Global Intelligence Note SUPPLY CHAIN INTELLIGENCE CENTER 28 June 2019

The SensiGuard™­ Supply Chain Intelligence Center (SCIC) presents a summary of major incidents and news articles EMEA relating to cargo theft and intelligence for the week ending 28 June 2019.

EMEA The Netherlands The Netherlands...... 1 Italy...... 1 21 June 2019: Four boxes containing bottles United Kingdom...... 2 of counterfeit cancer drugs have been Germany...... 2 found at a Dutch pharmaceutical wholesale Russia...... 2 company. The drug is used to treat colon South Africa...... 3 cancer and costs around €1,224 a bottle. Spain...... 3 Health inspectors say that the labeling was forged and they are APAC trying to find out exactly what is in the bottles and how they China...... 3 came to be at the wholesalers. The wholesale company has China/Europe...... 3 not been named. The drug was identified using a new scanning Philippines...... 3 system to check for counterfeit medicines as part of an effort to improve drug safety. Australia...... 4 Read more: Dutch News (The Netherlands) North & South America Brazil...... 4 Mexico...... 4 U.S. & Canada...... 5 Global...... 5 Italy

21 June 2019: They have been dubbed the “harbor vampires”—a mechanic working inside the port and an online car dealer are responsible for fuel thefts in the port of Salerno. The volume of business was large; in one week, up to five tons of fuel were removed. Investigations were carried out by the personnel of the maritime and air border police of Salerno. Read more: Salerno Sera (Italy)

sensitech.com United Kingdom 25 June 2019: A criminal network of truck drivers made at least £3 million smuggling illegal 27 June 2019: It has recently come to migrants into Britain. The astonishing figure was the attention of the U.K. Government that released by French police who made seventeen medicines have been taken out of the arrests while smashing the human trafficking ring. It extended regulated medicines’ supply chain during across Europe, and involved the drivers packing their trucks with distribution and later re-introduced. This a cargo of men, women and children. means that the correct transport and storage conditions cannot Read more: Daily Mail (U.K.) be guaranteed during this period and, while unlikely, could impact their effectiveness. The products have been parallel imported into the U.K. from Italy and have been re-labelled. Read more: Gov.uk Germany

27 June 2019: The U.K. government has 28 June 2019: Five truck drivers parked their trucks announced new plans to create an “express at the parking area in Geiselwind just off the A3 to freight contingency arrangement” to keep take their mandatory rest periods. When they went supplies of critical medicines coming into to continue their journey the next morning around the country if it leaves the EU without a deal 06:00, they discovered that thieves had tampered on 31 October. In an apparent change of strategy, following with their vehicles. While only the tarpaulin was slashed on one the disastrous attempt to secure extra ferry freight capacity semi-trailer, with nothing stolen from it, the other trucks had before 29 March (estimated to have cost hundreds of millions vehicle batteries, “as good as new” truck tyres, and sportswear in charter costs, legal fees and compensation), cabinet minister worth over €10,000 taken. After a scan of the area, packages of David Liddington told parliament the new capacity would remain the sportswear were found in nearby shrubbery. “flexible”. Read more: In Franken (Germany) Read more: The Loadstar (U.K.) 26 June 2019: A witness spotted two criminals 25 June 2019: A truck driver had his truck stolen slash the trailer curtain on a truck parked on at knifepoint by a group of four men in West Römerstraße, Vierlinden (Duisburg). The Bromwich. The driver was sat in his truck on police were called and when they arrived the William Street when the group, one armed with a two suspects had loaded their van with household and bath knife, approached him and dragged him out the textiles from the truck. The suspects fled, leaving behind their vehicle. One man then jumped in the truck and fled the scene van and the stolen products. while the other three got in a car and also fled. The truck was Read more: PressePortal (Germany) located nearby and recovered an hour later. Read more: Express and Star (U.K.)

