Drugs and Crime City Profile - U.S. Department of Justice and Crime City Profile—Denver 2 Diverted pharmaceuticals generally are obtained through diversion techniques including prescription

Drugs and CrimeCity Profile

Product No. 2004-L0570-001 JANUARY 2004

U. S. D E P A R T M E N T O F J U S T I C E

Denver,Colorado

OverviewCocaine, heroin, and methamphetamine pose the

most significant drug threats to Denver. Marijuanaalso poses a serious threat. Other dangerous drugssuch as MDMA and diverted pharmaceuticals alsoare available and abused.

Most of the cocaine and heroin available inDenver is transported from Mexico or from trans-shipment points in Arizona, California, New Mexico,and Texas via private and commercial vehicles.These drugs also are transported into the city bycouriers aboard commercial aircraft and buses andvia package delivery services. Much of the metham-phetamine and marijuana available in Denver istransported directly from Mexico or from sourceareas in California and southwestern states. Somemarijuana available in Denver also is transportedfrom production areas in Canada. Methamphetamineand marijuana also are produced in Colorado.MDMA typically is transported into Denver fromdomestic distribution centers, primarily New York,Las Vegas, and Los Angeles by couriers aboardcommercial aircraft and by package delivery services.

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This document may contain dated information. It has been made available to provide access to historical materials.

Drugs and Crime City Profile—Denver

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Diverted pharmaceuticals generally are obtainedthrough diversion techniques including prescriptionfraud, prescription forgery, and “doctor shopping.”

Drug transporters primarily use Interstates 25,70, and 76 and U.S. Highways 36 and 85 to trans-port drugs into and through Denver. Interstates 25and 70 intersect in Denver and are frequentlytraveled by Mexican drug trafficking organizations(DTOs). These two interstates provide access tomany other U.S. states: I-25 extends from near theU.S.–Mexico border to Montana, and I-70 extendsfrom Utah to Maryland. Interstate 76 in easternColorado connects I-70 with I-80 in Nebraskaand is used by individuals transporting drugseastward from Denver. US 85, which connectsDenver and Greeley with Cheyenne, Wyoming,and US 36 between Denver and Boulder fre-quently are used by criminal groups to transportillicit drugs between drug markets. Law enforce-ment officials in Colorado commonly seizedrugs on interstate highways, often as part ofOperation Pipeline initiatives.

Mexican DTOs and criminal groups are deeplyentrenched in Denver’s illicit drug trade. Forexample, Mexican DTOs and criminal groupscontrol the transportation and wholesale distribu-tion of powdered cocaine in Denver. Mexicancriminal groups and local independent dealers arethe primary retail distributors of powdered cocaine,and street gangs such as Sureños 13, GangsterDisciples, Bloods, and Crips and local independentdealers distribute crack cocaine at the retail level.Mexican criminal groups control the transportationand wholesale distribution of most methamphet-amine in the Denver area; these groups typicallysell cocaine in addition to methamphetamine.Mexican criminal groups and Mexican and Cauca-sian local independent dealers distribute most ofthe methamphetamine available at the retail levelin Denver.

Mexican DTOs control the transportation andwholesale distribution of heroin in Denver andsupply heroin to Mexican criminal groups andlocal independent dealers for retail sale. Hispanic

gangs such as Sureños 13 also distribute heroin atthe retail level. Mexican DTOs and criminalgroups also control the transportation and whole-sale distribution of Mexico-produced marijuana inDenver. These DTOs and criminal groups supplyMexico-produced marijuana to Mexican andCaucasian criminal groups, street gangs, and localindependent dealers for retail distribution.

Sureños 13Sureños 13 is an affiliation of Hispanic street gangsinfluenced by the Mexican Mafia prison gang.Sureños gang members’ main source of income isthe retail-level distribution of cocaine, heroin,marijuana, and methamphetamine both within thejail and prison systems and in the community atlarge, as well as through extortion of drug distribu-tors on the streets. Some members have directlinks to Mexican DTOs and broker deals for theMexican Mafia as well as their own gang. Sureñosgangs also are involved in various other criminalactivities such as assault, carjacking, home inva-sion, robbery, and homicide.

