Finnish Customs Enforcement 2017

Finnish Customs Enforcement 2017 1 CONTENTS

Editorial 3 Crime overview 4 Improved control would increase the amount of taxes collected 5 Customs control of intellectual and industrial property rights 6 Narcotics offences and precursors 8 Fentanyl and its derivatives 13 Methamphetamine 14 Pharmaceuticals classified as narcotics 15 Pharmaceuticals 16 Doping substances 17 Customs control 19 Corporate Audit 23 Economic crime 25 Nature conservation offences and violations as well as CITES cases 28 Firearms offences and dangerous objects 30 Product safety control 32 Urho, the Customs sniffer dog of the year, was also recognised as the service dog of the year at the Dog Fair Finland 33 Finland’s largest hashish seizure 34

Executive Editor Editor in Chief Subeditor Sami Rakshit Esko Hirvonen Angelika Piirainen

Contributing Writers From Marjut Laatikainen Jarno Rundgren Markku Gustafsson Jussi Lehtonen Kim Ruotsalainen Vesa Havumäki Juha Mäkitalo Seppo Ruottinen Timo Helin Jarkko Neffling Jonna Ryyttäri Lasse Jauhola Pekka Nevala Rauno Saloniemi Jari Kaario Reino Pakkanen Riikka Sulander-Seppänen Tiia Kallio Janne Pitkänen Mika Tahvanainen Tiina Kaunisto Kimmo Pylkkänen Ahti Typpö Saulo Kivelä Petri Rakshit Sami Virtanen Tero Koskenlaakso Tarja Rodionoff Risto

Photographs Statistics Saila Soini Yhteistyökumppanit Layout Tuuli Jalo Risto Silvola Translation AAC Global Arvo Vainionpää

Publisher Enforcement Department of Finnish Customs

ISSN 2242-3265

2 Finnish Customs Enforcement 2017 Editorial

The popular and praised TV series Suomen Tulli will continue – or will it?

Suomen Tulli, the TV series follow- most importantly, they ing the daily work of Finnish Cus- will not decrease as toms, first aired on Finnish channels before. At the same in 2011. A possible return of the se- time, the logistics ries after a short break is now back of foreign trade has on the table. evolved and modern Previously in Suomen Tulli: The technologies have year 2017, was a great success for opened up new op- Finnish Customs in financial terms. portunities and, then Even though the transfer of tax as- again, brought about signments of Customs to the Tax new competence re- Administration continued and the quirements for Cus- number of personnel resources de- toms professionals. Finnish Customs but electronically close. Working creased like in the previous ten years, is facing a scouting process, and it is methods will change into new ways record-high figures were reached in already partly in progress, in order of working, and internal Customs most enforcement sectors. to understand what kinds of people organisations will be less significant Our employees have been re- and skills we need during the next considering the work of Fin­nish silient and shown a high level of decade. Customs. For most of us, all this professionalism at a time when it We are already recruiting people sounds and feels very strange, but has been important to indicate that, in completely new positions, the de- the future belongs to those who are regardless of changes and appro- tails of which are even hazy to the brave and courageous. priations, Finnish Customs remains recruiting staff: What will the new What will not change is that a highly important and competent employees do and what kinds of Finnish Customs remains the tough- authority – an authority which peo- skills should they possess in order est professional in foreign trade ple can trust and which is able to to succeed? and traffic which can carry out its bear its responsibilities. The year In the next episode: We need to activities under all conditions, so 2017 was characterised by a huge question our ways of working boldly that there are no unnecessary inter- increase in online sales volumes and openly, and also look for new ruptions in legal trading, while it is and the resulting needs for more ways. In the modern world, no-one able to uncover any illegal opera- control, as well as trading on illegal can say for certain that “if you do tions and impose proper sanctions goods in data networks. Last year, that, this will happen.” Causality can on them. debate (also public) on the ministry no longer be perceived as before The question is whether Cus- to which Finnish Customs should in this complex world – instead, we toms has the courage to change and belong quietened down, and focus need to make choices, even if we shed its skin in a changing world. was shifted from organisational cannot be sure of the results, let changes to closer and better co­ alone their functionality. As a result, I wish everyone a good and energetic operation between authorities. we must have the courage to recog- year working for our society! In tonight’s episode: The year nise and admit any wrong steps, and 2018 started brighter than many the courage to choose a better way Sami Rakshit previous years, as Parliament no- that leads us forward. Director of Enforcement ticed that Customs suffers from a The job of an individual Customs shortage of resources and adjusted employee will become an independ- PS. The header had nothing to do with its appropriations so that we can ent expert position, in which sup- the editorial itself; it was merely a teas- level out from our previous freefall. port from supervisors and other er to attract readers to read the whole Our resources will not increase but, experts can be physically distant text. 

Finnish Customs Enforcement 2017 3 Crime overview 2017

In Finland, structural factors and said that connections between gangs Customs so that the number of ba- ­operators affecting crime in Finland and an increase in independent op- sic narcotics offences was the high- and, in particular, crime prevention erators have increased crime in Fin- est in five years at the end of 2017. by Customs have mainly remained land even further. A similar peak can also be seen in unchanged. Some areas have deve­ For several years, the internet the number of doping offences and loped – however, in the wrong way has played a key role in criminal ac- tax frauds. With regard to narco­ considering law enforcement. tivities, and data networks did not tics, it can also be said that cocaine Structural factors, such as Fin- lose their footing in 2017. In this has become a standard substance in land’s geographic position between sense as well, the situation is Finland seizures. Sweden and Russia, are reflected in is universal. The role of data net- The increase in the number of cross-boundary crime: the north- works is particularly emphasised in offences, in general, is reflected in ern land route and border-cross- narcotics and medicine offences and the situation involving crime: nearly ing points in southeast Finland are illicit weapons, for example, are of- all criminal cases investigated by key routes in smuggling to Finland. ten acquired through the internet. Customs have increased in recent In Finland, gang organisations with Ordering narcotics online is years in terms of quantity or the identifying signs and symbols are reflected in cases investigated by amount of seized substances. key operators in drug-related crime. These groups have established con- nections to Sweden and Russia. Customs offence investigations (number) – Illegal imports Gangs with identifying signs and in 2017 symbols, mainly international outlaw Source: Customs Laboratory motorcycle clubs, largely account 1 Alcohol for organised crime in Finland. In recent years, there have also been 743 Doping various foreign criminals whose 9 Herbal plants with narcotic effects number has increased especially 2 981 Narcotics after the immigration situation in 1 245 Narcotic medicines 2015. Organisations that import 389 Goods banned from the consumer market narcotics, in particular, employ fo­ 1 195 Medicines reign criminals, but they are increa­ 21 Designer drugs singly involved in criminal activities 12 Other crime-related samples related to the import of cigarettes 699 Negative results or doping substances. It can also be

Crime overview 2013 2014 2015 2016 2017

Offences 10 724 9 879 9 656 9 581 9 409

Suspects of offences Foreigners total 4 411 4 225 4 010 3 216 2 902 Russians 3 003 2 964 2 492 1 838 1 598 All suspects 9 508 9 036 9 066 8 950 8 525

Impact of customs crime prevention (EUR million) Recovered proceeds of crime 24,90 17,50 10,70 19,30 28,00 Value of goods not seized 0,88 82,20 1,79 197,40 5,03 Evaded taxes 5,23 26,50 3,45 8,12 48,11 Total 31,01 126,20 15,94 224,82 81,14

4 Finnish Customs Enforcement 2017 Improved control would increase the amount of taxes collected

Some 350,000 parcels that weigh find cost-efficient operating mo­dels ment. The State budget and the Cus- more than two kilograms are sent and to plan and acquire customs toms budget include EUR 1,500,000 each year (according to 2015 statis- enforcement technology suited for for automation of the customs tics). Of these, around 230,000 par- the large volume of goods in online ­control of incoming parcels. cels go through customs clearance. trade. Erroneously declared consignments On 1 March 2017, the Enforce- Criminal activity in are referred to customs clearance ment Department of Finnish Cus- online trade through a customs inspection and toms established a project team to X-ray machine every day. This means develop customs enforcement by The growth of online trade brings that the customs clearance for er- Airport Customs and its operating with it criminal activity, such as the roneously declared consignments is models to suit the new logistical so- sales of narcotics and the delivery fairly efficient. The number of con- lutions, particularly by increasing the of illegal pharmaceuticals. Most of signments selected for customs level of control automation. the narcotics used in Finland are im- clearance could be increased by a The project team aims to boost ported, which means that the nar- couple of thousand consignments customs enforcement related to cotics sold on the Tor network or per year by working more efficiently online trade with, for example, 3D elsewhere online are transported in the handling of parcels. X-ray machines, other forms of de- across the country’s border in some Some 14 million parcels that tection technology and automation. manner. weigh less than two kilograms (small Customs clearance and taxation The postal traffic enforcement parcels) are sent by mail each year. policies and decisions must also be team of Customs has also revealed Of these, around 20,000 parcels go taken into account in the develop- more suspected criminal online through customs clearance. Sam- pling only included around one in every ten thousand consignments of low value, focusing on consignments that were expected to contain something to be sampled. Therefore, the percentage error was probably higher than the percentage error for the number of consignments throughout the year. Small parcels of low value often contain no invoice, which is why determining their value is more dif- ficult. A consignment being select- ed for customs clearance causes a great deal of extra work, because after having received a notice of ar- rival, the customer must contact Customs and ask for the release of the consignment without taxes. Based on the sampling, one can state that more personnel resourc- es should be allocated to customs clearance, because the amount of taxes collected could be increased by several million euros per year. This would also improve credibi­ lity of customs enforcement and the collection of taxes from on- line trade. Errors must be studied in more detail, however, to better target the customs enforcement, to

Finnish Customs Enforcement 2017 5 trade activity than ever before. Ac- control of postal consignments. This they are difficult to detect with the cording to unofficial statistics, a total can be done by ensuring that the naked eye. Merely handling a conta­ of 2,811 reports of offences were employees protect themselves and minated bag or carton of carfenta- filed between January and Septem- by ensuring the availability of first nil with your bare hands is danger- ber 2017, compared to 2,534 during aid resources. Special attention has ous. Customs quickly reacted to this the same period of time in 2016. been paid to occupational health ­occupational health and safety risk by and safety, related instructions and delivering the necessary antibody to Occupational health and training at the different locations the customs offices. safety and in the Customs Laboratory. Carfentanil, a highly potent syn- Potential health risks caused by a thetic opioid, has been found in post- variety of pharmaceuticals, narco­ al consignments coming to Finland tics and other chemical compounds from abroad, for example. Even small must be taken into account in the amounts of carfentanil are toxic, and

