ILLEGAL MINING AND

ASSOCIATED CRIMES

A Law Enforcement Perspective On One

Of the Most Lucrative Crimes

APRIL 2022
ILLEGAL MINING AND ASSOCIATED CRIMES

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 A LAW ENFORCEMENT PERSPECTIVE ON ONE OF THE MOST LUCRATIVE CRIMES

ACKNOWLEDGEMENTS

INTERPOL would like to thank the Norwegian INTERPOL would like to thank the law
Ministry of Climate and Environment for its enforcement representatives and related
generous financial support to the INTERPOL agencies from Bolivia, Brazil, Colombia,
Illicit Markets Environmental Security Ecuador, Peru and Panama who contributed to
Programme. This allowed INTERPOL to promote the data collection for the development of The
the enforcement capacities and operational INTERPOL Strategic analysis report on “Project
engagement of Official Development Assistance MNYA: an intelligence picture of illegal mining
recipient countries in fighting illegal mining. and associated crimes in Project beneficiary
countries” and its public version.

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DISCLAIMER

(1) This publication may be reproduced in whole (3) The content of this publication does not
or in part and in any form for educational or non- necessarily reflect the views or policies of
profit purposes without special permission from INTERPOL, its Member Countries, its governing
INTERPOL, provided acknowledgement of the bodies or contributory organizations, nor does
source is made. INTERPOL would appreciate it imply any endorsement. The boundaries and
receiving a copy of any publication that uses this names shown and the designations used on
publication as a source. any maps do not imply official endorsement or
acceptance by INTERPOL. The designations
(2) All reasonable precautions have been taken employed and the presentation of the material
by INTERPOL to verify the information contained in this publication do not imply the expression
in this publication. However, the published of any opinion whatsoever on the part of
material is being distributed without warranty INTERPOL concerning the legal status of any
of any kind, either expressed or implied. The country, territory, city or area or of its authorities,
responsibility for the interpretation and use of or concerning the delimitation of its frontiers or
the material lies with the reader. In no event shall boundaries.
INTERPOL be liable for damages arising from its
use. INTERPOL takes no responsibility for the
continued accuracy of that information or for the
content of any external website.

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CONTENT

ACKNOWLEDGEMENTS.............................................................. 3

DISCLAIMERS............................................................................... 4

CONTENTS................................................................................... 5

1. BACKGROUND: A GLOBAL THREAT....................................... 6

1.1 THE CHALLENGES OF ENVIRONMENTAL CRIME.................................. 6

1.2 THE CHALLENGES OF ILLEGAL MINING................................................ 7

2. INTERPOL’S ROLE: A global RESPONSE.................................. 8

3. METHODOLOGY of Project MNYA Strategic analysis report.10

4. KEY FINDINGS of Project MNYA Strategic analysis report... 13

4.1 LEGAL FRAMEWORKS.......................................................................... 13

4.2 NATIONAL COORDINATION & INTERNATIONAL COOPERATION...... 13

4.3 HOTSPOTS AND TRAFFICKING ROUTES............................................. 14

4.4 CRIMINAL TRENDS............................................................................... 14

Modus operandi.................................................................................................... 14

Impacts of COVID-19 on illegal mining activities................................................ 15

4.5 CRIME CONVERGENCE........................................................................ 16

4.6 TECHNICAL CAPACITIES & CHALLENGES............................................ 16

5. CONCLUSION AND RECOMMENDATIONS........................... 18

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1
BACKGROUND: A GLOBAL THREAT

1.1
THE CHALLENGES OF ENVIRONMENTAL CRIME

Environmental crime is a serious and growing Environmental crime is low-risk and high profit
international issue, which takes many different for criminals.3 This crime area has been recently
forms and impacts origin, source, transit defined as the third largest criminal sector
and consumer countries. Broadly speaking, worldwide, after drugs, counterfeit goods and
environmental crime is a collective term for trafficking. In terms of economic loss, just illegal
“illegal activities harming the environment and logging, fishing and wildlife trade have an
aimed at benefiting certain individuals, groups estimated value of $1 trillion or more per year.4
or companies through the exploitation and theft
of, or trade in natural resources”.1 This crime area
includes corporate crime in the forestry sector,
illegal exploitation and sale of gold and minerals,
illegal fishing and associated criminal activities
in the fisheries’ sector, trafficking in hazardous
waste and chemicals, the illegal exploitation
of the world’s wild flora and fauna, and wealth
generated illegally from natural resources being
used to support non-state armed groups and
terrorism.2

