Organised Crime and corruption in Venezuela: A problem of State June 2020 Transparency Venezuela Mercedes De Freitas Executive Director Mercedes De Freitas Manuel Sánchez Trujillo General coordination of the study Miriam Arevalo Research Team Transparency Venezuela Luis Izquiel Fermín Marmol García Luis Alberto Buttó Dorennys Angulo Collaborators Mauricio Pernía Alba Sánchez Briceida Morales Jesús Urbina Regional Coordinators Transparency Venezuela María Alejandra Domínguez Design, computer graphics and layout Introduction: Anomie and Impunity 4 I Anatomy of crime: 7 the 9 major crime rings controlling venezuela II Corruption and crime in the regions: lawless states 30 III Military power, crime and corruption 61 IV Differential impact of corruption and organised 85 crime on women in venezuela V Crime, security agencies and human rights 106 Table of content VI A proposal to dismantle organised crime in venezuela 121 Introduction Anomie and Impunity Organised crime and corruption in Venezuela have become a state problem that not only keeps Venezuelans in constant danger, but their effects are already impacting a number of Latin American countries, while the United States and several European nations have witnessed how illegal operations of power groups have infiltrated their financial and real estate systems with dirty money stolen from Venezuela’s coffers. A simple explanation for the complex humanitarian emergency facing Venezuela is that the country was subjected for several years to misguided public policies and decisions by authorities, which in most cases right out aimed to steal large amounts of money from the nation’s Treasury. It was a Grand Corruption scheme,1 with systematic measures that impinged on the entire population. This context was a breeding ground for organised crime, which became stronger with substantial firepower and economic resources, to the point of collaborating—in many cases—with agencies at all levels of authority, including senior officials in the administration. In view of this situation, at the end of this investigation we propose a set of initiatives to combat this evil, which will require forceful and unprecedented actions in Venezuela, such as resorting to the support of international organisations in the search for solutions that have been effective in other countries of the hemisphere, to punish the culprits. This work encompassed a nationwide vision—as opposed to the 2019 Organised Crime and Corruption study2 focused on border issues—which shows the map of criminal organisations, the types of crimes, the regional situation in various states, the role of the Bolivarian National Armed Forces (FANB), as well as an analysis of the situation of women regarding organised crime and corruption. The most important findings of this new study can be summarised as follows: 1. The existence of at least 9 major organised crime rings in Venezuela, involving more than 13,000 criminal organisations, some of which have ties to policy makers and public officials. 2. Crimes and acts of corruption boast total impunity. 3. The lack of robust public institutions, the dismantling of some of them, as well as the existence of incentives derived from some public policies such as price controls and fuel subsidies, are a breeding ground for misdeeds, crimes, human rights violations and the theft of public funds. 4. Venezuelan migrants are victims of illegal groups. 5. The implementation of a model called garrison state, “banana republic” style, whose main characteristics include institutionalised violence, colonisation of public administration and the incorporation of members of the Armed Forces into the economic leadership of the country. 6. The differentiating aspect of organised crime and corruption among Venezuelan women 1 https://transparencia.org.ve/project/actualizacion-patron-de-gran-corrupcion-un-esquema-para-el-desfalco-y-la-violacion-de-ddhh/ 2 Scope study on corruption and other forms of organised crime causing instability and human rights abuses in border areas of Venezuela, Transparencia Venezuela, 2019 4 I Transparencia Venezuela In this investigation, the effort was focused on determining the institutional, social and economic aspects of criminal activity in Venezuela and is developed in 6 chapters: 1. Anatomy of crime: the 9 major crime rings controlling Venezuela 2. Corruption and crime in the regions: lawless states. 3. Military power, crime and corruption. 4. Differential impact of corruption and organised crime on women in Venezuela. 5. Crime, security agencies and human rights. 