25 June 2019: Thieves stole a truck and Russia £100,000 worth of equipment and red diesel 26 June 2019: Russian Railways (RZD) intends from a layby in Yorkshire. It happened at to increase the volume of containers running a compound in a layby at Dalton on Tees, from China to Europe via Mongolia. To this just off the A167 Darlington to Northallerton end, the Russian company will modernise the road. Suspects cut the lock and chain to gain entry into the rail infrastructure in the neighbouring country and supply new compound. They then stole a white, 28-tonne, 3-axle low loader freight locomotives. and its contents before fleeing the scene. The stolen items on Read more: RailFreight.com the low loader included a 50-tonne cement silo, a generator, and a large white fuel tank containing red diesel. Read more: Yorkshire Evening Post (U.K.) sensitech.com SCIC Global Intelligence Note 28 June 2019 2 South Africa APAC 26 June 2019: Cash-in-Transit heists are down but cyber-crime is on the increase. While other banking- related crimes increased in 2018, there were drops in Cash-in-Transit (CIT) heists by 22% and ATM China attacks by 7%. “We are pleased that Cash-in-Transit (CIT) robberies decreased by 22% from 376 to 292 incidents 25 June 2019: The rail freight industry on the from 2017 to 2018. Cash losses here also showed a decrease New Silk Road is to face new competition from of 22% for the same period,” the South African Banking Risk the road, as the Chinese government has fully Information Centre (Sabric) CEO said at the launch of its 2018 opened all its checkpoints to international road crimes stats in Sandton. Digital banking crimes increased by transport under TIR. This was reported by the International Road 75.3% from 13,389 incidents to 23,466—in which R262m was Transport Union (IRU). TIR (Transport International Routiers) is a stolen. These crimes were committed via phishing, vishing, globally applicable international customs transit and guarantee SMishing or e-mail hacking, he said. system. It enables goods to be shipped from a country of origin, Read more: Herald Live (South Africa) through transit countries, to a country of destination in sealed load compartments. Read more: RailFreight.com 24 June 2019: The Brooklyn police are investigating two truck Hijackings that occurred on the . The police spokesperson said a truck driver taking cargo to Windhoek “was pulled over by a white vehicle with blue China/Europe lights” before the N4 off-ramp. She said the two occupants of 25 June 2019: The rail transport of dangerous the vehicle informed him that his taillights were not working. goods between China and Europe will be “When the driver got out of his vehicle to check, he was permitted before the end of this year. The threatened with a firearm and forced into the boot of the other Chinese government is currently reconsidering vehicle which drove away. He was then locked in a room at an the restrictions on this type of cargo, with the aim of enabling unknown location before being released that evening. Earlier export as well as import of products that contain dangerous in the day, a similar incident happened—another driver and substances. This was confirmed by two trustworthy carriers on his crew were stopped close to the Rigel off-ramp by a “white the New Silk Road. vehicle with blue lights.” She said the driver noticed a white Read more: RailFreight.com small van had pulled up in front of his truck before two armed men from the other vehicle ordered him and his crew into the back of the van. Read more: Rekord East (South Africa) Philippines

23 June 2019: Police are on the hunt for suspects who stole an entire 10-wheel truck on a major Spain highway at the village of Jia-an, Jiabong Town in Province. The chief of the Jiabong police 26 June 2019: Around thirty rail freight said the truck was carrying P2 million in goods and services will suffer delays and a cost increase was headed to the city when a pick-up truck blocked its path. due to nearly three months of upgrade works At least three men brandishing guns emerged from the pickup on the railway that links Zaragoza with Sagunto and, at gunpoint, ordered the driver and helper out of the truck. Port. This 315 kilometre-long railway line runs through Teruel Two of the gunmen took over the truck and sped off toward and terminates just north of Valencia. The works are carried out City. between 9 July and 5 October at a total budget of €100 million. Read more: Inquirer.net (Philippines) Read more: RailFreight.com sensitech.com SCIC Global Intelligence Note 28 June 2019 3 Australia 26 June 2019: Eight men were arrested in relation to a cargo theft, during which a criminal 22 June 2019: A malicious cyber-attack at group Hijacked a trailer loaded with home Geelong Port has sparked fears customers appliances valued at approx. USD $26,182. could be vulnerable to serious identity theft. The theft occurred on 9 April in Vila Industrial, The attackers hacked the email account Maranhão. During the arrests, which took place this past of a Geelong Port employee on 18 April, Wednesday, authorities seized a .38 caliber fire arm, 53 bags of potentially exposing sensitive details of hundreds of customers, cocaine, large quantities of marijuana, as well as a vehicle used including driver’s licence numbers, which could be used to set to carry out the cargo theft. up illegitimate bank accounts. The port is the second biggest in Read more: Globo G1 (Brazil) Victoria and manages $7 billion worth of trade. Read more: Press Reader (Australia)

