Global Intelligence Note SUPPLY CHAIN INTELLIGENCE CENTER 4 May 2018 Formerly known as FreightWatch International

The SensiGuard™­ Supply Chain Intelligence Center (SCIC) presents a summary of major incidents and news articles EMEA relating to cargo theft and intelligence for the week ending 4 May 2018. United Kingdom EMEA United Kingdom...... 1 30 April 2018: Last week saw the British Bulgaria...... 1 government launch an inquiry to examine ...... 2 the potential effects of Brexit on U.K. freight operations, and assess the preparatory South Africa...... 2 steps operators, their customers, and the Kenya...... 3 Government need to take. Many logistics operators have Germany...... 3 expressed concern in the past few months that the inability Denmark...... 3 to agree trade terms with the EU is causing problems for APAC stakeholders, but many projects are on hold awaiting a picture Cambodia...... 3 of how the mechanics and systems will actually perform post- China...... 3 Brexit. India...... 4 Read more: Handy Shipping Guide Global...... 4 North & South America Brazil...... 4 Mexico...... 5 U.S. & Canada...... 5 Bulgaria 30 April 2018: Bulgarian customs officers stopped a van with a registration from the Republic of Kosovo, which was on route from Turkey to Serbia. The vehicle was examined by officers and they found nearly 2,500 packages of counterfeit Pharmaceuticals, including antibiotics and treatments for epilepsy and osteoporosis. They also found twenty boxes of illegal hookah Tobacco. All products were confiscated and the driver faces legal proceedings as a result. Source: K&N Ring Alert

sensitech.com Italy South Africa

2 May 2018: The Carabinieri of Pavia have 3 May 2018: Truck drivers are being recovered the stolen goods that had been targeted by thieves as they wait at a stop- scored last night at the “Terrepadane” and-go on the R72 where the South African agricultural consortium in Pavia. The military National Roads Agency SOC Ltd (SANRAL) found the van (with a Bulgarian license plate and stolen loom) is conducting roadworks. One logistics company has received containing fifty boxes of herbicides and fertilizers taken from numerous reports by its drivers of thieves attempting to steal the warehouse. They also stopped a 20-year-old man later held from the vehicles, including two where the trucks were damaged responsible for the theft. by having the tarpaulins on their trucks slashed. In some cases, Read more: Carabinieri (Italy) the robbers slash the tarpaulins to see what is in the truck first; if it’s not something they want, they leave, but the tarpaulins are

29 April 2018: A truckload of agricultural still damaged. products was stolen from a company premises Read more: R News (South Africa) in , (). The military in nearby Donnalucata stopped the vehicle only 2 May 2018: Police in Port Elizabeth 6 km from where it had been stolen. When the driver exited the arrested two suspects shortly after they truck cab he fled the scene on foot, abandoning the truck. The were found in a stolen truck loaded with value of what was in the truck is believed to be €80,000. It is nappies and toilet paper worth almost believed that others were also involved in the theft. R1-million. When Police were alerted to the theft, the flying Read more: Corriere di Ragusa (Italy) squad and K9 unit followed up on the information. While on patrol in Ferguson Road in New Brighton the truck came

27 April 2018: The Confederate unions Filt towards them and stopped. The two suspects jumped out of Cgil, Fit Cisl and Uiltrasporti have declared a the truck and attempted to run away but were apprehended. 24-hour strike by the port workers against self- Read more: Herald Live (South Africa) production and the weakening of the powers of the Port System Authorities. In the note 28 April 2018: Former prison inmates may be announcing the strike on 11 May, the three unions state that it driving South Africa’s latest Cash-in-Transit robbery will last 24 hours throughout Italy. surge, based on analysis by the modus operandi of Read more: Trasporto Europa (Italy) recent incidents. Dr Hennie Lochner, a senior lecturer in forensic and criminal investigation science at Unisa, said “My

26 April 2018: The national Italian rail company information is that the robbers have recently been released after FS Group and the Naples port have signed an serving sentences. There are no tabs on them.” This year has agreement to revive its rail freight connection. FS been a bad one for Cash-in-Transit heists. The SA Banking Risk and the port authority will analyse the necessary Information Centre (Sabric) has recorded 106 incidents in 2018, civil works to repair the railway track, currently unused. The compared to 96 for this same period in 2017. Swiss sea shipping firm Mediterranean Shipping Company Read more: Independent Media (South Africa) (MSC), which has a hub in Naples port, has already expressed its interest in offering a rail freight service between the port and several inland towns in the province of Campania. Read more: RailFreight.com