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1.2
THE CHALLENGES OF ILLEGAL MINING

Although “illegal mining” has no universal • Human rights in vulnerable communities,

definition, INTERPOL defines it as an umbrella who are exposed to i) human trafficking,
term covering both illegal extraction and trade forced labor, child and women abuse/
of minerals, including the illegal use of toxic exploitation and pervasive (sexual) violence;
chemicals (such as cyanide and mercury) in ii) health issues for local miners and adjacent
mining activities. communities - caused by the chemical
substances and environmental-; and iii) human
Illegal mining has evolved into an endemic and displacements to facilitate the business; and
lucrative enterprise in several regions across the • The environment. Illegal mining causes water
globe, with seriously damaging consequences in and land poisoning via the release of toxic
terms of: chemicals (e.g. mercury, arsenic, and cyanide),
as well illegal deforestation, biodiversity
• Socio-economic development, due to the and habitat loss, erosion, sinkholes, and
high profits generated from illicit assets of atmospheric carbon emissions.
approximately 12-48 billion USD per year,5
undermining government revenues;
The subsequent illegal trade of gems and
• Peace and stability, as terrorist organizations, precious metals, coupled with corruption and
armed rebel groups and drug cartels use the money laundering, is often perpetrated by
sector as both a funding source and a money organized crime. The criminal groups operating
laundering enabler. In conflict regions, the in the illegal mining sector are also often involved
mining sites are controlled by Organized in other crime areas. These criminal activities
Crime Groups and have become hotspots for pose major threats to global supply chains,
widespread violence; the rule of law and sustainable development.
Tackling criminal activities in the mining sector
requires an international and coordinated
policing response.

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INTERPOL’S ROLE: A GLOBAL RESPONSE

INTERPOL is the world’s largest international Within this context, ENS launched in 2020 its
police organization, with 195 member countries. first project – called “Project MNYA” - to bring
Its role is to enable police around the world to countries together in the fight against illegal
work together to make the world a safer place. mining and associated crimes. The geographical
Using its high-tech infrastructure of technical scope of the project is Latin America, specifically
and operational support, INTERPOL helps meet Colombia and neighboring countries, namely
the growing challenges of fighting crime in the Bolivia, Brazil, Ecuador, Panama and Peru. In
21st century. order to achieve the objective of the project,
ENS has been tackling the crime area from
Since 2010, the INTERPOL Illicit Markets different perspectives and answered to the
Environmental Security Programme (ENS) need for a detailed intelligence picture on
supports Law enforcement in disrupting criminal illegal mining in the region. This has resulted in
networks involved in environmental crimes and the production of the Strategic Report titled
related crimes (such as fraud, human trafficking, “Project MNYA Strategic analysis report:
money laundering and corruption). an intelligence picture of illegal mining and
associated crimes in Project beneficiary
countries”6 for law enforcement use. This
report is a summarized and public version of this
Strategic analysis report.

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Latin America, where all “Project MNYA” focus The high involvement of criminal networks, their
countries are located, is highly affected by illegal sophisticated way of conducting illegitimate
mining. According to the Global Initiative against business and the transnational outreach of
Transnational Organized Crime, Latin America illegal mining and associated crimes pose
experiences one of the world’s largest illegal complex challenges to the law enforcement
gold extraction rates. In some countries, the illicit arena. Based on this, INTERPOL plays a
trade in gold would be more profitable than drug significant role in supporting member countries
trafficking and seen as low risk by criminals, likely to develop national, regional and international
due to the strong law enforcement response to coordinated law enforcement responses.
drug trafficking in the region.7 In addition to that,
links between illegal mining and armed groups
activities in these countries have also been
reported to INTERPOL.