Mexico

27 June 2019: Federal Police Officers in North & South Acatzingo, Puebla came across a trailer as it was being Hijacked by armed criminals, who America attempted to escape aboard the stolen vehicle, engaging in a shootout with authorities. As the high speed chase neared the town of Actipan de Morelos, the trailer collided with a car, which it dragged for several Brazil meters. Though the car was completely totaled, the driver was unharmed, and the police chase continued until reaching km 27 June 2019: One person was killed and three 162 of Highway Mexico-Veracruz (MEX-150D). other people were injured during an attempted Hijacking on Via Dutra in Nova Iguaçu, Rio 22 June 2019: A cargo truck was stolen leaving de Janeiro. Authorities reported an intense the Mexico City International Airport Customs. shootout, during which grenades were also The driver reported that he was intercepted by thrown but didn’t explode. The people injured include two two armed men who then forced him into another security guards and two cargo thieves, one of whom died as a vehicle and held him hostage while they emptied result of his injuries. the cargo truck, which was loaded with USD $1.2 million worth Read more: O Dia (Brazil) of apparel belonging to a well-known sports brand. What’s even more alarming is that the theft/kidnapping occurred in broad 26 June 2019: While searching for a cargo truck daylight. Authorities continue to investigate the incident, but no reported as stolen in Casca, the Federal Highway arrests have been made as of yet. Police arrested three men aboard a stolen car. Upon searching the vehicle, officers found a .38 caliber 21 June 2019: Hundreds of truck drivers rallied revolver and two jammers, one equipped with to block Highway Mexico-Veracruz (MEX-150D) twelve antennas, and the other with sixteen. All three males are at the San Martin Texmelucan Tollbooth during apparently residents of Santa Catarina and are believed to form the President’s visit last week. The group of part of a cargo theft gang. At least two of the males had prior drivers were protesting the growing insecurity along the state’s arrests related to cargo theft. highways. Members of the National Confederation of Mexican Read more: Riscos Brasil (Brazil) Carriers (Conatram) were present, demanding that the President addresses the issue. The state of Puebla is consistently one of the highest ranking states in terms of cargo theft, a criminal activity that has been on the rise, particularly along highway MEX-150D. sensitech.com SCIC Global Intelligence Note 28 June 2019 4 U.S. & Canada 21 June 2019: Following a second large drug bust aboard its box-ships this year, an 26 June 2019: During Q1-2019, cargo international ocean container shipping line has thefts in the United States rose 25% had its Customs Trade Partnership Against to 144 reported incidents, with the Terrorism (C-TPAT) certificate suspended by average loss for each occurrence rising the U.S. Customs and Border Protection agency. The agency 1% to $116,717, according to the SensiGuard Supply Chain acted after two ships this year were found to have large volumes Intelligence Center. of illegal drugs smuggled aboard them. In a note to customers Read more: Transport Topics released last night, the shipping line highlighted that the C-TPAT certificate was “temporarily suspended – not revoked.”

24 June 2019: Edwardsville (Illinois) Police Read more: FreightWaves.com are investigating the theft of more than $78,000 worth of razors from a warehouse 21 June 2019: Despite President Trump’s veiled in the Gateway Commerce Center. An threats about tariffs, his meeting with Canadian employee reported that two pallets, including large boxes of Prime Minister Justin Trudeau produced an razors, were missing. A witness at the business told police he important agreement with the potential to speed saw a white pickup truck speeding through the parking lot. up cross-border supply chains. The two leaders said they will Police have filed applications for search warrants, including one implement an existing agreement to expand pre-clearance for a cell phone found after the theft. operations between the U.S. and Canada – which would include Read more: The Telegraph (Alton, IL) cargo. Read more: FreightWaves.com

22 June 2019: As U.S. growth decelerates, an overwhelming majority of trucking companies expect shipping rates to either fall or stay flat, as the Truckload Diffusion Indicator Global tumbled to its weakest levels since October 2016. The index, a barometer of the freight-hauling industry, is now down 29% year 23 June 2019: The United States is seeking over year, and shippers’ outlooks are broadly negative to neutral. international partners to form a coalition for Read more: Yahoo Finance increased maritime security in the Persian Gulf. One option for improving safety would be to “enhance” the Combined Maritime Force (CMF), a 33-nation naval partnership that covers about 3.2 million square miles of international waters. The Combined Task Force 150, with a mission to disrupt terroristic organizations and related activities, covers waters that include the Gulf of Oman, the area in which six tankers have been attacked since the beginning of May, and the Strait of Hormuz. Read more: American Shipper

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