Feral Jundi

Thursday, June 16, 2011

Letter Of Marque: Understanding Offense Industry– Law Enforcement And Asset Forfeiture

This is cool. I found this older article about how asset forfeiture is benefiting the law enforcement offices of the southern states of the US.  These are the states that border Mexico and have the highest probability of drug money smuggling.  But I also look at this practice from an Offense Industry point of view, and also from a privateering/Letter of Marque and Reprisal point of view.

Actually, if you look at what these officers are really involved with, this is just another form of legalized piracy. lol  They are arresting a criminal, and taking a prize in the form of confiscated drug money or hard assets like planes and automobiles.

And get this, the states are giving these law enforcement agencies the license or legal authority to do so. Most importantly, the federal government is supporting the act nationally. In the article below this, I posted an excerpt from the US Marshal’s page about their Asset Forfeiture Program. It is a program where local police departments can help the Department of Justice and their various ‘crack downs’ on criminals, and if there are any asset seizures during those operations, that those departments get a cut of the loot or prize.

Matter of fact, the DoJ acts like an admiralty court here, and determines the amount that the departments get and if the seizure was ‘legal’.  And then when that amount is settled upon, they use an electronic funds transfer program called ‘e-share’ to give the various departments their cut.  Pretty slick, and this is an excellent model on how modern day privateering could work.  E-share is a technological solution to getting the ‘sailors (police) their cut of the loot’, as opposed to them selling their ‘prize tickets’ on the dock.

Now I also wanted to point out that the very thing that gives concern to NPR with their study of law enforcement asset forfeiture. Here is a quote:

What are some of the rules of asset forfeiture? Federal and state laws, in general, say that a law enforcement agency that seizes assets may not “supplant” its own budget with confiscated funds, nor should “the prospect of receiving forfeited funds … influence relative priorities of law enforcement agencies.
NPR has found examples, mainly in the South, in which both of these things have happened.

Or basically, the fear is that law enforcement agencies will care more about going after drug money, and less about the ‘other’ duties of law enforcement. Perhaps this is why asset seizure should be a private industry game, just so police departments are not entirely focused on asset forfeiture?

The other fear with police asset forfeiture is budgetary funding for those departments. If a police department gets less tax payer funding because they are extremely successful at asset forfeiture, then now that department becomes dependent on asset forfeiture as a funding mechanism.  State and city budget offices will become less inclined to fund a wealthy department, and a police department’s success in asset forfeiture could easily be their downfall. It could potentially turn a police department into more of a privateer company, and the other less profitable crime fighting activities become a secondary priority next to asset seizure.

So that is why I think asset seizure or privateering should be left in the hands of licensed companies who do not have the extra duties of basic law enforcement. And if local police departments were somehow brought into the venture of privateering as either monitors or issuing licenses, or even allowed to moonlight in privateer companies, then that is how a local department could benefit. Or some kind of tax must be paid for every asset taken in order to make this a mutually beneficial industry. You want the local cops cheering on privateer companies, not bashing them–so give them a cut, or allow them to work in those companies.

So with modern day privateering for taking drug cartel assets, the local cop shop should benefit, the state should benefit, and the federal government should benefit–all by getting a percentage of the prize.  But the privateer company should benefit the most, just because they are the ones that put in the hard work for finding and seizing those assets. I think the city/state/feds should split ten percent and enjoy the reduction in crime, and the companies should get ninety percent of whatever amount.  Ninety percent fits in with the percentages of yesteryear. Anything less, and the risk of taking on these criminal elements becomes too great.

The rule with offense industry is the reward must outweigh the risks for it to work and flourish. With law enforcement, they are totally enjoying the rewards of their work, and that is great. But the risk of them being too focused on this kind of activity, and not enough on the other aspects of law enforcement in their communities is equally as great. Likewise, a department is not able in some cases to totally focus all of their efforts on asset seizure, because they do have other duties. Perhaps private industry is the better choice for this kind of activity? The overall point is this kind of offense industry is an excellent study for modern day privateering, and it is all food for thought. –Matt

 

Courtesy of the Kingsville Police Department Investigator Mike Tamez of the Kingsville Police Department shows off the $1 million he discovered in a hidden compartment of a Land Rover in January 2008.

Seized Drug Assets Pad Police Budgets
by John Burnett
June 16, 2008
Every year, about $12 billion in drug profits returns to Mexico from the world’s largest narcotics market — the United States. As a tactic in the war on drugs, law enforcement pursues that drug money and is then allowed to keep a portion as an incentive to fight crime.
As a result, the amount of drug dollars flowing into local police budgets is staggering. Justice Department figures show that in the past four years alone, the amount of assets seized by local law enforcement agencies across the nation enrolled in the federal program—the vast majority of it cash—has tripled, from $567 million to $1.6 billion. And that doesn’t include tens of millions more the agencies got from state asset forfeiture programs.
In Texas, with its smuggling corridors to Mexico, public safety agencies seized more than $125 million last year.
While drug-related asset forfeitures have expanded police budgets, critics say the flow of money distorts law enforcement — that some cops have become more interested in seizing money than drugs, more interested in working southbound than northbound lanes.