Caucasian criminal groups dominate the trans-portation and distribution of Canada-producedmarijuana in Denver. Caucasian criminal groupsalso are the primary transporters and wholesaledistributors of MDMA, supplying local indepen-dent dealers with the drug for retail distribution.Asian street gangs, particularly Asian Pride andViet Pride, increasingly distribute MDMA at thewholesale level. Caucasian local independentdealers are the primary distributors of other dan-gerous drugs including GHB and diverted pharma-ceuticals. The Denver Police Department reportsthat illicit drugs are distributed from more than100 open-air drug markets within the city’s sixpolice districts.

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Drug Abuse IndicatorsIllicit drugs are frequently abused in Denver.

According to the Colorado Department of HumanServices Alcohol and Drug Abuse Division (ADAD),the total number of illicit drug-related admissions topublicly funded treatment facilities in Denver in-creased 4 percent from 1,871 in 2001 to 1,949 in2002. However, Drug Abuse Warning Network(DAWN) data indicate that the total number of drug-related emergency department (ED) mentions in theDenver metropolitan area decreased 7 percent from9,412 in 2001 to 8,745 in 2002 and are the thirdlowest among all DAWN areas nationwide. Inaddition, the rate of drug-related ED mentions per100,000 population in the Denver metropolitan area(444) was lower than the rate nationwide (471) in2002. Mortality data from DAWN indicate that therewere 310 drug-related deaths in the Denver metro-politan area (Adams, Arapahoe, Denver, Douglas,and Jefferson Counties) in 2002, of which 226 deathswere drug-induced (overdoses). During that period147 deaths occurred in Denver County alone; 101were drug-induced. Arrestee Drug Abuse Monitoring

(ADAM) program data indicate that 62 percent ofadult male arrestees in Denver tested positive forabusing at least one illicit substance in 2001.

CocaineThe distribution and abuse of cocaine, both

powdered and crack, and associated violence pose theprincipal drug threat to Denver. Powdered cocaine isabused throughout the greater metropolitan area, andcrack cocaine is abused primarily in northeasternDenver and in Aurora, just outside Denver.

Treatment data indicate that cocaine, particularlycrack, commonly is abused in Denver. According toADAD, the number of cocaine-related admissionsto publicly funded treatment facilities in Denverincreased 7 percent from 501 in 2001 to 538 in2002. In more than 69 percent of these admissions,smoking (crack cocaine) was the primary method ofadministration in 2002. DAWN data indicate thatcocaine ED mentions in the Denver metropolitan areaincreased 20 percent from 1,343 in 2001 to 1,613 in2002; in 2002 there were more ED mentions related

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to cocaine than any other illicit drug. The rate ofcocaine ED mentions per 100,000 population in theDenver metropolitan area in 2002 (82) was higherthan the rate nationwide (78). Mortality data fromDAWN indicate that there were 126 cocaine-relateddeaths in the Denver metropolitan area in 2001. Inthat year cocaine was implicated in more single-drugdeaths (41) in the Denver metropolitan area than anyother illicit drug. ADAM program data indicate that34 percent of adult male arrestees in Denver testedpositive for cocaine in 2001.

Cocaine is readily available in Denver. Accordingto U.S. Sentencing Commission (USSC) data, infiscal year (FY) 2001 powdered and crack cocaine-related sentences accounted for 51 percent of thefederal drug sentences in Colorado; this percentagewas higher than the national percentage (43%). TheDrug Enforcement Administration (DEA) DenverDivision and the Denver Police Department reportedthat powdered cocaine in Denver sold for $16,000 to$22,000 per kilogram, $500 to $1,000 per ounce, and$50 to $100 per gram in the fourth quarter ofFY2003, while crack cocaine sold for $650 to $1,000per ounce, $50 to $100 per gram, and $10 to $40 perrock. During the same period, the Denver PoliceDepartment reported that the purity of powderedcocaine ranged from 20 to 30 percent for gramquantities and 60 to 86 percent for multiounce,pound, and kilogram quantities. The purity of crackcocaine ranged from 35 to 50 percent.