Customs control of intellectual and industrial property rights

Finnish Customs controls counter- terfeit goods in the past five years. counterfeit goods in transit traffic feit goods coming from outside the ­Prior to 2012, Customs detected have radically changed the situation. EU to the customs territory of the most of the counterfeit goods in Products are no longer transported Union. These control measures are transit traffic to the east, and the via Finland to the east to the same laid down in Regulation (EU) No. goods were transported by road or extent as before. In 2017, the share 608/2013, which determines joint sea. The volume of detained goods of transit transport from the total customs enforcement procedures was high and the total value of the volume of detained shipments was and focuses on the quick eradica- goods was several million euros. only six per cent, but in terms of the tion of goods that violate intellectu- Subsequently, political and finan- number of goods, the largest volume al property rights. cial changes in the world and a deci- was still found in transit traffic. A major change has taken place sion of the Court of Justice of the However, nowadays most coun- in the transport mode of coun- European Union on the control of terfeit goods enter Finland by mail

6 Finnish Customs Enforcement 2017 or express freight, which is why the parcel volumes are high. from Helsinki Airport to the Far both the number of goods and their Furthermore, X-ray control is rarely East, which is why counterfeit goods value have decreased. of any use, because seeing trade- are detected in air freight, includ- The explosive increase in online marks in an X-ray image is almost ing both postal and express freight trade is also reflected in the number impossible. Therefore, the parcel ­consignments. of counterfeit goods detained: 63% must be physically opened in order The counterfeit goods ­detected of all goods detained in 2017 were to detect a counterfeit product. in 2017 included toys, car spare mail consignments. In terms of con- More than 80% of all counterfeit parts, spare parts for sports equip- trols, postal traffic is challenging also goods come from China or Hong ment, gaming consoles, shoes and in the case of counterfeit products, Kong. Most shipments (79%) were clothes. because no advance information detained by Airport Customs in about arriving items is available and 2017. There is a direct connection

2013 2014 2015 2016 2017

Value of goods that were detained in IPR controls, induced further measures and were withdrawn from the market (EUR) 5 292 792 2 048 436 525 724 3 129 822 490 135

Detained counterfeit products (pcs) 279 603 193 636 90 336 45 873 478 267

Intellectual property offence – counterfeit motor oil

Customs investigated an intellec- investigation, the Finnish retail chain the motor oil was available in more tual property offence in which the had sold 13,400 litres of counterfeit than 20 different outlets. ­injured party had reason to suspect motor oil. In total, the retail chain During the preliminary investiga- the importing of counterfeit ­motor had more than 21,000 litres of the tion, Customs worked productively oil to Finland and its sale to con- counterfeit motor oil in its shops. with national authorities, and with sumer customers. The motor oil was imported by Estonian and Latvian authorities. In In January 2015, Customs seized a Finnish limited liability company the preliminary investigation, it was a total of 7,700 litres of motor oil that had acquired it through various discovered that all batches of mo- suspected to be counterfeit from agents from Estonia. tor oil were imported to Finland several shops of a Finnish retail In addition, there is reason to from Poland, either directly or via chain. The seizure was carried out suspect that the counterfeit motor Estonia. The information discovered on the basis of the batch number of oil was also imported by three oth- during the preliminary investigation packages. Customs requested the er Finnish companies. Two of these, was sent to all Member States con- forensics laboratory of the National domiciled in the Häme region and cerned through Europol. Bureau of Investigation to analyse northern Finland, had bought mo- During the preliminary investiga- the seized motor oil. tor oil suspected to be counterfeit tion, more than 30 people were sus- On the basis of the analysis, the from Estonia and imported a total pected. The preliminary investigation oil batch on sale did not correspond of 10,700 litres. is complete and the case has been with the reference sample provided Moreover, one company opera­ transferred to the Prosecutor’s by the injured party which con- ting in the Ostrobothnia region had ­Office of Helsinki for consideration tained a synthetic lubricant. Instead, bought oil from Poland and im- of charges. the seized oil was stated to mainly ported more than 3,700 litres. All of be a mineral-based lubricant. these companies sold the motor oil On the basis of the preliminary in different parts of Finland. In total,

Finnish Customs Enforcement 2017 7 Narcotics offences and precursors

In 2017, Finnish Customs registered to Finland from the Baltic countries methamphetamine has been detect- altogether 3,229 narcotics offences,­ and Western Europe. Finland is also ed in low quantities in Finland. i.e. nearly the same number as in a transit country for narcotics that New psychoactive substances 2016. There were just under 3,000 are smuggled to Russia and Western are still a problem, and their variety standard cases, which was also near- Europe. Of the other Nordic coun- is huge. Statistical comparisons of ly as much as in the year before. The tries, narcotics are smuggled espe- these substances have proven diffi- number of aggravated narcotics of- cially to Norway through Finland. cult, as they are classified into three fences increased slightly. groups: narcotics, substances banned There were 271 cases in 2017. Synthetic drugs from the consumer market, and un- Altogether 344 persons were sus- classified substances. pected of aggravated narcotics of- The quantity of amphetamine and New substances enter and old fences. The share of foreign natio­ methamphetamine seized in 2017 ones exit the market continuously. nals in the aggravated cases was was 58.8 kg. This quantity is nearly In 2017, Customs uncovered 25 50%. Most cases involved citizens of the same as in 2016 (56.2 kg). Most new substances. Customs detected Lithuania, Romania and Estonia. often, amphetamine and metham- about 100 different substances, most Standard offences were mostly phetamine were smuggled by for- of which are classified and can be detected in customs controls of eign citizens. A large overall quanti- seized based on the amended nar- postal traffic. Based on this, it is evi- ty of amphetamine arrived in Finland cotics legislation. However, the legis- dent that more and more narcotics by letter, for example from Germa- lation has not stopped the import of are being ordered on the internet. ny. Amphetamine remains one of the new substances to Finland. In 2017, Customs seized 3,175 most popular narcotics in Finland. The sample volumes examined kg of narcotics. This is much more The proportion of methamphet- by the Customs Laboratory have than in 2016 (1,036 kg). This signifi- amine increased clearly. This is also remained at the same level as be- cant increase is explained by the supported by wastewater surveys fore the legal amendments were amount of seized khat increasing conducted by the National Insti- introduced. Even though certain from about 1,000 kg the year before tute for Health and Welfare (THL), substances have been classified as to more than 2,000 kg in 2017. This according to which the quantities narcotics, the most popular subs­ increase is also explained by one of methamphetamine and ampheta- tances are still being smuggled. For seizure of 660 kg of hashish. mine remained stable in the Hel- example, alpha-PVP is still smuggled Narcotics are mainly imported sinki area throughout 2017. Crystal to Finland in large quantities.

Narcotic-related offences 2013 2014 2015 2016 2017

Aggravated narcotics offence 202 300 199 254 271 Narcotic offence 2 774 1 641 1 819 2 810 2 829 Preparation of a narcotics offence 56 52 88 39 39 Illicit consumption of narcotics 242 218 206 84 90 All narcotics offences 3 276 2 211 2 312 3 187 3 229

Seized drugs

Seized amphetamine (kg) (incl. methampetamine) 5,79 187,8 135,9 56,2 58,8 Seized marijuana (kg) 165,9 151,7 63,9 25,4 115,2 Drug seizures in cases investigated (kg) 5 068 3 488 1 277 1 036 3 175

Seized ecstasy (tablets) 20 757 58 289 9 791 107 000 19 034 Seized buprenorphine (tablets) 17 428 15 459 18 675 20 994 15 136

8 Finnish Customs Enforcement 2017 In 2017, Customs seized about juana was seized, significantly more Precursors 19,000 tablets of ecstasy, corres­ than in 2016. ponding with the average of the past Cannabis is the most commonly A very small quantity of substances ten years. used narcotic in Finland. The smugg­ classified as precursors are seized at Ecstasy has maintained its popu- ling of marijuana on flights from an annual level. In addition to known larity after its return to the market Spain was notable in 2017, with citi- precursors, there are many unclassi- in 2012. According to the national zens of many European countries fied substances, the import of which wastewater survey of THL, ecstasy acting as couriers. Hashish was also is not restricted and which can be is used particularly on Fridays and smuggled to Finland from Spain by used in the production of narcot- Saturdays. This supports previous as- drug couriers inside their bodies ics. Recently, Customs has observed sumptions that ecstasy is used large- during 2017. such consignments in connection ly by young adults during weekends The single largest quantity of with controls of postal and express as a party drug. hashish was seized from a Lithuani- courier consignments that have ar- an articulated vehicle. A total of 660 rived in Finland. Subutex kg of hashish was discovered from a Finland cannot be considered hidden compartment built inside the a major country of production or Subutex is still a very popular subs­ front wall of the trailer. origin in terms of narcotics, but tance among drug users and it is phenomena related to drug crimes smuggled to Finland in large quanti- detected elsewhere in Europe have ties. In 2017, Customs seized about Cocaine very often occurred in Finland as 15,000 Subutex tablets, being near- well. It is likely that the production ly at the same level as in previous In 2017, Customs seized 3.52 kg of of synthetic narcotics will increase years. Since 2013, some 15,000– cocaine, less than in previous years. in Finland, at least to a small extent. 20,000 Subutex tablets have been Even though the total quantity de- Finland is also used as a transit seized in Finland every year. creased, it corresponds with the country when smuggling precursors Subutex is most often smugg­led ave­rage of the past ten years. On or substances used in their manu- in consignments containing thou- the basis of seizure statistics, co- facture from Asia to Europe. sands of tablets from France to caine smuggling to Finland has in- GBL is classified as a psycho- Germany and Sweden, and on to creased significantly since 2014. active substance prohibited in the Finland in boat traffic. The abuse of Individual quantities seized have consumer market, but international­ the substance as an intoxicant is still increased for a few years now. On ly it is regarded as a precursor as, common and has spread all over the the basis of THL’s wastewater sur- inside the body, it changes into GHB country. Of foreign nationals, smugg­ vey, the use of cocaine increased which is a narcotic. In 2017, high ling is mainly done by persons of heavily in the Helsinki region in quantities of GBL were discovered North African origin, and by Lithu- summer 2016, after which it re- and Customs seized about 125 lit­ anian and Estonian persons. mained stable until the end of 2017. res of GBL. The substance is mainly The street prices of Subutex imported to Finland from Lithuania tablets are still very different in Khat in canisters of one or five litres. A southern and northern Finland. In single dose of GBL is 1–2 ml, mean- the Helsinki region, the street mar- In 2017, Customs seized 2,304 kg ing that one litre provides as many ket value of Subutex is 30–50 euros of khat, i.e. much more than in the as 1,000 doses. per tablet, whereas in northern two previous years when khat was ­Finland the price can reach 100– mainly imported to Finland in dry 120 euros. In prisons, the price of a form, in which case the substance is ­single tablet can be several hundreds­ lighter.­ It is estimated that 100 g of of euros. dried khat contains as much cathi- In addition to the high demand none as 200 g of fresh khat. for Subutex, it is also popular be- Fresh khat has made an impres- cause of the profit gained from its sive return, and it is smuggled to sale. The acquisition price of a single Finland by air among luggage directly tablet in France is only a few euros. from its production areas in Africa, for example, from Kenya. Khat has a Cannabis separate user group in Finland.