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METHODOLOGY OF PROJECT MNYA
STRATEGIC ANALYSIS REPORT

The Strategic Report titled “Project MNYA • Legal framework – what are the legal tools
Strategic analysis report: an intelligence picture in place to tackle illegal mining at the national
of illegal mining and associated crimes in Project level?
beneficiary countries” presents a detailed • National coordination – who are the national
overview of the crime area and associated actors at stake to tackle illegal mining?
threats in the Latin American region – specifically,
• International cooperation – do law
Colombia and neighboring countries including
enforcement cooperate across the region
Bolivia, Brazil, Ecuador, Panama and Peru. The
and are international and regional actors
purpose of the report is to assist law enforcement
supporting national authorities in addressing
from these countries in the identification of high
illegal mining?
value targets (key players and facilitators), their
• Hotspots and trafficking routes – are any
modus operandi, linkages with other crimes and
hotspots and international trafficking routes
international connections.
related to the illicit mineral and mercury
trafficking known to national authorities?
The analysis contained in the report is mainly
based on law enforcement responses to a • Criminal trends – who are the major organized
questionnaire designed by INTERPOL,8 some criminal groups and what techniques do they
follow-up interviews and to a minor extent, open use to conduct illegal mining activities and
source information and intelligence. The analysis related crimes? How have their activities been
focuses on the following topics: influenced by the COVID-19 crisis?
• Crime convergence – are any identified
connection between illegal mining activities
and other crimes?

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KEY FINDINGS OF PROJECT MNYA
STRATEGIC ANALYSIS REPORT

4.1 4.2
LEGAL FRAMEWORKS NATIONAL COORDINATION &
INTERNATIONAL COOPERATION

According to the data collected, Project MNYA At the national level, Project MNYA countries
countries define illegal mining in different have at stake different law enforcement agencies
terms in agreement with their national legal responsible for investigating and enforcing
frameworks. illegal mining activities. While in Ecuador,
Panama and Peru, the environmental police is
All responding countries – Bolivia, Colombia, in charge of investigating this crime; in Bolivia
Ecuador, Panama and Peru – define illegal mining and Colombia, the police divisions responsible
as an offence punishable by prison sentences. for investigating illegal mining are also in charge
The penalty goes from two to twelve years of of other crime areas. In addition, Ecuador,
imprisonment and is aggravated in case illegal Panama and Peru have also in place specific
mining activities are perpetuated concurrently to infrastructures to ensure and strengthen national
other crimes. The same countries declared that inter-agency cooperation and coordination.9
this crime area is considered a major threat at
the national level and therefore, a priority for law At the regional and international level, several
enforcement. In addition, Panama and Peru also joint operations and investigations were reported
categorize illegal mining as organized crime. by Project MNYA countries. Accordingly, a
number of regional and bilateral agreements10
Within this context, Peru and Colombia’s exist that law enforcement can use to conduct
penal legislation declares that the damage joint operational activities. They are: the Lima
to the environment caused by illegal mining Declaration (2012), the Andean policy to combat
activities needs to be proven – complicating the illegal mining (2012), the binational plan for the
prosecution of suspects. development of the border region Ecuador-Peru
(2012-2013), the Cusco Declaration between
Bolivia and Peru (2011), the Plan and Declaration
between the armed forces of Colombia and Peru
(2013) and the Joint agreement to combat illegal
mining between the armed forces of Colombia
and Ecuador (2013).

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4.3 4.4
HOTSPOTS AND CRIMINAL TRENDS
TRAFFICKING ROUTES

The data analysis resulted in the identification of Modus operandi

a series of areas mostly affected by illegal mining In criminal law, modus operandi refers to a
within the Project MNYA countries – called method of operation or pattern of criminal
hotspots.11 Half of these are cross-borders behavior so distinctive that separate crimes or
areas, suggesting that some illicit mineral wrongful conduct are recognized as the work of
trafficking might take place in these areas. the same person and/or group.
At the same time, a number of trafficking routes
dedicated to the illegal trade of gold and The top five common modus operandi identified
mercury were identified. across Project MNYA countries were the
following:
Furthermore, the following assessment of illegal • Mining activities taking place in permitted
mining activities was provided to INTERPOL: areas without concession / permit or in excess
of concession quotas;
• Bolivia – source country; • Mining activities occurring in a protected area;
• Colombia – source country; • Illegal forest or land clearing for mining
• Ecuador – source and processing country; activities;
• Panama – source, processing and transit • Mining activities conducted by illegal workers
country; and (and/or forced labor); and
• Peru – source, processing and transit country. • Mining associated with the use of illegal
machinery (illegal use of dredges).

