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Archive for Friday, January 11, 2002

Dozens arrested across country in methamphetamine ring bust

January 11, 2002

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— Federal authorities charged more than 100 people in a nationwide crackdown announced Thursday on a ring that supplied a drug used to manufacture methamphetamine on the West Coast.

The ring, based in Chicago, operated between Canada and California, authorities said.

Federal and local police officials remove items from one of two
suburban Chicago used-car dealerships raided in a nationwide drug
bust. Police from federal, state, local and Canadian agencies on
Thursday arrested dozens of the roughly 100 people sought in an
alleged Canada-to-California drug-smuggling ring.

Federal and local police officials remove items from one of two suburban Chicago used-car dealerships raided in a nationwide drug bust. Police from federal, state, local and Canadian agencies on Thursday arrested dozens of the roughly 100 people sought in an alleged Canada-to-California drug-smuggling ring.

At least 67 people were arrested and warrants for 54 others were issued.

Twin brothers from Jordan, Khaldon Esawi and Khaled Obeid, were charged with laundering the proceeds through two used-car dealerships they own in suburban Chicago. Esawi's attorney, Nathan Diamond-Falk, said he had no comment.

Eighteen people in all were arrested in the Chicago area 14 of them of Middle Eastern descent.

But U.S. Atty. Peter Fitzgerald said the suspects nationwide are of various nationalities and that he does not know how the laundered money was used. "This is not a terrorism case," he said.

However, authorities in Washington said some of the money from the smuggling operation has been traced to Jordan and other Middle Eastern countries, and they are investigating. So far, they said, agents have found no terrorist connections.

The shipments entered the United States in Detroit from Windsor, Canada. From there, the drugs were brought to Chicago, where they were repackaged and sent by truck to California.

Authorities seized 9.6 million tablets of pseudoephedrine in October, and 11.5 million tablets in December as they were delivered to methamphetamine labs in California. The December shipment was worth an estimated $4 million.

Pseudoephedrine is a legal but controlled component of cold and flu medicines such as Sudafed. Its pure form can be processed into "speed" or "crank," illegal substances that are snorted, injected or smoked.

The ingredient can be purchased in Canada for about $200 a case. It then can be sold in the United States for about $2,200 per case, U.S. drug officials said.

In addition to Chicago, arrests were made in Detroit; Cleveland; Houston; Phoenix; Las Vegas; Los Angeles; San Diego; Riverside, Calif; Fresno, Calif.; and Carlsbad, Calif.

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