech Republic

I. Summary

The Czech Republic is both a transshipment and destination country for illegal narcotics. Limited amounts of pervatine (a Czech-produced methamphetamine) are produced in-country, some for export to neighboring states. Czech counternarcotics policy emphasizes both interdiction and criminal penalties against narcotics traffickers and, to a lesser extent, users. Czech cooperation with U.S., European, and international law enforcement efforts remain