In 2017, Customs seized a record- high quantity of hashish, a total of 675 kg. Altogether 115.2 kg of mari-

Finnish Customs Enforcement 2017 9 Narcotics by post from the Netherlands

In early summer 2017, Customs gation of several narcotics offences have received sentences, rang- seized several postal shipments con- and aggravated narcotics offences. ing from fines to imprisonment of taining narcotics. They were sent by The preliminary investigation of the ­several years. a single person from the Nether- case has been completed in Finland, In the Netherlands, the prelimi- lands to different parts of Finland. and the Prosecutor’s Office of East- nary investigation is still in progress, Customs seized more than 1.3 kg of ern Uusimaa is considering charges and it is expected to be completed alpha-PVP, some 9,500 ecstasy pills, in some related cases. The persons before summer 2018. 100 g of cocaine and 200 grams of prosecuted at Vantaa District Court amphetamine in the shipments. In total, more than 100 postal and exp­ ress shipments containing narco­ tics were sent to Finland. The street value of the seized narcotics would have been EUR 415,000. On the basis of information obtained during the preliminary in- vestigation by Customs, an official operation was started in the Neth- erlands, during which seven indivi­ duals were apprehended and 67,000 ecstasy pills, 230 grams of cocaine and 700 grams of MDMA powder were seized. In addition, dozens of kilograms of psychoactive substan­ ces, some of which are legal in the Netherlands and some of which are defined as narcotics, were seized during house searches related to the case. In the preliminary investigation, it was discovered that the narco­ tics were ordered to be sent to ­Finland through the Tor network, and ­several narcotics batches were paid for using bitcoin. The narco­ tics sent from the Netherlands were distri­buted in Finland using, for ­example, the Sipulikanava forum and the Wickr instant messenger ­application. During the preliminary investiga- tion, more than ten people were ap- prehended in Finland and nearly 100 people from Finland, the Nether- lands and Germany were suspected in the case. The case was also inves- tigated in collaboration by Customs and the Dutch police. The National Bureau of Investigation and the Hel- sinki Police Department also took part in the investigation. The smuggling and distribution of narcotics resulted in the investi-

10 Finnish Customs Enforcement 2017 Aggravated narcotics offences – alpha-PVP in Salo

In autumn 2016, Vantaa Airport Cus- In the first phases of the inves- ments to their addresses in return toms discovered four shipments tigation, it was found that all four for cash. The man thought that if the that contained alpha-PVP, a synthe­tic seized alpha-PVP shipments were shipments were seized, he could not stimulant. All shipments were add­ most likely related to a single crimi- be linked to them. He denied his ressed to the Salo region. The ship- nal case. It was also apparent that involvement in the shipping opera- ments contained roughly 700 g of the shipments were not intended tion from the very beginning of his highly pure alpha-PVP. The suspec­ for private persons, but the case in- interrogations. ted crimes were investigated as agg­ volved a more extensive distribution However, strong evidence was ravated narcotics offences. The to- network. Coercive measures in the gathered against the man as a result tal street value of the narcotics in case helped in identifying a person of investigations carried out in early the shipments would have exceeded whom Customs originally suspected 2017. EUR 100,000. of being the leader of the operation. The district court sentenced Acquired information indicated Before Christmas 2016, all re- the recipients of the shipments that the recipients in Salo were in cipients of the shipments and the to ­imprisonment ranging from 14 close contact with a man in Salo leader of the operation were ap- months to 20 months. The leader of who also had a criminal history prehended on suspicion of aggra- the operation received a sentence related to narcotics. As the investi- vated narcotics offences with prob- of four years. At the time of this gation proceeded, Customs ap- able cause as decided by the district article, the sentences were not yet prehended the recipients of the court. To reduce the risk of being legally valid. shipments and interrogated them apprehended, the leader operating several times with regard to the in the background had asked people suspected offences. he knew to order narcotics ship-

Uncovering the ”Douppikauppa” organisation

In 2016–2017, the Tampere investi- hardware of the suspects was also together with his brother appre- gation unit of Customs investigat- investigated. hended in Kustavi, had imported ed a criminal case related to narco­ Customs was able to log in to more than 40 kg of highly dangerous tics traded in the Tor network, dur- the main suspect’s laptop, and the narcotics into Finland in 2014 and ing which the operation of an or- computer was transferred to the 2015. The narcotics were imported, ganisation called Douppikauppa tactical investigation unit for analy- for example, in cans hidden in lug- was stopped. During its operations, sis. The computer contained large gage, hidden inside a mailed printer Douppikauppa was the largest on- amounts of information about the and inside a suitcase transported line narcotics dealer in Finland. internal communication of the or- in a sailing boat of the perpetra- Customs seized a large batch of ganisation that sold narcotics online, tors’ close relatives. In Finland, the highly dangerous narcotics (amphet- the import and distribution of nar- narcotics were mainly distributed by amine, methamphetamine, cocaine, cotics, and payments. In addition, a post and using caches. The opera- heroin, ecstasy pills, MDMA crys- bitcoin wallet application was found tion continued through subsequent tals and LSD patches) from a couple on the computer. deals. who arrived in Finland in Kustavi The main suspect had used the When the case entered con- on 27 April 2016. The targets were application to accept payments for sideration of charges in September already profiled before their ar- narcotics, pay for new narcotics and 2016, the Customs continued to rival after an extended investigation. save income obtained from crimi- analyse the information obtained On the day following the customs nal activities. In June 2016, Customs from the main suspect’s computer. inspection, Customs searched the seized 1,666 bitcoins from the wal- Using this information, it was pos- house of a third person living in let application. Their value at the sible to identify a person who, after Espoo. During the house search, time was approximately EUR 1.1 the seizures made in April 2016, had roughly 4 kg of designer drugs and million. continued the criminal operation via research chemicals were seized. In As a result of IT investigations, Ekstaasikauppa and Hamppukauppa, the preliminary investigation, the IT it was proved that the main suspect, shops belonging to the Douppikaup-

Finnish Customs Enforcement 2017 11 pa organisation. Several secret coer- cive measures were directed at this person. Just before Christmas 2016, Customs searched the person’s home in Vantaa and apprehended him. During the house search, Cus- toms seized fairly large amounts of highly dangerous narcotics that comprised ecstasy pills, MDMA­ crystals and methamphetamine. A cannabis growing cabinet was also discovered in the apartment. As the suspect’s computer was open at the time of the search, it was possible to examine its content. Slightly more than 70 bitcoins were seized at a value of EUR 70,000 at the time. In addition, detectives copied the man’s notes regarding his activity in the Douppikauppa or- ganisation. Based on these notes, it was discovered that the suspect was in charge of ordering the narcotics batch discovered in Kustavi in April 2016 and of paying for it. In addition, it was proved that the man was guilty of several aggra- vated narcotics offences in 2014– 2015. After the apprehension in December 2016, the Douppikauppa organisation stopped operating. The activities of the apprehen­ ded suspects in the aforementioned criminal case were handled at the Varsinais-Suomi District Court in April 2016 and the Turku Court of Appeals in 2017. The main per- petrator who lived in Espoo was sentenced to imprisonment of ten years and six months and subjected to the confiscation of EUR 528,000 in addition to the previously seized bitcoins. The main perpetrator’s brother who was apprehended in Kustavi was sentenced to imprisonment of nine years and subjected to the con- fiscation of EUR 91,000. The case of the man from Vantaa who was apprehended in December 2016 was handled at the Varsinais-Suomi District Court in June 2017. The man was sentenced to imprison- ment of eight years and nine months and subjected to the confiscation of EUR 670,000. The sentences are not yet legally valid.

12 Finnish Customs Enforcement 2017 Fentanyl is a strong synthetic opioid which can be 50 times stronger than heroin and 100 times stronger than morphine. Fentanyl is used legally in hospitals as a painkiller. When used as a narcotic, fentanyl gives a relaxing and euphoric feeling, but it also cau- ses breathing reflexes to slow down. Deaths have mainly resulted from stopped breathing. Fentanyl appears in the form of powder, pills, patches, bandages and a solution in nasal sprays. Its potency can vary significantly. In the form of a powder, its content can reach 100 per cent.

Fentanyl and its derivatives

By the end of 2017, a total of 24 dif- in recent years. Fentanyl is mainly overdoses of fentanyl and its deriva- ferent derivatives of fentanyl (e.g. brought into Estonia from Russia. tives have increased rapidly. These ocfentanil, acetylfentanyl, butyrfenta- Fentanyl derivatives are common- substances are mainly brought into nyl) were reported to the Europe- ly used in the Baltic countries and the United States from China. In the an Monitoring Centre for Drugs and Russia, as a result of which there USA, 287 kilograms of fentanyl was Drug Addiction (EMCDDA). are many fentanyl-related deaths in seized in 2016. These derivatives can be even these countries. In Sweden, the vo­ stronger than fentanyl itself, such lumes of seized fentanyl and its de- Fentanyl comes into Finland as carfentanil which can be 10,000 rivatives have increased significantly, through online shops times stronger than morphine and as have the deaths related to these of which a safe dose cannot be reli- narcotics. According to the most re- In 2015–2017, a total of 157 fentanyl ably prepared. Some 0.03 milligrams cent information, there are roughly and opioid derivative findings were of carfentanil is a lethal dose for an three deaths a week related to the made in Finland. Of all derivatives of adult. Carfentanil is only used legally use of fentanyl and its derivatives in fentanyl, Customs discovered butyr- as a tranquiliser for large animals. Sweden. fentanyl, furanylfentanyl, methoxya- In 2015–2017, as many as 18 dif- In the United States, fentanyl cetylfentanyl, ocfentanil and carfen- ferent derivatives of fentanyl were is a very serious and wide-spread tanil in 2017. Their volumes were classified as narcotics in Finland. problem, and deaths resulting from relatively low, 90 g in total, with the Carfentanil was classified as a nar- volume of furanylfentanyl being the cotic in Finland in November 2017. highest. The number of fentanyl derivatives There were two carfentanil has increased because not many of ca­ses at a total volume of 0.12 g. them are prohibited in the UN Sin- These substances mainly come into gle Convention on Narcotic Drugs, Finland as postal deliveries ordered or they are not within the scope of Some 0.03 milligrams from online shops. the national narcotics legislation. In Compared with the rest of illegal drug markets, fentanyl and its of carfentanil is ­Europe and the United States, the derivatives provide significant profit a lethal dose use and findings of fentanyl and its for their manufacturers and sellers. derivatives have been fairly low. for an adult. However, this does not decrease Popularity increasing globally Carfentanil is only used the risk of individual cases, and the ­situation needs to be monitored In the European drug market, fen- legally as a tranquilliser closely. European trends regarding tanyl and its derivatives have either for large animals. the use of narcotics usually make been directed from the legal supply their way to Finland with a slight chain to the illegal market or manu- ­delay, and also on a smaller scale. factured in illegal laboratories. In Estonia, fentanyl has become the most popular intravenous opioid

Finnish Customs Enforcement 2017 13 Methamphetamine is a synthetic drug which is stronger than amphetamine and stimu- lates the central nervous system. It appears in the form a powder or crystals, in which form it is called “ice.” Methamphetamine is mainly used by swallowing or snorting, but it can also be injected, and crystal methamphetamine especially is also inhaled.