Within this context, all countries – except Bolivia

– also identified an increase in demand for tools
and means used by criminals to illegally extract
minerals such as heavy machinery as well as
chemical products, fuel and explosives and
the recruitment of foreigners to conduct illegal
mining activities.

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Examples of modus operandi used by organized The analysis of this data suggests that inspecting
criminal groups involved in illegal mining include: mining sites is a particularly complex matter
for law enforcement authorities. This implies
• False declarations of the minerals’ origins. to verify the validity of the permit; confirm the
Minerals are declared as coming from exact areas of mining activities as well as the
authorized mining concessions - including quantity of the minerals extracted; control the
mines under a formalization process or paperwork of the miners and their immigration
exhausted but legal mines. The earlier in the status; and check the legality of the machinery,
supply chain the illegal minerals are laundered, chemical products, fuel and explosive in use.
the more difficult it is for law enforcement to Special attention needs also to be dedicated to
differentiate legally from illegally extracted document fraud.
minerals;
• The use of front companies to facilitate the Impacts of COVID-19 on illegal mining
extraction and transport of illegal minerals activities
as well as to buy mercury. This encompasses Except Bolivia, all countries have identified an
hotels and dance clubs that have a direct increase in demand for gold over the past two
access to a mining site where miners illegally years triggering an increase in prices. INTERPOL
extract the minerals and transport them foresees that it is likely that this demand
by night to processing plants to avoid law continues to increase given the economic crisis
enforcement controls as well as cleaning still generated by the COVID-19 pandemic. This,
companies; combined with other economic impacts of the
pandemic – such as surging unemployment
• The burying of machineries in the ground
as well as reduced enforcement and unstable
to avoid law enforcement detection; and
gasoline costs – , makes the increase of gold
• The disguise of precious minerals to bypass
miners’ activities very likely to happen.
airport security checks, for instance by adding
steel or silver layers on top of it or by using
them in form of jewelry and declaring them as
their personal possessions.

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4.5 4.6
CRIME CONVERGENCE TECHNICAL CAPACITIES AND
CHALLENGES

Crime convergence occurs when an organized The current technical capacities to fight illegal
crime group operates across multiple illicit mining vary widely from one country to another.
business lines. Amongst them, it is relevant to mention: the
use of forensic laboratories to assist the
In the case of this analysis, all Project MNYA police in their illegal mining investigations; the
countries declared that criminal organized use of satellite data to monitor the progress
groups operating in the illegal mining sector are of deforestation and changes in forest cover;
also involved in human trafficking and human and the creation of a multi-agency section of
rights abuses – migrant smuggling, forced intelligence against environmental crimes
displacement, kidnapping, sexual exploitation, (including illegal mining) responsible to collect,
forced labor, child labor, extortion – as well as process and analyze information related to
financial crimes – corruption, money laundering environmental crimes.
and tax evasion. To minor extent, drug
trafficking and other environmental crimes Illegal mining hotspots are often located in
– illegal deforestation and waste trafficking -, remote locations, difficult to access. To be
and firearms and explosive trafficking were effective, illegal mining investigations likely
identified as converging with illegal mining require law enforcement officials – investigators,
activities. analysts and prosecutors – specifically trained
in this area. Some possible challenges
In agreement with this assessment, the Financial could therefore be the lack of logistical and
Action Taskforce has highlighted in two recent technological means – such as all-terrain
reports that, unlike many other environmental vehicles, drones, satellite imageries, cameras –
crimes, illegal mining criminals use this activity as well as law enforcement staff knowledgeable
to both generate proceeds and to launder about illegal mining or environmental crime.
proceeds from other criminal activities.12 The
characteristics of  gold in particular would
make it both attractive for, and vulnerable to,
exploitation by criminal organizations that need
to legitimize assets due to the cash-intensive
nature of the industry.