(more…)

Tuesday, April 12, 2011

Building Snowmobiles: For Total War And Netwar, You Need Both A ‘Defense Industry’ And An ‘Offense Industry’

Total war is a war in which a belligerent engages in the complete mobilization of all their available resources and population.
In the mid-19th Century, “total war” was identified by scholars as a separate class of warfare. In a total war, there is less differentiation between combatants and civilians than in other conflicts, and sometimes no such differentiation at all, as nearly every human resource, civilians and soldiers alike, can be considered to be part of the belligerent effort. -General Ludendorff, Clausewitz, General Lemay

Netwar is a term developed by RAND researchers John Arquilla and David Ronfeldt to describe an emergent form of low intensity conflict, crime, and activism waged by social networked actors. Typical netwar actors might include transnational terrorists, criminal organizations, activist groups, and social movements that employ decentralized, flexible network structures.-wikipedia

Very cool and this was by far the most interesting article I have read about netwar or networks in this current war.  Bravo to General McChrystal for writing this and sharing. It is food for thought, and I highly recommend reading this thing.

Probably what really jumped out at me after reading this, is that mimicry strategy is what McChrystal is talking about here.  Funny how this pattern continues to repeat itself in war fighting.  It also really complements what John Arquilla and David Ronfeldt talked about with Netwar. But most importantly, McChrystal and the authors of this concept both agreed that the best way to defeat a network, is with a network.

Now this is where I want to add my little angle to the whole concept.  I personally think that the US military is not nimble enough or organized properly to act like a network. Even these leaders and strategists mentioned have agreed on that point. Sure, maybe some of the special forces units within the military might be able to accomplish this, but will there be enough SF teams to keep up with all the cartels, pirates, terrorists, and cyber-hackers?

What about the police, both federal and state?  With transnational terrorists, criminal organizations etc., are there enough law enforcement to keep up with the deluge? In both the military and police examples, I do not think that they can match the size, spread and scope of today’s miscreants.  An example is the drug war against the cartels. It is overwhelming the Mexican government, and the US is not doing that great of a job either, despite all the efforts of law enforcement.

In the war against these folks like Al Qaeda, pirates or the cartels, I have doubts that there are enough military, police or intelligence assets to keep up with the formation of all of these networks. And the simple fact that Osama Bin Laden is still free to move around in this big world of ours, indicates to me a problem. When trying to locate a needle in the haystack, the more folks you have participating in that process, the higher the chance of finding the thing or person you are looking for. Many hands make light work, so to speak.

So what is missing is scalability of the current netwar that governments are waging against these viruses of society. What I propose is that what is missing is an equally decentralized and flexible network that can compete with the growth of these non-state actors and their enterprises.  What I think is missing in this war, is a licensed and regulated market that profits from our enemy’s destruction. One created to promote netwar (or whatever works). That last part is crucial.

I have talked about the concept of the Letter of Marque and Reprisal in the past, and of how important privateers were to early America.  I have also highlighted what makes the drug cartels or modern day pirate industries so strong–and that is the drive of monetary gain or profit.  With terrorists, their profit is a different currency that is spiritually based. A suicide bomber profits from their act, because they are told and belive that they have secured a better life in heaven (or whatever place they go). Everyone does what they do, because of personal gain.  It could be monetary gain, spiritual gain, political gain, etc.  The point being is that this gain or profit, is what fuels their enterprise.  In order to defeat that enterprise, you need an enterprise that is equal in size and scope and vitality.

I believe that a purely government venture is a half measure. The full measure of war against these non-state actors, is to include private industry in the process of destroying these folks. Today’s private industry is not used in this way, and the resistance against such a thing indicates the ego and naivety of today’s war planners and law enforcement leaders. No one likes to admit that they are overwhelmed and they certainly do not want to compete with private industry.

It’s kind of like how the Postal Service viewed companies like Fedex or UPS in the beginning. But of course the government postal system and private industry are still in existence today, and they co-exist just fine. If anything, they learn from each other and the competition drives innovation in each group. If you go into a Post Office today, they look and feel like a Fedex or UPS store, and their prices and even customer service are comparable.

Now to apply this example to the war effort, imagine a company like Dyncorp capturing or killing Osama Bin Laden? I mean after Gary Faulkner did his thing in Pakistan, all types of feathers were ruffled, and everyone in government, military and the media were all balking at the idea of an individual without any government guidance going after OBL? Talk about ego…. I think most Americans, and most of the world wouldn’t care who nabbed this guy or how it was done–just that he was captured or killed–end of story.

And this is the point I am trying to convey.  I think a private company or individual could be quite effective in this war, if given the license and legal authority to do so by their government. But what is most important to this relationship between private industry and government, is that once given the approval, a company can organize, hire the talented people, find the most suitable ideas for the task, purchase the best equipment and weapons, and create a winning strategy to gain profit.  That is a very powerful concept.  Those companies that are not innovative or are hard working, will not succeed.  But those companies that get it, and have the flexibility needed to do what they got to do, will be rewarded by profit, and that profit will drive that engine of innovation for the fight.