Cocaine is the drug most often associated withviolent crime in Denver. Law enforcement officialsin Denver report that the number of gang-relatedviolent crimes such as assault, carjacking, drive-byshooting, and homicide has increased as streetgangs who distribute cocaine protect their drugoperations and attempt to collect drug debts. Co-caine abusers also are prone to violence, but to alesser extent than methamphetamine abusers.

Denver serves as a regional transportation hubfor wholesale quantities of powdered cocaine.Mexican DTOs and criminal groups from Mexicoas well as from California and southwestern statestransport most of the cocaine available in Denver

in private and commercial vehicles. Powderedcocaine routinely is transported from Denver tomarkets in Colorado, Kansas, Montana, Nebraska,Nevada, North Dakota, South Dakota, Wyoming,and other states in private vehicles on interstate,U.S., and state highways. Most of the crack co-caine available in the area is converted locallyfrom powdered cocaine, although some crackcocaine is transported into Denver from Chicagoand Los Angeles.

Mexican DTOs and criminal groups are theprimary wholesale distributors of powdered cocaineand Mexican criminal groups and local independentdealers dominate the retail distribution of the drugin Denver. Street gangs such as Sureños 13, GallantKnights Insane, North Side Mafia, Gangster Dis-ciples, Bloods, and Crips and local independentdealers are the principal retail distributors of crackcocaine in Denver. According to the Denver PoliceDepartment, crack cocaine is distributed from morethan 60 open-air drug markets in all six districts,while powdered cocaine is distributed from 50open-air drug markets in Districts 1, 2, 4, 5, and 6.

HeroinHeroin also poses a significant drug threat to

Denver, particularly to the city’s suburbs where theavailability and abuse of the drug are high. Accord-ing to ADAD, in Denver there were more admis-sions to publicly funded treatment facilities forheroin abuse than for abuse of any other illicit drugfrom 1999 to 2001. However, heroin became thesecond most abused drug after cocaine when thenumber of heroin-related admissions in Denverdecreased 7 percent from 561 in 2001 to 520 in2002. ADAD data indicate that 83 percent of allindividuals admitted for heroin-related treatmentidentified injection and 12 percent identifiedsmoking as the primary method of administrationduring the first half of 2002. DAWN data indicatethat heroin ED mentions in the Denver metropolitanarea increased 11 percent from 769 in 2001 to 855in 2002. In addition, the rate of heroin ED mentionsper 100,000 population in the Denver metropolitanarea (43) was higher than the rate nationwide (36) in2002. DAWN mortality data indicate that there were

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77 heroin/morphine-related deaths in the Denvermetropolitan area in 2001. ADAM program dataindicate that 5 percent of adult male arrestees inDenver tested positive for abusing opiates in 2001.

Mexican black tar heroin and, to a lesser extent,Mexican brown powdered heroin increasingly areavailable in Denver. South American heroin andSoutheast Asian heroin are available to a verylimited extent. According to USSC data, inFY2001 heroin-related sentences accounted for4 percent of the federal drug sentences in Colorado;this percentage was lower than the national per-centage (7%). The DEA Denver Division and theDenver Police Department reported that heroinsold for $1,100 to $1,700 per ounce, $75 to $300per gram, and $40 per one-quarter gram in thefourth quarter of FY2003.

Heroin generally is not associated with violence inDenver; however, some distributors, particularlystreet gangs, may commit violent crimes to protecttheir operations. According to Denver law enforce-ment officials, street gangs such as Sureños 13distribute heroin and commit violent crimes such asassault, auto theft, drive-by shooting, and homicide,some of which are related to their heroin distributionactivities. In addition, heroin abusers sometimescommit property crimes to acquire funds to purchasethe drug.

