Intl. Notebook Jan 10 2016
BUNGLE IN THE JUNGLE
Drug lord’s ego leads to capture, but bigger issues remain.


Last night Rolling Stone, one of the U.S.’s top investigative magazines, published a pulp-worthy article on its website about Mexican drug lord Joaquín Guzmán Loera, aka El Chapo. The magazine sent actor Sean Penn to the jungles of Mexico to interview Guzmán, a meeting that came about at the drug kingpin’s behest because he was interested in making a movie about his life. Long story short—Guzmán ended up being captured Friday in Sinaloa, Mexico after a gun battle with police, and his ongoing contact with Hollywood figures was the primary factor that led authorities to him.

Guzmán has been imprisoned before, so nothing new there. He escaped both times. He may well escape again. His most recent breakout is detailed in the Rolling Stone article—he disappeared through a hole in his shower (see below), dropped into a mile-long tunnel, and rode away on a specially designed motorcycle on rails that had been modified to runin a low-oxygen environment. All this took at least $1 million to achieve. According to Penn and Rolling Stone, Mexican engineers were flown to Germany for specialized training in tunnel building.

The article is worth a read. Penn describes being waved through police checkpoints to Guzmán’s jungle lair, and when that fact is measured against his capture, it suggests a factionalized Mexican state, with the president and certain other top authorities conducting an anti-drug crusade even as military figures, federal officers, and local cops often work for the drug lords. But Mexico is not uniquely corrupt, and that is something that must be emphasized. The wealthy north is also in the drug trade.

Consider—the British bank HSBC knowingly laundered hundreds of millions of dollars of Guzmán’s drug profits. Yes, they knew about it. The bank was caught, and its heads talked about a “failure of standards,” but all the bankers skated from justice for this terrible crime thanks to their connections in the political world. Is this any different from Joaquín Guzmán motorcycling to freedom through a tunnel? We don’t think so. This is something that global authorities desperately want to keep the general public from understanding—the drug trade is an integral part of capitalism, not some dark subset of it.

Not convinced? The U.S. bank Wachovia laundered drug cartel money and deliberately failed to apply anti-laundering measures to $378.4 billion that passed through the institution. That amount of money is equal to one-third of Mexico's gross national product. The result? Fines of about $160 million—less than 2% of the yearly profits—and no jail for anyone in the executive suite. The list goes on. Liberty Reserve, Bank of America, Western Union, and J.P. Morgan all have drug ties. There are doubtless more we don't yet know about.

Articles in The Wall Street Journal and other establishment papers try to paint the banks as victims. Yet in the end, there are always executives who know exactly what’s happening—just like the cops that waved Sean Penn through those Mexican checkpoints. Besides, since when do victims get to charge millions in fees for their crimes? In the same way U.S. slavery was enabled by banks in New York City and Boston, which even accepted slaves as collateral, the southern drug trade cannot exist without the money laundering operations of the northern banks. And the amounts of money involved don’t just influence markets—it shapes them. Roberto Saviano, possibly the world’s foremost expert on the global drug trade, and author of the blockbuster exposé Zero Zero Zero, says, “It’s not the world of cocaine that must orbit around the markets, but the markets that must rotate around cocaine.” 

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History Rewind
The headlines that mattered yesteryear.
July 22
1992—Cocaine Baron Escapes Prison
Pablo Emilio Escobar Gaviria, imprisoned leader of the Medellin drug cartel, escapes from a posh Colombian jail known as La Catedral after he learns authorities intend to move him to a real prison. His taste of freedom doesn't last—he's killed in a shootout a year-and-a-half later.
July 21
1925—Jury Decides the Teaching of Evolution Is a Crime
In the famous Scopes Monkey Trial, American schoolteacher John Scopes is found guilty of violating the Butler Act, which forbids the teaching of evolution in schools. The sensational trial pits two great legal minds—William Jennings Bryan and Clarence Darrow—against each other. Ultimately, Scopes and Darrow are destined to lose because the case rests on whether Scopes had violated the Act, not whether evolution is fact.
1969—First Humans Reach the Moon
Neil Armstrong and Eugene 'Buzz' Aldrin, Jr. become the first humans to walk on the moon. The third member of the mission, command module Pilot Michael Collins, remains in orbit in Apollo 11.
1972—Chaos in the Big Apple
In New York City, within a span of twenty-four hours, fifty-seven murders are committed.
July 20
1944—Hitler Survives Third Assassination Attempt
Adolf Hitler escapes death after a bomb explodes at his headquarters in Rastenberg, East Prussia. A senior officer, Colonel Claus Schenk von Stauffenberg, is blamed for planting the device at a meeting between Hitler and other senior staff members. Hitler sustains minor burns and a concussion but manages to keep an appointment later in the day with Italian leader Benito Mussolini.
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