Methamphetamine

The use of methamphetamine is observations of chemicals used in per cent in 2015. very common in Northern Europe, the manufacture of precursors being According to wastewater particularly in Norway, where hund­ transported from China to Europe, ­surveys conducted by the ­National reds of kilograms are seized every also via Finland. Such transportation Institute for Health and Welfare year. In Sweden, methamphetamine poses a challenge to supervisory au- (THL), methamphetamine is cur- is not as wide-spread a problem, and thorities, as the imports or exports rently used in particularly high any methamphetamine seized has of these substances have not been volumes in the Helsinki and Keski- often been intended for the Nor- limited or regulated in any way. The Uusimaa regions, occasionally even wegian market. Methamphetamine is aim of such activities is to manufac- in higher volumes than ampheta- practically non-existent in Estonia. ture precursors close to metham- mine. The volumes seized by the In Europe, methamphetamine is phetamine manufacturing locations. Police and Customs support these manufactured in illegal laboratories, survey results. especially in the Czech Republic, but Use of methamphetamine Similarly to amphetamine, the also in Poland and Lithuania. Accor­ average concentration of metham- increased heavily in Finland ding to reports sent to the EMCD- phetamine has increased signifi- DA, 263 of the 291 illegal laborato- In Finland, very high volumes of cantly from previous years. Accord- ries reported within the EU in 2015 methamphetamine have appeared ing to THL and narcotics experts, were located in the Czech Republic. since spring 2016, and its use has strong methamphetamine has, in When manufacturing metham- increased. During 2016, the Police many ­ca­ses, been sold to users as phetamine, various chemicals, or and Customs seized a record-high ­amphetamine since spring 2016. precursors, are needed, and these amount of 58 kilograms of meth- Methamphetamine is mainly­ are mainly smuggled from China. amphetamine. A good indication of ­carried to Finland through Precursors are on the list of moni- the changed situation is that, of all ­passenger traffic from the Baltic­ tored substances and for this reason drug samples delivered to the foren- ­region. Finland is also used as a they are falsely registered as non- sic laboratory of the National Bu- ­transit country when smuggling monitored substances in consign- reau of Investigation, methamphet- methamphetamine to Norway. ment notes. amine accounted for up to 10 per In recent years, there have been cent, while it made up only three

14 Finnish Customs Enforcement 2017 Pharmaceuticals classified as narcotics

Criminal offences involving narcot- ly used substances include clonaz- ic medicines are classified as narcot- epam (such as Rivotril or Rivatril in ics ­offences, and there are no separate Finland), alprazolam (e.g. Xanar or ­official statistics on them. Customs Alprazolam), diazepam (e.g. Diapam prepares statistics on the number of or Valium) and midazolam (e.g. Dor- pharmaceuticals classified as narcotics. micum and Midazolam). In 2017, Customs confiscated a Most pharmaceuticals classi- total of 170,052 tablets of pharma- fied as narcotics enter the country ceuticals classified as narcotics, which through the postal system. Only is 107% more than in the previous around ten per cent arrive via other year. The number of confiscated tab- means. Because orders are placed lets started to increase in 2016 after online, there are several countries a four-year period during which the from which pharmaceuticals clas- amounts remained at the same level. sified as narcotics are sent. Most The number of tablets doubled from pharmaceuticals classified as narco­ 2016 to 2017. tics in parcels coming from abroad Benzodiazepines are a large group are detected during X-ray control. of pharmaceuticals. The most common-

The largest confiscated batches consisted of 52,400 tablets, 26,000 tablets and 1,002 grams of clonazepam, 5,000 and 2,700 tablets of buprenorphine, and 5,500 and 3,000 tablets of diazepam.

During an international operation by customs and health care authorities, Finnish Customs confiscated most clonazepam, diazepam and buprenorphine.

2013 2014 2015 2016 2017

Seized narcotic medicines (tablets) 37 382 35 202 36 921 82 115 170 052 (incl. buprenorfin)

Over 100 kilograms of dangerous counterfeit medicines from China

In September 2016, Customs seized ducts did not have proper import ­indicated to be natural products and some 144 kilograms of medi- or export licences. Furthermore, ­dietary supplements. cine packages, containing a total of the packaging markings did not cor- During preliminary investiga- 73,000 counterfeit medicine tablets. respond to the composition of the tions, it was discovered that the The counterfeit medicines were car- tablets. In addition, the packaging counterfeit medicines were to be ried to Finland from China via Hong markings and the information list- forwarded from Finland to Slovenia, Kong, and the intention was to for- ed in product specifications were from where they would have most ward them to Slovenia. The pro­ contradictory. The products were likely been distributed to different

Finnish Customs Enforcement 2017 15 parts of Europe, particularly through the internet. It is suspected that similar counterfeit medicines were smuggled from Finland to Slovenia on six different occasions in May– October 2016. According to prelimi- nary investigations, a total of 1,000 kilograms of counterfeit medicines, i.e. 500,000 counterfeit tablets, was sent to Slovenia during this time. Two individuals who are work- ing in a forwarding company in southeast Finland are suspected of an attempt to smuggle counterfeit medicines.

Counterfeit medicines contained synthetic sildenafil The trade names of the seized counterfeit medicines were Almea Extra Power for Men, 69 Lab Re- sizer and Durasan. During labora- tory examinations by the Customs Laboratory and the Finnish Medi- cines Agency (Fimea), the counter- feit medicines were stated to con- ­products posed a specific hazard to and Estonia, as well as Europol. tain synthetic sildenafil. Sildenafil ­people who cannot use sildenafil for In Finland, the case was was not mentioned in any details of ­medical reasons. ­investigated as aggravated tax fraud, the counterfeit medicines. In medi- an agg­ravated accounting offence, cal use, sildenafil is mainly used to International cooperation smuggling and tax fraud. The Prose­ treat erectile dysfunction in men. cutor’s Office of Eastern Uusimaa is The counterfeit medicines Customs reported the case to the considering charges in the case. were dangerous because their ac- EU medicines agencies. The case was tual composition did not match investigated in cooperation with the their product specifications. The authorities of China, Latvia, Slovenia

Pharmaceuticals

In 2017, the total number of phar- from 2016, the amount of pharma- ship traffic was 8% and the share of maceutical violations and offences ceuticals confiscated (in tablets, lit­ road traffic was 7%. Only some 3% registered by Customs decreased res and kilo­grams) increased. There of all found pharmaceuticals were by 13% from the previous year. As in was a 16% increase (some 36,000) confiscated in air traffic. The rest of 2016, most of the cases were pro- in the number of tablets confiscated the pharmaceuticals offences were cessed as pharmaceutical violations. compared to the previous year. Con- detected in connection with other Such a violation usually leads fiscations of liquid pharmaceuticals investigations. only to a confiscation. The number increased by 4% and confiscations of The most common country of of basic pharmaceutical offences powder pharmaceuticals by 17%. origin was the United States: the also decreased from the previous Of regular pharmaceuticals of- pharmaceuticals were from the US year, by 24%. Even though the num- fences, 80% were detected in postal in around 23% of all the cases. The ber of cases somewhat decreased and courier traffic. The share of United States being such a common

16 Finnish Customs Enforcement 2017 country of origin is partially due fiscations of specific pharmaceuticals lets to 10,067 tablets. Clenbuterol is to the fact that many people order from 2016 to 2017. The previously an asthma medication that is taken strong melatonin and other supple- high volume of confiscated erec- orally. It is mainly used in veterinary ments that are popular in the Uni­ tile dysfunction medication clearly medicine, i.e. it is not used to treat ted States, but are regulated under decreased: the drop from 2016 was asthma in humans. Clenbuterol has pharmaceutical legislation in Finland. 97%. One should take into account, an anabolic effect, meaning it causes The next most common coun- however, that even a major change tissue to grow, which is why it is tries of origin were India and Russia: like this during just one year does one of the most common substan­ both of them accounted for around not necessarily reflect any change in ces used to increase muscle mass. 10% of all confiscations. Several the general trend. There was a mi- As in previous years, the confis- countries were involved in a single nor drop in the volume of confisca­ cated pharmaceuticals also included case or a couple of cases. Most of ted melatonin products, as well. a variety of medicine used to treat the postal traffic inspections were On the other hand, the volume­ illnesses or their symptoms, such as performed using x-ray machines. of confiscated synthetic opioid high blood pressure, pain, allergies One can see changes in the case Tramadol increased by 24% and the or depression. of specific pharmaceuticals when volume of confiscated clenbuterol comparing the development of con- more than tripled from 2,823 tab-

Medicine offences 2013 2014 2015 2016 2017

Medicine offence 1 213 190 124 144 110 Medicine violation 311 561 682 710 632 Total 1 524 751 806 854 742

Seized medicines (tablets) 222 861 90 792 282 908 225 564 265 406

Doping substances

Customs recorded a total of 229 substances clearly increased from The powder is made into doses that doping offences in 2017, which is 15 the previous year: the change was are sold at gyms or via separate cases less than in the previous year. 93,113 tablets/ampoules, i.e. the sales networks. There were only minor differences volume increased by 330%. This In 2017, a total of 62,382 litres in the annual number of doping of- indicates that large batches were of liquid doping substances were fences between 2013 and 2015, but smuggled. confiscated. The amount of subs­ the number of offences decreased A large batch may consist of up tances confiscated during the pre­ by almost a hundred in 2016, and to a thousand ampoules of anabolic vious year was 6,035 millilitres, the volume of confiscated substan­ steroids or several kilograms of tes- which means that the increase was ces was also clearly lower than in tosterone powder. The increase in also notable. the previous years. the volume of substances smuggled Anabolic steroids amounted to The number of minor doping of- by the kilo or litre was a notable around a half of all the confiscated fences increased by around 15% in change in the smuggling of doping substances. Popular substances in- 2017, while the number of regular substances. cluded metandienone, stanozolol, doping offences decreased by 24%. The amount of powdered subs­ trenbolone, oxandrolone and nand­ The most notable change was in the tances confiscated was clearly rolone. Testosterone was smuggled number of aggravated doping offen­ higher than in the previous year or as both ampoules and powder. Tes- ces: it decreased by 29 cases or 82%. 10,178 grams (2016: 2,135 g). The tosterone amounted to around one Regardless of the decrease in profit that can be obtained from third of all the confiscated doping the number of aggravated doping­ preparing doses from powdered substances. The share of other pro­ offences, the volume of confiscated doping substances is notably high. ducts classified as doping substances

Finnish Customs Enforcement 2017 17 was a little over 10%. The volume of delivery. The rest of the confisca- lands and India were also com- growth hormones was marginal. tions took place in passenger traffic mon countries of origin. People Most (80%) of the confiscated and in connection with a couple of who sell ­doping substances online doping substances were smuggled house searches. change their country and address through the postal service (via regu- The United States was the most on consignments if they notice that lar mail and by courier). Products common country of origin for do­ many of the products ordered from ordered online have become more ping substances. Most of the con- them that are illegal or subject to common due to their easy availa­ signments that came from Europe a licence in the target country are bility, affordable prices and home were from Poland. The Nether- ­being seized by Customs.