Denver serves as a regional transportation hub forheroin. Mexican DTOs are the primary transportersof heroin into Denver. Most of the heroin available inDenver is transported into the city in private vehiclesor by couriers aboard commercial aircraft, buses, andtrains traveling from Mexico and from major domes-tic distribution centers such as Los Angeles and portsof entry (POEs) including El Paso, Phoenix, and SanDiego. Package delivery services also are used totransport heroin into the city. Mexican criminalgroups transport the drug from Denver to markets inColorado, Montana, Utah, Wyoming, and othernearby states in private vehicles on interstate, U.S.,and state highways.

Largest Heroin SeizuresFrom November 14 to 17, 2003, DEA and theDenver Police Department recorded the largestheroin seizures in Colorado history. Law enforce-ment officials seized a total of more than 11 poundsof Mexican black tar and brown powdered heroinand arrested two male Mexican nationals in twoseparate investigations. According to DEA, thedefendants sold the drug to the undercover officersin ounce and multiounce quantities with a purity thatranged from 60 to 70 percent. Law enforcementofficials reported that undercover officers purchasedmore than 3 pounds of the drug from the defendantsduring the course of the investigations.

Source: Drug Enforcement Administration.

Mexican DTOs are the primary wholesaledistributors of Mexican black tar and Mexicanbrown powdered heroin in Denver. Mexican crimi-nal groups and local independent dealers are theprimary retail distributors of Mexican black tar andbrown powdered heroin in the city. Hispanic gangssuch as Sureños 13 also distribute heroin at theretail level. Teenagers and young adults frequentlydrive to Denver from the surrounding suburbs topurchase heroin for their own use and to distributeto friends and associates. According to the DenverPolice Department, heroin is distributed from 48open-air drug markets in Districts 1, 2, 4, 5, and 6.

MethamphetamineMethamphetamine poses a threat to Denver.

The drug is produced and distributed in Denverand its surrounding suburbs. Methamphetamine isavailable and abused in the metropolitan areawhile cocaine remains the stimulant of choice.According to the Rocky Mountain High IntensityDrug Trafficking Area (HIDTA), the number ofmethamphetamine laboratories seized in Coloradoincreased more than 47 percent from 314 in 2001to 464 in 2002. During 2002, 16 methamphet-amine laboratories were seized in Denver, and anadditional 131 were seized in contiguous Adams,Arapahoe, Douglas, and Jefferson Counties. Most

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laboratories seized by law enforcement in Colo-rado use the red phosphorus/ephedrine reductionmethod to produce methamphetamine. However,the theft of anhydrous ammonia and the seizure oflaboratories utilizing the Birch reduction methodare increasingly common in Denver’s suburbs.

Treatment data also indicate that metham-phetamine frequently is abused in Denver,although ADAD reported that the number ofmethamphetamine-related admissions to publiclyfunded treatment facilities in Denver decreased 15percent from 181 in 2001 to 153 in 2002. DAWNdata indicate that methamphetamine ED mentionsin the Denver metropolitan area remained rela-tively stable at 98 in 2001 and 99 in 2002. Simi-larly, the rate of methamphetamine ED mentionsper 100,000 population remained unchanged—5 in2001 and 5 in 2002—and was lower than thenationwide rate in 2002 (7). DAWN mortality dataindicate that there were 19 methamphetamine-related deaths in the Denver metropolitan area in2001. ADAM program data indicate that 3 percentof adult male arrestees in Denver tested positivefor methamphetamine in 2001. During the first halfof 2002, 31 percent of methamphetamine-relatedadmissions to publicly funded treatment facilitiesin Denver reported injection as the primary methodof administration, while 52 percent reportedsmoking as the primary method of administration.