sensitech.com SCIC Global Intelligence Note 4 May 2018 2 Kenya APAC 30 April 2018: A private firm is expected to start handling empty containers transported by the Standard Gauge Railway (SGR). This is one of the measures that KR and Kenya Ports Authority Cambodia (KPA) will unveil on 1 May to streamline services at the Inland Container Deport in Embakasi (ICD-E). 2 May 2018: A man who stole a container truck Read more: Standard Media (Kenya) left parked along the side of National Road 4 on the outskirts of the capital is due to appear in court. The driver of the container truck told police that he parked the truck along the side of National Road to take a break. He was transporting the truck laden with Germany garments from the capital to Preah Sihanouk province. After 4 May 2018: A driver left his trailer chassis parking the truck, he went for a few drinks with friends at a with a container load at a layby in Dortmund- house nearby the place he parked, he said. He was informed by Derne around 17:30 hrs. He then left the a fellow trucker that his truck was gone. He went in search and location in his truck and planned to return after riding a motorbike in search of the missing truck for about in the morning to pick up the chassis again. During the night, four hours on different roads, he saw his truck along Russian criminals using their own vehicle connected up the chassis and Boulevard in Kakab commune. He said the suspect was later container before they disappeared. The container was loaded arrested by police on the same night. Police then confiscated with brand-name clothing. the stolen truck with the cargo intact and returned it to the Source: K&N Ring Alert driver. Read more: Khmer Times (Cambodia)

Denmark China 3 May 2018: Cargo thieves were active on the parking area Bugt Motorvejen (Shell fuel station), 1 May 2018: China sees great potential in Karlslunde, E20 motorway. On Saturday night an intermodal route connecting the Arctic to to Sunday, criminals arrived and slashed the the New Silk Road. The Polar Silk Road, as curtains of ten trucks. It is not yet confirmed what was taken but it is called, is an extension of the Belt and investigations by police are ongoing. Road Initiative via the Northern Sea route. While commercial Source: K&N Ring Alert operations on the North Sea Route are already in full swing, a rail freight line connecting the Arctic to the south of Finland should open up this new gateway to Europe. The infrastructure in the Arctic cities of Norway is still lagging far behind compared to the south of Norway and Finland. The Nordic states, together with China, should explore the possibilities of integrating various projects to create a win-win situation, said Baozhi Cheng, Senior Fellow at the Shanghai Institute for International Studies. Read more: RailFreight.com

sensitech.com SCIC Global Intelligence Note 4 May 2018 3 India North & South 29 April 2018: A vehicle lifter and arms smuggler, who has confessed to have stolen America 5,000 motorcycles, 30 trucks, pistols, laptops, and drugs since 2007, was arrested from his residence at Kabuganj in Cachar district. Acting on a tip-off, police raided a house, having received information about the Brazil whereabouts of the kingpin of the bike lifting group active across 1 May 2018: According to Minas Gerais State the Barak Valley areas. Department of Public Security, cargo theft Read more: The Times of India Hijackings increased 56% in the capital and almost 10% in the rest of Minas State in 2017, compared to 2016. Pilferage dropped by 37% in the Capital and 27% in the rest of State. Among the hypotheses to explain the Global great increase of cargo theft in the Capital is the concentration of companies and the various options of access/roads to other 30 April 2018: High tech has reached the high cities. seas, and there are no safe harbors. That point Read more: Hoje em Dia (Brazil) was made very clear in a recent webinar hosted by the National/International Maritime Law Enforcement Academy and presented by RiskSense, a New May 2018: Representatives of the Port Mexico-based cybersecurity practitioner. Whether in port or in Administration of Paranaguá and Antonina transit, everything is connected, including GPS, trucks, cranes, (Appa), the State Department of Public Security, and the ship itself. New ships, both cargo and passenger, and the Truckers’ Union of Paraná recently held are being developed with even more features. One benefit is meetings to discuss joint actions in the area of optimization of routes. With Internet of Things (IoT), a ship’s security in the area surrounding the Paranaguá Port. Paranaguá position can be tracked live, and location information can be Port is an important outlet for agricultural production in the state. sent to other ships on the same network, allowing the captain Cargo theft intensifies in the region at the time of the harvest, to change route if necessary. Also, status and temperature of already in progress. The work is aimed at suppressing cargo cargo containers can be tracked. Refrigerated containers can thefts called “leaks,” in which the criminal knocks down the be monitored for temperature fluctuations, so corrections can be truck’s dumper and dumps the goods on the road. made quickly. Finally, ship’s equipment, including engines, can Read more: Odiario.com (Brazil) be monitored and repaired at the first sign of trouble. Read more: Supply Chain DIVE May 2018: With the increase in cargo theft in Rio de Janeiro, carriers have charged extra fees, revised contracts and even canceled routes to the state. Costs with Risk Management have increased (tracking systems, insurance and escort). Since last year, many companies have charged the Exceptional Emergency Charge (Emex), set at R$ 10 (about USD $3.13) per 100kg, plus a percentage of value of the cargo (between 0.3% and 1%). This can end up burdening freight between 8% and 10%. Change in times of receipt and delivery of products is also a measure that has been used to try to avoid thefts. Insurance companies have raised the prices of coverage for certain routes and freelance drivers have refused to carry loads to the region. Read more: Diário do Comércio (Brazil)