Doping offences 2013 2014 2015 2016 2017

Aggravated doping offence 44 17 29 35 6 Doping offence 259 256 154 49 37 Petty doping offence 36 52 160 160 186 Total 339 325 343 244 229

Seized doping substances (tablets/ampoules) 78 798 87 491 110 442 28 188 121 301

Doping operation of a CEO in Northern Savonia

During autumn 2016 and spring led at the district court, the main nearly immediately after being re- 2017, Customs investigated a sys- suspect continued criminal activi- leased from custody during the pre- tematic and professional opera- ties in the Tor network. The suspect liminary investigation at the end of tion to import and distribute ­doping had created new user credentials March 2017. substances in Northern Savonia. In for Silkkitie and TradeRoute chan- As a result of its own intel- the preliminary investigation phase, nels in the Tor network in summer ligence and technical and tactical it was discovered that doping sub- 2017 and continued the large-scale methods, Customs traced the sus- stances and medicines had been distribution of doping substances pect and initiated new preliminary sold in the illicit Silkkitie channel ­operating in the Tor network. The doping substances and the ingredients required to manufacture them were imported to Finland via postal deliveries from China and Germany, and they were manufac- tured and stored in an apartment in Northern Savonia. According to preliminary investi- gations, the suspects had sent manu- factured doping substance to their customers by post and payments were made in bitcoins. Three indi- viduals were suspected of the case.

Main suspect continued criminal activities After the first preliminary investiga- tion but before the case was hand­

18 Finnish Customs Enforcement 2017 investigations. This person, who is Large volumes of doping 2009:67 and 2017:88) one period now suspected of a continued aggra- substances seized and high stands for the amount of dop- vated doping offence, works as the amounts of recovered criminal ing substances used by one per- CEO of a company based in North- proceeds son ­during four months. As a result, ern Savonia and has taken advantage 6,000 periods of misuse would have of his position, for example,­ by or- According to the preliminary inves- provided one person with ­doping dering doping substances to ­vacant tigation, at least 34,600 millilitres of substances for more than 2,000 apartments in buildings within the liquid doping substances and 12,450 years. scope of the company’s building millilitres of liquid medicines en- The total value of the doping management services. tered the illicit market between Au- substances and medicines sold over- gust 2016 and August 2017. In ad- all and seized during the preliminary Substances hidden in wall dition, more than 22,000 millilitres investigation was more than EUR structures of liquid doping substances, more 430,000. During the two preliminary than 9,800 grams of doping powder investigation periods, more than During a house search, Customs and more than 12,200 millilitres of EUR 75,000 were seized from the discovered a hidden compartment ­liquid medicines were seized from main suspect’s bank accounts and inside the wall structures of a ­clo­set two suspects during searches and during house searches. EUR 42,000 space of one of the main suspect’s ­importing. of the main suspect’s assets and apartments, containing ­significant The main suspect is suspected of 12.48 bitcoins, the value of which amounts of doping ­substances, selling different doping substances was more than EUR 160,000 at the ­medicines and precursors and and medicines at a value of at least exchange rate of 8 January 2018, ­supplies needed to manufacture EUR 135,000. The doping substances were confiscated as security. doping substances, such as doping were mainly anabolic steroids and The preliminary investigation ampoules and labels. testosterones, and the medicines of the case of a continued aggra- The hidden compartment also were, for example, erectile dysfunc- vated doping offence is complete, contained the computer used to tion medicine and antiestrogens and the case was transferred to the trade doping substances in the Tor that are used together with testos­ Prosecutor’s Office of Eastern Fin- network and EUR 5,400 in cash. terones. land for consideration of charges The hidden compartment had been The seized doping substances in January 2018. The main suspect built skilfully and very systematically, intended to be sold would have pro- from ­Northern Savonia remains in but Customs was able to discover ­ duced more than 6,000 periods of custody. it using­ its technical and tactical misuse. According to the decisions methods.­ of the Supreme Court (2008:51, Enforcement EU vehicle inspection courses in Vaalimaa

Customs has systematically develo­ focuses on the structures of private member states. The new inspection ped its competence to inspect ve- cars and vans and the safety of in- facility and the special expertise of hicles at border-crossing points in spections. An electronic repair shop the Vaalimaa Customs unit were order to more effectively discover manual is used in training and prac- used during the course. the illicit importing and exporting of tical vehicle inspections. It contains Customs has skilled vehicle prohibited and restricted products. exhaustive information about diffe­r­ inspection experts, a highly func- The level of control has been in- ent makes and models. tional modular training concept and creased by means of training, in par- The training package for vehicle suitable­ training facilities that can be ticular, at national border-crossing inspections developed by Customs used in practical training. The goal points and at ports for passenger has also been offered to Customs was for Vaalimaa Customs to evolve transport. National training, co­­ve­r­ control employees and vehicle ins­ into a competence centre for ve­ ing all vehicle types, started in 2016 pection experts of different EU hicle inspections in the EU. It seems and will continue at least until the member states. In June 2017, the that this goal was reached – the first end of 2018. first EU vehicle inspection course course has received amazing feed- Training offers extensive infor- was piloted in Vaalimaa. It was at- back. EU courses were continued in mation about vehicle inspections. It tended by representatives of eight 2018.

Finnish Customs Enforcement 2017 19 EU network for canine operations

The Canine K9 Unit Network, an The Canine K9 Unit Net- volved in its operations. There was EU-wide network for canine ope­ work has raised interest exten- a clear ­demand for the project, rations, started operating in spring sively around the world, and most and Customs has led the way in 2017 under the Customs 2020 EU Member States and three EU es­tablishing and carrying out the prog­ramme. The goal of the project ­applicants have been actively in- ­network. was, through cooperation, to de- velop the exchange of information about canine operations and training in Member States and, therefore, to improve the productive use of dogs in operations regarding passenger and goods transport. Operations started by means of training held in Kuusamo in spring 2017. The project’s action plan was completed at the second meeting in Malta at the end of 2017. The action plan describes all project activities in detail, includes a scheduled prog­ ramme for the next few years and defines the distribution of tasks in subprojects. Finland leads the work- ing group and is in charge of project costs.

Sniffer dog for weapons and explosives

Heila, the first sniffer dog of Customs trained to detect weapons and explosives, started working in Airport Customs in October 2017. The dog, together with her handlers, has received basic training and train- ing in the operating environment and completed the examination re- quired to start working at the Police Dog Training Centre. If required, the dog will work in different parts of Finland. A sniffer dog for weapons and explosives was necessary due to changes in general safety and security. In addition, illicit transporta- tion of weapons and their parts and, especially, explosives precursors and defence material has been revealed in recent years. Using a sniffer dog, customs controls can be targeted effectively to foreign trade shipments, without decelerating the progress of legal deliveries. With the help of Heila, Customs made several discoveries at the end of 2017, for example, regarding a transportation chain of explo- sives-based shipments for fireworks. Heila has also detected weapons from among legal shipments. This proves that her training has been a success. Customs has this area well under control and it is quickly able to target its operations as necessary. Next year, Heila will be used at various border-crossing points and in different vehicles to perform Customs control, and she will train an agreed operating model in dif- ferent situations, together with other authorities, as well.

20 Finnish Customs Enforcement 2017 Smuggling snus and hashish from Sweden

In 2016, Customs investigated a gal import of the smuggled snus dis- handled the criminal cases related large snus smuggling operation covered during the investigations. to the smuggling of snus and hashish where a total of 1,345 kg of snus Three persons were in custody at a single court session. The main was imported illegally from Sweden during the investigation, being sus- suspect received an unconditional to Finland during autumn 2016. pected of aggravated tax fraud and sentence of three years’ imprison- During the preliminary investi- smuggling. ment for aggravated tax fraud and gation, some 657 kg of snus were an aggravated narcotics offence. seized at two different times in The other defendants received sus- Northern Finland. The snus was The same suspect in a pended sentences, the duration of smuggled from Sweden to Finland hashish case which ranged from six months to 20 in a van acquired for this specific months. purpose. One of the main suspects in the In the preliminary investiga- snus case was also subject to a tion phase, five previous smuggling criminal investigation by Customs operations of the same suspects in early 2017, when Customs seized were also investigated. During nearly 4 kg of hashish-type cannabis these operations, roughly 688 kg of from the man in Kemi. During the snus were imported to Finland and preliminary investigation, it was dis- mainly distributed in the Helsinki covered that the man had acquired region. In these cases, snus was also the hashish batch from Sweden with imported in vans. the intention of carrying it to the The suspects had acquired se­ Helsinki region for sale. veral vans to smuggle snus. To bluff The street value of the seized the authorities, each van was only hashish batch would have been EUR used for a short period at a time, 60,000. after which they were abandoned in The case was investigated as an different locations. aggravated narcotics offence, and Approximately EUR 520,000 in one person was kept in custody. taxes were evaded through the ille- The Kemi-Tornio District Court

Finnish Customs Enforcement 2017 21 Smuggling waterpipe tobacco

On 23 February 2017, Customs people have been held in custody. seized a shipment sent from the On 8 December 2017, Van- United Arab Emirates, contain- taa District Court issued their ing 690 kg of waterpipe tobacco. judgement in the case. Both men The shipment underwent the tran- were sentenced to imprisonment sit procedure, where it was de- for all six shipments. The Rus- clared that the shipment contained sian organi­ser was sentenced to powdered hand soap and was on its three years of imprisonment and way to Latvia. However, it was nev- the Latvian courier to two years er shipped there from Finland. Ins­ and two months of imprisonment. tead, there was an attempt to ship In addition, they were ordered to it undeclared to Germany via a car- pay damages of more than EUR rier operating in Vantaa. The ship- 885,000 for the unseized water- ment was inspected and was found pipe tobacco batches. to contain 1 kg plastic bags contai­ ning waterpipe tobacco. Customs suspect that water- pipe tobacco has been smuggled in a similar fashion five different times previously, starting from December 2016. All the shipments were sent from the United Arab Emirates, with powdered hand soap having been declared as the content and Latvia as the destination. In addition, all the shipments were picked up by a single Latvian man who first loaded the goods in his van, after which he transported them to carriers operating in Vantaa for forwarding to private recipients in France. Next, the man drove his empty van back to Latvia where he loaded the van with the cheapest possible powdered soap and de- clared the load at Latvian Customs. During the preliminary investi- gation, it was discovered that the operation was masterminded by a Russian man who hired the Latvian man to smuggle the shipments. A European Arrest Warrant was is- sued for the Russian man, on the basis of which he was apprehended in Croatia and sent to Finland. According to investigations, a to- tal of 3,080 kg of waterpipe tobacco was smuggled in six different ship- ments. More than EUR 1,143,000 in taxes and import duties were eva­ ded through the smuggling of these shipments. The case has been investigated as aggravated tax fraud, and two