Methamphetamine is available in Denver.According to USSC data, in FY2001 methamphet-amine-related sentences accounted for 31 percentof the federal drug sentences in Colorado; thispercentage was higher than the national percentage(14%). In Denver, methamphetamine sold for$4,000 to $7,500 per pound, $700 to $1,100 perounce, and $80 to $125 per gram in the fourthquarter of FY2003, according to the DEA DenverDivision. During the same period, crystal metham-phetamine, commonly called ice or glass, sold for$14,000 to $24,000 per pound and $900 to $1,500per ounce, according to the Rocky MountainHIDTA. DEA reported that the purity of testedsamples of methamphetamine in FY2003 rangedfrom 12 to 20 percent.

What is Crystal Methamphetamine?Crystal methamphetamine is a colorless, odorlessform of d-methamphetamine, a powerful andhighly addictive synthetic stimulant. Crystal meth-amphetamine typically resembles small fragmentsof glass or shiny blue-white “rocks” of varioussizes. Like powdered methamphetamine (anotherform of d-methamphetamine), crystal metham-phetamine is abused because of the long-lastingeuphoric effects it produces. Crystal methamphet-amine, however, typically has a higher purity leveland may produce even longer-lasting and moreintense physiological effects than the powderedform of the drug. The most common names forcrystal methamphetamine are ice and glass.

Law enforcement authorities in Denver statethat methamphetamine is a growing threat andreport a direct correlation between methamphet-amine distribution and violence. Criminal groupsand local independent dealers who distributemethamphetamine often engage in violent actsincluding assault and homicide to protect drugdistribution and production activities and to collectdrug debts. Methamphetamine abusers are prone toviolence and often are paranoid and delusional,frequently arming themselves against perceivedthreats, particularly from law enforcement officers.

Mexican criminal groups from Mexico as well asfrom Arizona, California, and Texas transport mostof the methamphetamine available in Denver inprivate and commercial vehicles. El Paso, Phoenix,San Diego, and Yuma are significant POEs formethamphetamine that subsequently is transportedto Denver. Denver also serves as a regional trans-portation hub for wholesale quantities of metham-phetamine. Mexican criminal groups and localindependent dealers transport much of the drugfrom Denver to markets in Colorado, Montana,Utah, Wyoming, and other nearby states in privatevehicles on interstate, U.S., and state highways.

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Large Methamphetamine SeizureOn November 25, 2003, the Denver PoliceDepartment seized 5 kilograms of suspectedMexico-produced methamphetamine from amotel room and arrested two male Mexicannationals. Five 1-kilogram, cellophane-sealedpackages of methamphetamine were discoveredinside a portable stereo in their motel room.

Source: Denver Police Department.

Mexican criminal groups are the primary whole-sale distributors of methamphetamine in Denver.These groups typically sell cocaine in addition tomethamphetamine. Mexican criminal groups andMexican and Caucasian local independent dealers arethe primary distributors of methamphetamine at theretail level in Denver. Since the first half of FY2002,the DEA Denver Division has observed an increasein the number of Caucasian criminal groups distribut-ing methamphetamine supplied by Mexican whole-sale distributors. According to the Denver PoliceDepartment, methamphetamine is distributed from13 open-air drug markets in Districts 1, 2, 4, 5, and 6.

MarijuanaMarijuana is widely available and abused in

Denver. According to ADAD, the number of mari-juana-related admissions to publicly funded treatmentfacilities in Denver increased 14 percent from 504 in2001 to 577 in 2002. However, DAWN data indicatethat the number of marijuana ED mentions in theDenver metropolitan area decreased 24 percent from979 in 2001 to 742 in 2002. The rate of marijuana EDmentions per 100,000 population in the Denvermetropolitan area in 2002 (38) was lower than therate nationwide (47). ADAM program data indicatethat 40 percent of adult male arrestees in Denvertested positive for marijuana abuse in 2001.