6. A proposal to desmantled organized crime in Venezuela. The general objective has been to gather and organize relevant information, with the purpose of providing sufficient data and empirical analysis for political leadership, with power to lead the country, can design the strategies and public policies that will defeat and overcome corrupt practices, incentives to corruption and the action of organized crime that, to the detriment of governance and institutional integrity, have had devastating consequences for the lives of Venezuelans with violations to the human rights, destruction of the productive apparatus, of the public services, opportunities to overcome poverty, and that have generated a process of unprecedented degradation that led to the complex humanitarian emergency that they are suffering and still waiting for solutions. The statements, opinions, and ratings present in all chapters correspond experts, witnesses, victims and affected persons, some of whom have chosen not to disclose their identity. 5 I Transparencia Venezuela TAXONOMÍA DEL CRIMEN: LOS 9 BLOQUES DELICTIVOS QUE CONTROLAN VENEZUELA Anatomy of crime: the 9 major crime rings controlling venezuela TAXONOMÍAANATOMY DEL CRIMEN: OF CRIME: LOS 9THE BLOQUES 9 MAJOR DELICTIVOS CRIME RINGS QUE CONTROLLING CONTROLAN VENEZUELA VENEZUELA The six-month investigation of our team of experts identified and classified the various types of organised crime organisations into 9 major rings, with different origins, nature, business, scopes, structures and objectives. These crime rings coexist in Venezuela at different levels of tension or harmony, alongside the FANB, the national, regional and municipal police forces, as well as other government agencies. Some control territories and have created micro-states within the country. Most of these criminal groups materialise the third type of primitivism, i.e. the criminal type, which is characterised by violence, atrocity, and perversion, and enjoys the harm it inflicts, to the detriment of the great majority of good and honest citizens. The 9 crime rings: 1) Large criminal gangs 2) The construction, oil and mining “syndicates” 3) The armed and violent “colectivos” 4) The “pranes” and their prison organisations 5) Bolivarian Liberation Forces or “Boliches” 6) Holding of corruption 7) Drug traffickers 8) FARC, ELN 9) Smaller criminal gangs 7 I Transparencia Venezuela ANATOMY OF CRIME: THE 9 MAJOR CRIME RINGS CONTROLLING VENEZUELA 1 LARGE CRIMINAL GANGS Crime has a natural tendency to organise, as this process allows criminals to make larger profits from their criminal actions, makes it easier for them to overpower rivals and gives them a greater ability to confront law enforcement. Therefore, large criminal gangs are proliferating in Venezuelan territory. Large criminal gangs: Territory • Organisations with no political ideology, Many operate in Caracas (in neighbourhoods whose only purpose is to obtain economic such as Cota 905, El Valle, Coche and Petare, benefits from their misdeeds. among others). They are also active in other • Gangs with at least 50–60 members (up to urban areas in different cities of the country hundreds) and in towns or villages. • They control a specific (urban or rural) territory Number of large gangs • They have great firepower (including rifles By 2017, there were 19 large gangs in and grenades) Venezuela.3 Today that number has increased. • Well-defined vertical command structure. Crimes include Atrocious murders Like Mexican drug cartels, the murders drug trafficking, murder, car hijacks (especially committed by members of these large gangs cargo trucks), extortion and kidnapping, among against their rivals are often atrocious, as a others. way to send messages to other criminals trying to challenge their power. Usually the youngest, Whose nickname sometimes children. They regularly defines “guard” the access to areas 4 1 the name of the dominated by the gang. They gang. notify their superiors when 1 they notice the presence of Gang leader law enforcement agencies or or “principal” members of rival gangs. To increase the terror Organisational they want to spread, they structure sometimes record these 2 murders on videos and then 4 Lieutenants post them on social media. “Triggers” or “Luceros” In Venezuela, massacres committed by these criminal organisations have already become commonplace. 3 “Soldiers” Lower members in 2 1, 2 or 3 major the hierarchy. 3 criminals under the leaders. 3 2017. Mayorca.J. “Megabandas, una aproximación a la insurgencia criminal venezolana, del Observatorio de Delito Organizado”. 8 I Transparencia Venezuela ANATOMY OF CRIME: THE 9 MAJOR CRIME RINGS CONTROLLING VENEZUELA Composition of a large gang Large gangs and communities Organisational structure: There is a growing concern about the social • Gang leader or “principal”: whose nickname acceptance that many of these large gangs can regularly defines the name of the gang. achieve in the territories they dominate.