22 Finnish Customs Enforcement 2017 Operation WAREHOUSE III order to reveal excise duty and value added tax fraud. Cooperation between European customs and tax At the end of 2016, Finnish Customs the EU, declaring them with infor- authorities is important because the carried out an operation called mation designed to mislead the different authorisations and judicial WAREHOUSE III in close coopera- authorities. The goods are then systems at the national level and at tion with the European Anti-Fraud taken to another Member State un- the EU level make addressing comp­ Office (OLAF). The participants in- der customs supervision with a T1 lex cases of fraud difficult. ­During cluded a total of 26 EU Member transit document and released for the operation, customs and tax States and one Member State as an free circulation (procedure code 42 ­authorities combined their exper- observer. Europol and the Com- or 45), but also immediately placed tise and shared intelligence in order mission/DG TAXUD supported the into an excise warehouse under to prevent losses in the EU budget ­operation. The final meeting of the excise-duty suspension procedure. and budgets of the Member States. operation was arranged in Helsinki This way, the goods need not be Three confiscations were car- in March 2017. smugg­led across the EU border, ried out during the operation. The Preventing the smuggling of which minimises the risk of customs authorities confiscated 31,012 litres goods subject to excise duty is one ­authorities stepping in. of diesel fuel and 24,700 litres of of the EU’s political priorities. The Goods are transported from low ­lubricating oil in Poland. Further- authorities have launched a number price level countries closer to hig­ more, at least two criminal investiga- of initiatives aiming at the Member her price level countries where the tions were started. One of the cases States being able to better reveal best price can be obtained for the involved the smuggling of waterpipe criminal networks that utilise comp­ goods subject to excise duty on the tobacco in Lithuania and the other lex operating models, particularly black market. Criminals can trans- possible VAT fraud in the Czech in the case of fraud involving goods fer the goods through the Excise ­Republic. subject to excise duty. Movement Control System (EMCS) During the operation, OLAF Operation WAREHOUSE III is as one or several internal transfers ­offered logistical, financial and tech- a good example of how the EU and to different parts of the EU, which nical support for the exchange of authorities in the Member States makes monitoring of the goods real-time information and intelli- can effectively cooperate to protect highly difficult. gence. Finland coordinated a physi- their assets. Joint customs opera- Weaknesses of the electronic cal operational coordination unit tions protect the financial interests EMCS provide criminal organisa- (P-OCU) at the OLAF office in of the EU, citizens and legal enter- tions with the opportunity to re- Brussels, which made communica- prises. lease the goods for free circulation, tion between the national contact Operation WAREHOUSE III i.e. illegally bring them into the EU points easier. In addition, contact targeted the smuggling of goods area without paying any excise duty. persons from six Member States subject to excise duty, such as to- This causes major financial losses to worked at the operations centre bacco, alcohol and mineral oil, in Eu- the EU and its Member States. during the operation. rope. Using sophisticated opera­ting WAREHOUSE III was the third Europol also participated in the models that are difficult to trace, joint EU customs operation. It was operation to allow for direct cross- criminal organisations daily bring in realised in close cooperation with checking of people and enterprises goods subject to excise duty into the tax authorities, particularly in during the operation.

Corporate Audit (YRTA) Customs to the Tax Administration as of 1 January 2017, which means that the Tax Administration is now In 2017, the goal of Corporate Au- of the proposed measures was a to- responsible for excise duty and dit was to carry out a total of 229 tal of some €10.8 million and some ­vehicle tax audits as well. Customs ­audits, of which 110 (some 48%) €0.2 million in taxes were returned still performs audits of tax ware- were company-specific named based on the audits. The number houses and facilities on behalf of the ­audits and 119 (some 52%) were of proposed measures decreased Tax Administration, however. unnamed audits. from the previous year because In 2017, the corporate audits fo- A total of 264 audits were car- the ­collection of excise duties and cused on release for free circulation, ried out in 2017. The taxation value ­vehicle tax was transferred from special procedures and storage.

Finnish Customs Enforcement 2017 23 ties. Customs was obligated to ret- reviewing information provided by a Fraud involving the declaration roactively collect the duties. It was ­customer on the accounting system and of country of origin determined that the importer failed accounts of a company. to determine the origin of the pro­ Some cases in which some of the It is important that the country of duct with care. The importer denied markings in the stock accounts – such as origin, tariff number and customs this, appealed the decision to the identification markings in customs docu- value are declared correctly, as they Administrative Court and requested ments related to incoming or outgoing form the basis of the customs duty. that the decision made by Customs goods – are missing have been detect- One audit in 2017 involved the be revoked. ed in warehouse audits. Customs can origin of an imported product. Ac- The Administrative Court was of demand a penalty fee for neglecting to cording to the transport documents, the opinion that Customs handled keep proper stock accounts or due to the product had been sent from a the case correctly and ratified the repeated erroneous declarations. country to whose original products decisions on the subsequent levy The stock accounts must include the Generalised Scheme of Pre­ of duties. The judgement of the Ad- ­real-time information on the number and ferences (GSP) applies. Suspicions ministrative Court confirmed that type of goods in stock. However, delays about the actual origin of the pro­ before making a deal, an importer is of up to two weeks in entering incom- duct were raised during the audit, obligated to determine the country ing goods in the stock accounts have and it was suspected that the pre­ of origin of a product in compliance been detected in audits. The accounts ferential tariff rate had been wrongly with the rules on the country of must be retained for a period of six years utilised. It was suspected that the origin and the manufacturer, i.e. to starting from the end of the year during authority in the GSP country had determine where the product has which the goods were placed in customs received false information, which actually been manufactured. procedure or re-exported, destroyed or is why the certificate of origin that Determining the country of handed over to the government. ­entitles to the GSP had been grant- origin is important within import Furthermore, cases have come ed under false pretense. of products subject to a duty or to light in warehouse audits where It was determined that the an anti-dumping duty, as their tax the warehousekeeper switched their ­product had not been manufactured ­interests are often significant. ­accounting software without notifying in the declared country; instead, it the Customs Authorisation Centre or had been manufactured in a country Defective accounting entries the customs authority monitoring the for whose products an anti-dumping operations at the warehouse. If the ac- duty was applied. By using the GSP, In addition to post-clearance audits, counting system of a warehousekeeper the importer had been able to avoid Corporate Audit carries out ad- is changed after authorisation has been a total of some two million euros in vance audits such as accounting au- granted, the new system must be sub- general duties and anti-dumping du- dits. An accounting audit involves mitted to the Customs for approval.

2013 2014 2015 2016 2017

Subsequent taxation proposed based on corporate audits (EUR million) 63,0 17,3 63,6 60,7 10,8

Planned and implement audits by Corporate Audit according to audit area

204 Customs procedures 172 44 AEO 35 Implemented audits 5 Åland Islands tax border Planned audits 10 Other 11 12

Total 264 229

24 Finnish Customs Enforcement 2017 Economic crime

Customs classifies cases involving the form of new phenomena, such illegal passport activities. In addition, breaches of legislation on customs as offences involving electronic and there were cases related to un­ enforcement and tax collection internal trade. The internet is used declared goods. as economic crimes. An econom- to an increasing extent in marketing ic crime is an offence committed in and selling highly taxable products Uncovered economic offences connection with legal business acti­ to consumers while evading the tax vities in order to gain financial be­ regulations concerning the products. The number of open economic­ nefit. In the cases that Customs in- In 2017, the overall number of crime cases offers one indicator vestigates, the main offence is usually tax frauds investigated by Customs to examine the overall situation of a standard or aggravated tax fraud. continued to increase. Customs economic crime investigations. The Other offences investigated as uncovered 1,086 tax frauds, which goal is that the number of cases is economic crimes include cases of is 172 cases more than in 2016. relatively low. At the end of 2017, forgery, customs clearance viola- A ­lower number of standard tax Customs investigated 86 open eco- tions, environmental offences and frauds, i.e. 181 cases, were uncov- nomic crime cases. This figure de- accounting offences. Other offences ered than in the year before. creased from the year before and that Customs considers economic The number of aggravated tax has more than halved from the crimes include the smuggling of ex- frauds decreased by 26 cases from ­situation in 2012. cise products such as alcohol and the previous year. The cases of ag- In addition, the number of new cigarettes, when the smuggling is gravated tax fraud classified as eco- economic crime cases registered by comparable to business and profes- nomic offences and investigated by Customs decreased in 2017 from sional activity even with the absence Customs were mainly cases of illegal the year before. Last year, a total of actual business structures. import of cigarettes, alcohol and of 145 new economic crime cases Customs faces challenges in the snus, as well as car tax, excise duty, were registered, being fewer than prevention of economic crime in value added tax, customs fees and the average of 172 cases a year

Aggravated tax frauds, suspects 2013 2014 2015 2016 2017

Finns 48 23 50 130 45 Estonians 7 6 4 13 16 Russians 15 35 29 28 37 All nationalities 87 70 88 192 109

Tax frauds

Aggravated tax fraud 51 82 69 109 83 Standard offence 148 150 226 183 181 Petty tax fraud 358 592 561 622 822 Total 557 824 856 914 1 086

Impact of customs investigation into economic crime

Damages in investigated cases 8,53 12,49 7,12 13,67 46,83 Damages in cases taken or to be taken under investigation 8,49 7,32 5,14 6,13 3,56 Seizures as security and prohibitions of transfer 2,41 1,07 1,33 3,28 2,55 Property recovered by Customs 1,88 2,38 0,51 2,52 1,52 Property allocated to distraint office or other authority 1,07 0,08 0,14 0,17 0,13