According to USSC data, in FY2001 marijuana-related sentences accounted for 13 percent of thefederal drug sentences in Colorado; this was lowerthan the national percentage (33%). The DEADenver Division and the Denver Police Depart-ment reported that commercial-grade marijuana

produced by Mexican criminal groups in Mexicoas well as in California and other southwesternstates sold for $400 to $1,000 per pound, $50 to$80 per ounce, and $5 per bag in Denver in thefourth quarter of FY2003, while high-grade mari-juana, primarily produced in Oregon, Washington,and Canada, sold for $2,000 to $4,500 per poundand $600 per ounce. During the same period, theDEA Denver Division reported that locally pro-duced high-grade marijuana sold for $1,500 to$4,000 per pound and $200 to $500 per ounce.

The distribution of marijuana occasionally islinked to violent crime in Denver. According toDenver law enforcement officials, street gangs thatdistribute marijuana commit violent crimes such asassault, auto theft, drive-by shooting, and homi-cide, some of which are related to their marijuanadistribution activities.

Mexico-produced marijuana generally is trans-ported into Denver from Mexico as well as fromCalifornia and southwestern states in private andcommercial vehicles. Mexican DTOs and criminalgroups control the transportation and wholesaledistribution of Mexico-produced marijuana inDenver. El Paso, Phoenix, and San Diego aresignificant POEs for marijuana that is transportedinto Denver. Canada-produced marijuana is trans-ported from Canada or transshipment points inWashington in private vehicles and aircraft. Cauca-sian criminal groups are the primary transporters ofCanada-produced marijuana. Denver serves as aregional transportation hub for wholesale quantities ofMexico- and Canada-produced marijuana. Mexico-and Canada-produced marijuana routinely is trans-ported from Denver to markets in Colorado, Montana,Utah, Wyoming, and other nearby states in privatevehicles on interstate, U.S., and state highways.

Mexican and Caucasian criminal groups, AfricanAmerican, Asian, and Hispanic street gangs as well aslocal independent dealers distribute Mexico-producedmarijuana at the retail level. Caucasian criminal groupsdominate the wholesale and retail distribution ofCanada-produced marijuana. Local independentdealers also distribute Canada-produced marijuana

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at the retail level. Some local independent dealerscultivate limited quantities of cannabis in theDenver metropolitan area, primarily in the westernand southern suburbs. These dealers also serve asthe primary retail distributors of locally producedmarijuana. According to the Denver Police Depart-ment, marijuana is distributed from 31 open-airdrug markets in Districts 1, 2, 4, 5, and 6.

Other Dangerous DrugsOther dangerous drugs (ODDs) pose a threat to

Denver. ODDs include the club drugs MDMA,GHB and its analogs, and LSD and divertedpharmaceuticals. In 2002, there were 7 admissionsto publicly funded treatment facilities in Denverfor hallucinogen (LSD and PCP) abuse, up from 4in 2001, and 22 admissions for sedative abuse in2002, up from 10 in 2001, according to ADAD.DAWN data indicate that in the Denver metropoli-tan area there were 33 MDMA ED mentions, 15GHB mentions, and 5 LSD mentions in 2002.DAWN mortality data indicate that 4 deaths in theDenver metropolitan area in 2001 were related tothe abuse of club drugs and 221 deaths wererelated to the abuse of diverted pharmaceuticalsincluding analgesics, narcotic analgesics, benzo-diazepines (clonazepam), and antidepressants.

Club drugs are readily available at all-nightdance clubs and private parties and are primarilyabused by teenagers and young adults. In DenverMDMA sold for $8 to $16 per tablet at the whole-sale level and $12 to $20 per tablet at the retaillevel in the fourth quarter of FY2003, accordingto the DEA Denver Division and Denver PoliceDepartment. GHB sold for $5 to $10 per dosageunit and LSD sold for $5 per dosage unit. Com-monly diverted and abused pharmaceuticalsinclude hydromorphone (Dilaudid), hydrocodone,benzodiazepines (clonazepam), methadone,oxycodone (OxyContin, Percocet), andalprazolam (Xanax). Methadone and OxyContinsold for $1 per milligram at the retail level,Dilaudid sold for $25 per tablet, hydrocodonesold for $3 to $5 per tablet, and Percocet sold for$5 per tablet.