Not only that, but once successful companies come onto the scene–whether small or large, then others will copy what they are doing.  Pure mimicry strategy, but at the business/war fighting level.  You see the same pattern with today’s pirates, cartels, and terrorists. They too use mimicry strategy, and copy the models of operation that give them the most profit and reward.  Money or spiritual reward is what fuels the engines of these industries, and as a result, they are unstoppable. Piracy and the drug trade are prime examples, and following the rules of mimicry strategy, it would take an industry to stop these industries. Or at least keep up, because in the end, not only do you want to copy what they are doing, but add one or two things to the model of operation that gives you the edge.

Now for those that are reading this and saying, ‘what happens if these privateer companies, turn into pirates’? Funny, that is exactly the argument that the US government used after they wanted to get rid of the privateer concept and develop a fully functional navy.  The war planners used all sorts of excuses to get rid of the competition of private industry.

Of course there were privateers back then that went on to be pirates, but to me, this very small percentage of possible outcomes of this industry, are far outweighed by the positives of using private industry in this way.  I would also suggest that out of the thousands of security contractors that have cycled in and out of today’s security contracting industry, that a few might have gone on to commit crimes back home and abroad–but that is the 1 percent of 1 percent. To me, I have yet to see this ‘privateer to pirate’ phenomenon that folks continue to use as an argument against private security.

Most have served honorably, and most do not sell their services to criminal organizations. Of course there are few, and of course there are also corrupt cops or unethical and immoral military folks that do crimes as well.  Criminal acts and bad behavior are things that happen in all organizations.  And even during the Revolutionary War, most privateers went back home to be fishermen or work in shipping. Piracy was a crime that attracted criminals, pure and simple, and to classify all privateers as criminal because of the acts of a few, is dumb.

So going back to the Letter of Marque and Reprisal, which happens to be a law that the US congress has the right to use, would be just one way of licensing and regulating this private industry designed to destroy our enemies. If that is too unsettling to the powers that be, then modify the ITAR and issue license that way. I would also require companies to be bonded, and I would reopen Prize Courts so that asset seizures could be another way that companies could profit from the destruction of our enemies.

Another argument that I continue to hear against the concept, is that the Hague forbids privateering and the issuing of Letters of Marque and Reprisal.  In my view, it is not the Hague that stops us from doing this–it is a lack of political will and courage to toss out old and outdated treaties and do what is most important.  That is to win the war that is of national interest, and of the interest of the people. If winning wars is the priority, and the current war has a virus in the form of networks, then in order to compete with such networks will require an equal amount of networks–plus whatever innovation/edge.

Finally, there is another point I wanted to make, and that is today’s ‘Defense Industry’ profits off of creating weapons and equipment for the war effort, or providing defensive or logistics services in the war zones. In terms of war fighting, all companies benefit from the war continuing, and there is not a market mechanism in place to put a stop to that process. Winning a war stops that process though.

To me, what makes better sense is to create an ‘Offense Industry’, which is purely focused on destroying the enemy as quickly and as efficiently as possible, and essentially working itself out of a job. I compare it to the commercial hunting of the Buffalo in the wild west–when there was no more buffalo left (or enemy), the hunters worked themselves out of a job.  What fuels a ‘Defense Industry’ is war, and what fuels an ‘Offense Industry’ is the destruction of an enemy.  Or at least that is the goal when you create, regulate and license an ‘Offense Industry’.

Also, it should be the goal of politicians and war planners to win the war as quickly as possible, once a war has been deemed necessary to fight.  As time drags on, the enemy will learn how to compete against you, because they too have learning organizations and continuous improvement as part of their plan.  To me, if winning a war is a priority, then it should also be a priority to send everything you got at the problem to finish it as soon as possible.

The current war is coming up on the ten year point, and I have yet to see Osama Bin Laden’s head on a pike. Nor have I seen any ‘Closing Business’ signs in front of cartel businesses in Latin America. Nor have I seen today’s pirates whimpering back to their countries because piracy sucks. And we are definitely not seeing today’s lone wolf hackers or state sponsored cyber criminals receiving any threats that would give them pause. Total war (and netwar) require the strategic use of all available manpower of a nation, and/or world effort, and that requires both a vibrant Defense Industry and a well regulated and licensed Offense Industry among the fielded armies in this endeavor. Or we can continue to depend upon the few and the overwhelmed to win these wars. –Matt


It Takes a Network
The new frontline of modern warfare.
March/April 2011
BY STANLEY A. MCCHRYSTAL
From the outset of my command in Afghanistan, two or three times each week, accompanied by a few aides and often my Afghan counterparts, I would leave the International Security Assistance Force headquarters in Kabul and travel across Afghanistan — from critical cities like Kandahar to the most remote outposts in violent border regions. Ideally, we left early, traveling light and small, normally using a combination of helicopters and fixed-wing aircraft, to meet with Afghans and their leaders and to connect with our troops on the ground: Brits and Marines rolling back the enemy in Helmand, Afghan National Army troops training in Mazar-e-Sharif, French Foreign Legionnaires patrolling in Kapisa. (more…)

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