Finnish Customs Enforcement 2017 25 in 2007–2016. In 2017, Customs lion in 2017. In addition, the value of registered losses caused by crimi- comp­leted altogether 211 economic of property confiscated as security nal offences vary greatly, depending crime cases, or 38 cases more than and under prohibitions of transfer on the nature of criminal cases each in 2016. decreased to EUR 2.55 million from year. More resources and cross-­ The average investigation time of 2016, and the value of property border cooperation are required for financial crime cases increased until ­allocated to the distraint office or investigating criminal offences and 2011, after which there has been a another authority fell to EUR 0.13 for recovering proceeds of crime, notable decrease. In 2017, the dura- million. as criminals engage in international tion of a single investigation was 265 Losses registered in cases networking and divide their tasks days on average, showing a slight in- ­comp­leted in 2017 during econo­ across borders with the help of data crease from the level of 240 days in mic crime investigations of Customs networks, and split their criminal the previous year. stood at nearly EUR 47 million. The operations into small-scale activities. The ratio between reported and corresponding figure was EUR 13.7 completed cases is an indication of million in 2016. the flow of economic crime cases. The amount of recovered pro- If the ratio is less than one, more ceeds of crime and their proportion cases have been completed than new reports have been received. In 2013–2017, Customs completed more economic crime cases than new cases were registered for in- vestigation. At the end of 2017, this ratio was 0.69. The total handling time of economic crime cases at Financial crime on the Åland tax border Customs increased in 2017 to 282 days on average. In 2015, Corporate Audit of Finnish Customs audited a limited liability com- The relative proportion of eco- pany registered in the Pirkanmaa region. The purpose of the company was to nomic crime cases registered more ­import various health-related products from the EU and Norway to the Åland than two years ago turned to a Islands and to ship them to mainland Finland by means of mail order, taking slight increase after 2016. At the end ­advantage of the tax benefit presented by the tax border. of 2017, old cases accounted for The company was a registered tax border customer of the Customs, and it 34.9% of all economic crime cases. had the local clearance procedure (LCP) authorisation. The company operated However, the proportion of eco- as an exporter in the Åland Islands and an importer for a consumer customer nomic crime cases registered more in Mainland Finland. Therefore, it should have declared its products as products than two years ago has remained imported in mainland Finland and pay value added tax on imports to Customs moderate. on behalf of the buyer. The province of Åland is not part of the EU VAT area, but it is part of the Property recovered during customs territory of the European Community, which is why VAT on imports economic crime cases must be levied between the European Community and Åland Islands both in terms of imports and exports. In 2017, the societal impact of eco- Corporate Audit suspected, and an investigation later verified, that the nomic crime prevention of Customs company had sold product packages to a consumer customer at a price of totalled EUR 54.59 million, while it EUR 39.90, including the product with packaging costs and shipping. “VAT 0%” was nearly EUR 29 million lower ­ was indicated on the invoice. Sales were recognised in the company’s books as the year before. The majority of tax border sales with VAT 0%. According to the legislation, VAT on imports is this increase in impact is attributa- calculated from the price charged from the customer. ble to losses resulting from investi- In this case, the company should have collected VAT of EUR 5.99 per gated cases. ­shipment on the shipments sold in mainland Finland. This amount exceeds the The amount of property recove­ lowest amount of tax to be levied or collected of EUR 5. The company should red by Customs economic crime have paid VAT to Customs on sales delivered from Åland Islands to mainland prevention shows great variation Finland. from one year to the next. In 2017, The case has been investigated as aggravated tax fraud, an aggravated the value of recovered proceeds of ­accounting offence and an aggravated customs clearance offence. In total, over economic crime totalled EUR 4.2 EUR 2 million in taxes were evaded. The preliminary investigation has ended million. The value of property re- and the case was transferred to the prosecutor for indictment proceedings in covered decreased from EUR 2.52 April 2017. The indictment proceedings are expected to be completed in early million in 2016 to EUR 1.52 mil- 2018.

26 Finnish Customs Enforcement 2017 Fur trade investigated by the authorities

Ostrobothnia is a significant fur Europol and the police departments furs have been more than EUR 6 trade area. It is home to roughly 95 of France, Turkey and Dubai. Accor­ million lower than their actual value per cent of all the fur farms in Fin- ding to the preliminary investiga- in China. It is also suspected that land. In spring 2013, Customs detec- tion by Customs, assets worth more there has been abuse in the natio­ tives in Vaasa obtained intelligence than EUR 4 million were subject nal taxation of these companies. Of according to which foreign buyers to money laundering. The case is in these, the Tax Administration has were going through Ostrobothnian ­indictment proceedings. issued a request for an investigation farms, paying the full or partial pur- For the investigation, the Tax to Customs. Money laundering is chase price of arctic fox and Ameri- ­Administration established a joint suspected in relation to financing in can mink furs in cash off the books. investigation team with Greek tax this case as well. During the prelimi- To investigate the case more authorities. On the basis of intel- nary investigation by Customs, com- closely, an investigation team of ligence obtained from the joint plaints of an offence were recorded, Vaasa Customs and the finan- investigation and the preliminary for example, for aggravated money cial crime unit of the Ostroboth- investigation by Customs, it was laundering, aggravated tax fraud and nian police department was set up, stated that an entrepreneur work- an aggravated accounting offence. joined by tax audit teams of the Tax ing in Greece did not report taxable The amount of uncollected taxes Administration in western Finland. ­income of several millions of euros is roughly EUR 400,000, and the Customs was in charge of investiga­ to the tax authority. value of the assets subject to money ting international fur trade, and the The Greek Tax Administration laundering is EUR 6 million. The police investigated sales to buyers ordered the entrepreneur to pay preliminary investigation of this case moving from one farm to the next approximately EUR 1.5 million in will move on to indictment pro- in Finland. The Tax Administration additional taxes. The Tax Administra- ceedings in the spring of the 2018. investigated whether taxes were tion investigated the tax procedures It is suspected that the total paid properly in the entire chain of of fur farmers, and some of the value of the assets subject to ­money operations. cases were transferred to the police laundering in these two cases is for investigation. ­approximately EUR 10 million, International cooperation Tax increases were ordered and that close to EUR 8 million in for farmers who sold furs off the ­national taxes have remained uncol- At the early stages of the investiga- books, and tax fraud and accounting lected. tion by Customs, it was discovered offence charges for three farmers In addition to this case investi- that a foreign person living in Fin- are pending at the district court. In gated by the investigation team of land had bought furs worth rough- one case, a suspended sentence of Vaasa Customs, Chinese customs ly EUR 4 million from approximately imprisonment for tax fraud and an authroties have investigated a large 30 different fur farms between 2008 accounting offence has already been criminal case related to furs car- and 2013. The plan was to export issued. ried from Finland to China. The furs the furs to Greece and further out- were cleared properly for exports side the EU, for example, to Turkey. Aggravated tax fraud and from Finland but, during the im- The purchases were financed money laundering in trade port phase, Chinese perpetrators through money transferred from changed the customs values of the with China Greece and companies registered imported batches using forged in- in tax havens. The money was The investigation also revealed that voices. As a result of this activity, withdrawn from a bank located in companies operating in Ostroboth- nearly EUR 190 million in import ­Ostrobothnia. More than EUR 2 mil- nia and owned by a single person taxes have remained uncollected by lion was withdrawn in total. It is also had directly exported furs, main- China Customs. Finnish Customs suspected that approximately EUR ly arctic fox furs, acquired from fur has assisted the Chinese customs 2 million in cash were imported by farms to China, among other coun- authorities in the investigation, other means from abroad. tries, using forged export docu- ­having received positive feedback on Customs has investigated the ments at a value of approximately the collaboration. financing as aggravated money laun- EUR 15 million. Invoices presented This indicates how valuable­ dering and the purchases as aiding to Finnish and Chinese authorities these products are and partly­ and abetting in tax fraud and ac- contained amounts lower than the ­explains the motive for the counting offences. When investiga­ actual purchase prices. ­fraudulent activity in different ting the case, Customs collaborated It is suspected that the import ­phases of the trading process. with the Greek Tax Administration, values of roughly 110,000 arctic fox

Finnish Customs Enforcement 2017 27 Nature conservation offences and violations, as well as CITES cases

In 2017, Customs investigated a to- case was classified as both third-­ from Russia to Finland without the tal of seven cases where goods had degree smuggling and a nature necessary licence and in another case, been imported into Finland in viola- ­conservation violation. pieces of bearskin were ordered from tion of the Convention on Interna- The CITES cases involved orde­ Russia without the necessary licences. tional Trade in Endangered Species ring hats made from crocodile skin All nature conservation offences of Wild Fauna and Flora (CITES). and attempting to import bear or and violations are not necessarily Six of the cases were classified as whale meat into the country with- CITES cases. ­nature conservation violations and out the necessary licences. In one Usually, the most nature conser- one of the cases was classified as a of the CITES cases, an attempt was vation offences and violations are nature conservation offence. One made to import a taxidermied wolf ­detected when controlling goods.

Nature conservation offfences 2013 2014 2015 2016 2017 and violations

Nature conservation offence 4 5 3 0 1 Nature conservation violation 13 12 9 2 6

Glass waste investigated as tax fraud

The Economic Crime Investigation purpose is legal but also subject to tax fraud by neglecting their reporting Unit of Customs investigated a case waste tax. In addition, it was disco­ obligation for taxation and, therefore, in which a company was suspected vered during the preliminary investi- of seeking significant financial gains. of not reporting a large amount of gation that the company had trans- No tax returns were filed for these glass waste subject to tax it had re- ferred more than 110 tons of waste specific batches of glass waste. ceived in 2015–2016 to Customs as glass received at its waste centre in During the preliminary investiga- aggravated tax fraud. The company 2015 and roughly 1.2 tons in 2016 tion, it was stated that the company’s is a waste treatment plant owned by for use in earth-moving work. CEO, development manager, CFO and several municipalities. According to The glass waste consisted of handling manager were in charge of the Tax Administration, the company glass packages containing sorting this taxation case. They were heard as had evaded more than EUR 500,000 defects, and it was intended for use suspects. in waste taxes. The company lodged in earth-moving work at the waste The investigation consisted of var- an appeal of the tax decisions to the centre. The glass waste was delive­ ious coercive measures and coope­ Administrative Court. red by Finnish Packaging Recycling ration with the prosecutor. Customs On the basis of a corporate au- RINKI Ltd which is a non-profit also worked together with other dit, the company was suspected to service company owned and estab- ­investigative Customs units in practi- have received approximately 8,000 lished in 1997 by the Finnish indust­ cal operations with good success. tons of glass waste in 2015–2016. ry and retail trade. RINKI provides Precautionary measures were Based on information obtained, a companies with solutions to fulfil considered in order to have the taxes preliminary investigation was initi- the polluter-pays principle. paid, but their use was abandoned. ated, during which it was disco­vered According to the Waste Tax Act, As the company is owned by munici- that the company had acquired waste tax must be paid to the state palities, the tax authority, the super- more than 3,800 tons of glass waste for landfill waste, in which case the visor of the state’s interests and the in 2015 and more than 4,000 tons holder of the landfill site is liable to ­prosecutor did not regard precau- of glass waste in 2016 and placed pay the tax. As an authorised body, tionary measures as necessary. the glass waste in the surface ­layers Customs was in charge of taxation The preliminary investigation of one of its landfill sites being and its monitoring in 2016. is complete, and the case entered ­modernised. Responsible persons of the com- ­indictment proceedings in summer The use of waste glass for this pany are suspected of aggravated 2017.