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CONCLUSION AND RECOMMENDATIONS

This public report compiles the main findings The goal of these recommendations matches
from the Strategic Report titled “Project MNYA the objective of Project MNYA: bringing
Strategic analysis report: an intelligence picture countries together in the fight against illegal
of illegal mining and associated crimes in Project mining and associated crimes. While this
beneficiary countries”. These findings are project focuses on Latin America and on specific
organized by topic: legal frameworks; national countries, INTERPOL’s mission and commitment
coordination and international cooperation; to this crime area – as well as environmental
hotspots and trafficking routes; criminal trends; crime in general – has a global scope. Within
crime convergence; and technical capacities & this context, it is relevant to mention that
challenges. generous contributions from external donors to
INTERPOL has ensured the sustainability of the
INTERPOL concluded the Strategic Report Environmental Security Programme for the past
titled “Project MNYA Strategic analysis decade. Any further contribution to our work to
report: an intelligence picture of illegal make the world a safer place will be carefully
mining and associated crimes in Project considered and appreciated.
beneficiary countries” providing a series of
recommendations to law enforcement agencies
of Project MNYA countries in order to disrupt
the transnational criminal networks operating
in the illegal mining sector. Amongst them,
key recommendations focused on the use of
INTERPOL’s policing capabilities; the creation of
national multi-agency illegal mining taskforces;
and the identification of points of contacts in the
national law enforcement agencies responsible
to enforce and investigate this crime area.

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References

1
INTERPOL, Rhipto & The Global Initiative Against Transnational Organized Crime, 2019: p.15

2
The Rise of Environmental Crime – A Growing Threat To Natural Resources Peace, Development And
Security, A UNEP-INTERPOL Rapid Response Assessment, published in 2016 at https://wedocs.unep.
org/handle/20.500.11822/7662.

3
Ibidem

4
Illegal Logging, Fishing and Wildlife Trade: The Costs and How to Combat It, World Bank, published in
2019 at https://thedocs.worldbank.org/en/doc/482771571323560234-0120022019/original/WBGReport-
1017Digital.pdf.

5
The Rise of Environmental Crime – A Growing Threat To Natural Resources Peace, Development And
Security, A UNEP-INTERPOL Rapid Response Assessment, published in 2016 at https://wedocs.unep.
org/handle/20.500.11822/7662.

6
The Strategic Report is available upon request and internal assessment, addressing
environmentalcrime@interpol.int

7
The Global Initiative Against Transnational Organized Crime, Organized Crime and Illegally Mined
Gold in Latin America, p. 8, published in April 2016, published at https://globalinitiative.net/wp-content/
uploads/2016/03/Organized-Crime-and-Illegally-Mined-Gold-in-Latin-America.pdf.

8
Although no data was available from Brazilian law enforcement at the time of writing the Strategic
report, it is expected that this information gap will be filled in the near future.

9
Comisión Especial para el Control de la Minería Ilegal, Grupo EME and Comisión Multisectorial de
naturaleza permanente

10
Sociedad Peruana de Derecho Ambiental, La realidad de la minería ilegal en países amazónicos, pp.
24-25, published in June 2014, published at https://spda.org.pe/wpfb-file/la-realidad-de-la-mineraa-ile-
gal-en-paases-amaza%C2%B3nicos-spda-pdf/.

11
Crime hotspots are areas that have a high crime intensity.

Modus Operandi, Legal Information Institute, 2022, published at https://www.law.cornell.edu/wex/

12

modus_operandi.

13
The price of an ounce of gold rose to practically USD 2,100 in mid 2020 compared to USD 1,500 be-
fore the pandemic, early 2020. See Gold price, Ten year gold price in USD/oz, published at
https://goldprice.org/fr/gold-price-history.html.

14
INTERPOL’s analytical report on the Impact of COVID-19 on Operation Arcadia, Further illegal
deforestation due to increased rates of illegal mining and agricultural expansion in forested areas, 9
February 2021 (for law enforcement only).

15
FATF, Money Laundering from Environmental Crimes, published in 2021 at
https://www.fatf-gafi.org/publications/methodsandtrends/documents/money-laundering-
environmental-crime.html.

16
The Strategic Report is available upon request and internal assessment, addressing
environmentalcrime@interpol.int

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WWW.INTERPOL.INT INTERPOL_HQ @INTERPOL_HQ INTERPOLHQ INTERPOLHQ
ENS@INTERPOL_EC