sensitech.com SCIC Global Intelligence Note 4 May 2018 4 Mexico U.S. & Canada

3 May 2018: A criminal group has been detected 30 April 2018: DP World and Los Angeles- operating on kilometer 167 on highway Mexico- based Virgin Hyperloop One have launched Veracruz (MEX-150D) in the city of Acatzingo, their partnership, DP World Cargospeed—a Puebla. Cargo thieves stop cargo units making venture intended to spearhead the development use of a fake Federal Police patrol during the of hyperloop technology in the Middle East for the transportation night. of cargo. The high-speed, low-friction trains, still very much in the conceptual stage at DP World Cargospeed, will run above

1 May 2018: State Police seized a criminal ground at speeds comparable to airfreight transportation, but warehouse in the city of Tultitlan, State of at a potentially much lower price due to anticipated energy Mexico, where 175 water heaters stolen days savings. before on Circuito Exterior Mexiquense (CEM) Read more: Air Cargo World were recovered. 30 April 2018: The Morgan County (Colorado) 30 April 2018: At kilometer 12+350 on highway Sheriff’s Office has identified the man accused Puerto Mexico-Ojo Caliente, a Mexican man of stealing a semi-truck and leading police on a with permanent U.S. residency was arrested pursuit that spanned multiple counties and left onboard a gray vehicle with North California plates. Inside the five people—including a police officer—injured. vehicle, nine weapons were recovered: three 9mm pistols, a Christopher Luedtke, 29, was arrested after the sheriff’s office .38 Colt Government pistol, a 20mm Stevens shotgun, two .22 says he jumped from the moving semi on a residential street in Rugers, a .22 Remington, a .50 Barret, 100 9mm bullets and Brush and ran into a nearby house. He faces multiple charges two telescopic sights. The arrested man mentioned that he was for attempted first-degree murder (including attempted murder driving from North California to Guerrero. of a peace officer), as well as first-degree assault. Read more: KUSA-TV (Denver, CO)

28 April 2018: Eleven cargo thieves were arrested in the city of Cuautitlan Izacalli, State of 30 April 2018: The U.S. House passed a bill to Mexico, after the theft of a 3½-ton van loaded reauthorize the Federal Aviation Administration with tyres. During the arrest, State Police also for five years, tacking on to the mostly aviation- secured three vehicles that criminals used to focused legislation two policy riders related to intercept the cargo units, a jammer, and nine cell phones. trucking. One is a policy provision that would protect brokers and shippers from liability when selecting a carrier to move their loads. Should the provision ultimately prevail (the Senate is working on its own version of an FAA bill, and it likely will differ from the House version), it would institute soft criteria by which shippers and brokers should use to make carrier hiring decisions. Read more: Overdrive Online

28 April 2018: Two men stole bags containing cash from an armored truck at a parking lot of a bank in northwest Indiana. Both men took three bags containing an undisclosed amount of money and took the firearm from the security officer before returning to a vehicle and fleeing the scene. Read more: NBC Chicago

sensitech.com SCIC Global Intelligence Note 4 May 2018 5 26 April 2018: Three suspects stole an Amazon delivery truck and were in the process of transferring the packages to their van when they were spotted by a citizen near a gas station at Oso and Sherman Way in Los Angeles. The suspect called police, and undercover officers arrived on scene to confirm a crime was being committed. Plain clothes officers then moved in to make the arrests, and all of the packages were recovered. Read more: KTTV-TV (Los Angeles, CA)

26 April 2018: A Mississippi man has been arrested after police say he stole a delivery truck and led officers on a chase. A Hattiesburg Police Department spokesman says the legitimate driver of the tractor-trailer went inside a gas station to conduct business and left the keys in the unlocked rig. Read more: U.S. News & World Report

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