28 Finnish Customs Enforcement 2017 A wolf as a CITES case

Customs apprehended a man at the Vaalimaa border crossing point who was entering the country from Russia in a private car. During the ­customs inspection, a large mounted wolf (canis lupus) was found in the boot of the vehicle. The wolf is protected under the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES) which restricts trading in endangered animal and plant species. The regulation applies to animals and plants both living and dead, as well as their parts and any products manufactured from them. The wolf is one of the most strictly regulated species under CITES. Importing such species is always subject to an import li- It is estimated that there are 20,000–60,000 cence which requires a proper wolves in Russia, depending on the source, and CITES export document issued by the wolf is not a protected species in Russia. In the ­exporting country. The import addition, it is estimated that there were 150–180 licence must be applied for well be- wolves in Finland in 2017. According to estimates, fore the actual import, and it must be valid on the import date. No there are more than 10,000 wolves in Europe. import licence is granted for com- mercial purposes or retroactively in general. The suspect in this case said that he received the wolf as a gift from his friend and was carrying it to Germany via Finland. The suspect did not have any documents regar­ ding the wolf. The suspect did not know that a licence was necessary, considering that it was a gift. Customs seized the wolf, and the case was investigated as a ­nature conservation offence. The case is currently in indictment ­proceedings. The final fate of the wolf will ­become clear after legal proceedings.

Finnish Customs Enforcement 2017 29 Firearms offences and dangerous objects

A total of 120 firearms offences transported and brought to Finland which time there were 121 cases. In were detected in 2017. Of these, in vehicles or sent to Finland by mail 2017, Customs took possession of a 96 were minor offences and one from abroad. Most firearms are dis- total of 124 dangerous objects from case was classified as a violation. covered in house searches involving­ private passengers or from postal ­Altogether, 22 cases were investiga­ crime investigations. Deactivated consignments, compared to 431 ted as firearms offences. There was weapons are ordered from abroad dangerous objects in 2016, which one ­aggravated firearms offence. The by gun collectors, for example, but means that the number of confis- number of firearms offences some- in some cases the weapons have not cated dangerous objects clearly what decreased from 2016. been properly deactivated. ­decreased. 16 firearms and 96 gas weapons There were a total of 101 cases The confiscated objects included were confiscated. The number of classified as “violations of regula- tasers, truncheons, knives, shurikens confiscated gas weapons decreased tions on dangerous objects” in and brass knuckles. by 91 from 2016. Fifteen fewer 2017. The number of these cases firearms were confiscated than in somewhat increased from 2016, the previous year. Gas weapons are but clearly decreased from 2015, at

Firearms offences 2013 2014 2015 2016 2017

Aggravated firearms offence 5 4 4 5 1 Firearms offence 44 40 17 28 22 Petty firearms offence 11 17 31 129 96 Firearms violation 5 0 2 1 1 Total 65 61 54 163 120

30 Finnish Customs Enforcement 2017 Weapons by mail

In 2016 and 2017, Customs investigated several­ cases of where gas weapons and starting pis- tols that require a licence were imported into the country. Most of these weapons were found in postal consignments, but in one case a person who lives in Finland attempted to import starting pistols from Estonia. The man, who lives in Finland but is originally from the former Soviet Union, brought seven Atak Stalker gas pistols from Estonia to Finland. The gas pistols were found in the suspect’s luggage during a routine customs inspection. He stated that he bought the pistols in Tallinn and paid EUR 500 for them. Selling such weapons in Estonia is completely legal, which is why the suspect assumed that they can be bought and brought to Finland. The suspect stated that he planned to take the gas pistols via Finland to Russia. In another case, a mail order parcel from the United States contained an Ekol Firat Magnum pistol (cal. 9 mm P.A.K.) which is, according to the National Police Board, a gas weapon for which a possession licence is required. In the Finnish Firearms Act, gas weapons and starting pistols are classified as weapons for which a possession licence is required. The increased import volume of gas weapons is assumed to be linked to the poorer availability of illegal handguns. On the other hand, ordering such weapons from other countries online is easy, because their sale and possession is allowed in most countries. The most popular gas weapon seems to be the Turkish gas pistol Zoraki (9 mm P.A.K.), due to the fact that it is easy to modify. It can be used to fire 9 mm short cartridges, but the pistol can only be fired once with live ammunition. Zorakis are ­available through online stores for as little as ­­ EUR 20.

Finnish Customs Enforcement 2017 31 Product safety control

In 2017, Customs examined the in contact with food, focus was fipronil problem in eggs discovered regulatory compliance of altoget­ placed on products imported from in 2017. In summer 2017, Customs her 4,708 consignment samples. The other member states. In consumer heard from other Member States objective was set at 5,000 samples, goods control, the majority of the that fipronil had been discovered meaning that the actual examination ­examined products were imported in eggs, most likely because it had rate of 94 per cent was good. ­directly from outside the EU. illegally been added to insecticides. Customs examined altogether Customs control largely focuses The Customs Laboratory was 3,155 samples of products under on products that are imported ready to analyse samples. Over the the Food Act, of which, according to continuously and are consumed in years, several import bans have preliminary information, 7 per cent high volumes. However, the aim is been imposed due to the use of were in serious breach of regula- to examine any new products as this substance, for example, on tions and 11 per cent were mildly in quickly as possible. In 2017, a total spices imported from outside the breach of regulations. of 24 fidget spinners that became EU. Customs examined 1,553 con- popular among children and young Even though Customs is not sumer goods products, of which, ac- people were examined in 2017. authorised to control chickens or cording to preliminary information, Of these, 14 were found to be in eggs, it examined products that 14 per cent were in serious breach breach of regulations. contain eggs. Customs analysed of regulations and 10 per cent were Usual deficiencies were missing ­altogether 39 samples, including­ mildly in breach of regulations. or incomplete markings and a bat- mayonnaise, various pastries and The import or entry into the tery inside one product was found fresh pasta. These products were market of products in serious to be easily accessible, which poses made, for example, in France, breach of regulations was prohi­ a serious risk to children. In addi- ­Germany and Italy. No fipronil bited, and a remark or a request to tion, one fidget spinner involved was disco­vered from the analysed correct a deficiency was issued for the risk of short-circuiting. ­samples. products with minor deficiencies. Furthermore, Customs reacted­ In the control of products to new safety risks, such as the

Operation OPSON VI

Finnish Customs took part in the counterfeit or substandard food tions were analysed. In addition, the internationally significant OPSON and drink were seized. The seized lead content of turmeric and dietary VI operation targeting counterfeit ­products included alcohol, mineral supplement products was examined. food and drink between 1 Decem- water, stock cubes, seafood, olive oil On the basis of the analysis, a ber 2016 and 31 March 2017. Coor- and caviar. total of 950.5 kilograms of turmeric, dinated by Europol and Interpol, this In Finland, the operation targe­ curry and chilli spices in breach of year’s operation involved 61 coun- ted spices and was carried out, co- food regulations was discovered. tries, 21 of which were EU states. ordinated by Customs, in coopera- The analysed batches included a Finnish Customs took part in tion with the food safety authorities high number of inaccurate product the operation for the fourth time. of Helsinki and Vaasa. The operation specifications. In addition, traces of During the operation, a total of also produced good results in terms herbicides that are prohibited in or- 50,000 inspections were carried of cooperation between national ganic production were found from out in shops, markets and industrial authorities. one turmeric product alleged to be properties, as well as at airports and During the operation, 16 diffe­ organic. The prohibited Sudan azo ports. rent product batches were inspect- dye was discovered from two chilli In the global operation, 9.8 ed. A total of 21 samples were taken, and turmeric batches. Municipal million kilograms, over 26.4 mil- of which colouring, irradiation and ­authorities removed these products lion ­litres and 13 million units of the accuracy of product specifica- from sale.

32 Finnish Customs Enforcement 2017 Urho, the Customs sniffer dog of the year, was also recognised as the service dog of the year at Dog Fair Finland

Currently enjoying his retirement, Urho and his handler had a merited career at Helsinki Airport. Urho de- tected several significant shipments containing narcotics and their pre- cursors from cargo and passengers. A few years ago, Urho detected 20 kilograms of marijuana from luggage. From cargo, Urho has disco­ vered, for example, more than 500 kilograms of APAAN precursor sub- stance that could have been used to manufacture 150–440 kilograms of amphetamine sulphate. This disco­ very also helped to trace another shipment sent with similar cargo details. The handler thinks highly of the recognition but points out that, without colleagues carrying out ­basic control duties, dog units would not be able to do their job. “However, they could do their job without us. That is why this ­recognition belongs to all of us”, he says.

A seasoned professional who loves people Urho is a sociable dog who loves people. He used to work by the pre- tence of play, but not very serious- ly. Urho has always been fairly ­active, regarding the decision to let Urho dogs were only trained to detect and he has not slowed down in retire in August 2017. narcotics, until dogs were started ­retirement. to be trained to detect cigarettes He was able to retire without Canine operations in Customs at the beginning of the 2000s. The any major problems because Labra- since 1969 first combination dogs of Customs dors are very adaptive. who detect cash and narcotics “All dogs deserve to retire Customs has close to 50 sniffer started officially at the beginning of healthy. Urho worked in various dogs who work in nearly all loca- 2015. The first sniffer dog to detect tasks and was under heavy stress. tions of Finnish Customs at inter- weapons and explosives and a dog The environments where he worked nal, external and Schengen borders trained to detect cigarettes, snus were hard and his workload was of the EU. Sniffer dogs are used to and narcotics started in 2017. high. It became obvious that the control material prohibitions and Canine operations of Customs 8-year-old had had enough. Even restrictions in road, air and sea comprise close cooperation, as well though he was healthy, it took more transport. as productive and visible activities time to recover and he got tired Customs has trained and used to protect society in passenger and more easily”, says Urho’s handler sniffer dogs since 1969. At first, goods transport.

Finnish Customs Enforcement 2017 33 Finland’s largest hashish seizure

During an inspection carried out at Vuosaari Harbour in Novem- ber 2017, a record-breaking load of hashish of more than 660 ­kilograms was discovered from a Lithuanian articulated vehicle. The hashish was hidden inside a compartment in the front wall of the trailer. The vehicle was driven by a Lithuanian man who is still ­remanded in custody. The man started from Spain, from where he continued to Turku via Central Europe and Sweden. The seized batch of narcotics could have been used to ­produce 1.3–2 million doses, and its street value would have been EUR 13 million. The preliminary investigation is still in progress.

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