Most of the club drugs available in Denver aretransported to the city; however, some GHB isproduced in Denver. MDMA typically is transportedby Caucasian criminal groups from Los Angeles,Miami, and New York via commercial aircraft andpackage delivery services.

Most club drugs are distributed by Caucasiancriminal groups, local independent dealers, andAsian street gangs from businesses, nightclubs,bars, private residences, and open-air drug marketsin Lower Downtown (Lo-Do) Denver, while phar-maceuticals often are obtained through variousdiversion techniques. Caucasian criminal groupscontinue to be the primary wholesale distributors ofMDMA in Denver. However, Asian street gangs,particularly Asian Pride and Viet Pride, increasinglydistribute the drug at the wholesale level. Caucasianindependent dealers are the primary retail distribu-tors of club drugs and ODDs in Denver. Thesedealers routinely sell and abuse club drugs, notablyMDMA and GHB, at nightclubs and bars in Lo-Do.Diverted pharmaceuticals generally are obtainedwithin the city through diversion techniques includ-ing prescription fraud, prescription forgery, and“doctor shopping,” which occurs when individuals,who may or may not have a legitimate ailment, visitnumerous physicians to obtain drugs in excess ofwhat should be legitimately prescribed. Accordingto the Denver Police Department, club drugs andODDs are distributed from six open-air drug mar-kets in Districts 3 and 6.

Drug Money LaunderingDrug money laundering poses a threat to Denver.

Mexican DTOs and criminal groups are the primaryillicit drug money launderers in Denver. Hispanic,African American, and Asian street gangs laundermoney in Denver to a lesser extent. Illicit drugproceeds typically are transported to Mexico, Cali-fornia, or Texas using private vehicles or couriersaboard commercial aircraft or buses. In 2002 morethan $542,000 was seized while in transport fromDenver to California and southwestern states, andmore than $1 million was seized en route to Denverfrom regional markets in Nebraska and Wyoming,according to the DEA El Paso Intelligence Center.

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Mexican DTOs and criminal groups also use wiretransfer facilities to send drug proceeds to familymembers or their sources of supply in California orMexico. Other significant money laundering methodsused in Denver include structuring bank deposits andmoney order purchases; purchasing real estate orvehicles; investing in securities; commingling drugproceeds with revenue generated by legitimatebusinesses, particularly automobile dealerships; andutilizing rapid transfers of funds to offshore bankaccounts in the Caribbean. In FY2003 the DEADenver Division seized nearly $4 million in assetsfrom alleged drug traffickers, including a singleseizure of nearly $2 million.

Changes/Emerging TrendsHispanic street gangs, particularly Sureños 13,

increasingly are distributing Mexico-producedheroin in Denver. Gang members acquire the drugfrom other gang members or family members inthe area near the U.S.–Mexico border and transportit to Denver in private vehicles for retail distribution.Street gangs also are suspected of transportingCentral American youths to Denver, providingthem with residences and allowances, and usingthem to distribute heroin.

GHB abuse is now commonplace in somenightclubs and bars in Lo-Do Denver. GHB over-doses can occur easily depending on purity. Typi-cally they are nonfatal and are characterized by briefperiods of unconsciousness. Some GHB abuserswrite a large letter G on their hands or foreheads toalert bystanders not to phone paramedics or authori-ties should the abuser lose consciousness.

Colorado passed “remitter house” legislation in1998 that allows individuals to transfer funds fromconvenient locations such as grocery stores, localbusinesses, and private residences. Investigationsshow that many individuals operate remitter busi-nesses located in homes and apartments. Mexicancriminal groups often use these services to makemultiple transactions of less than $3,000 per dayunder different names in order to circumvent anti-money laundering regulations.

Impacts and ImpedimentsImpacts

In the Denver metropolitan area, task forcessupported by the Rocky Mountain HIDTA and U.S.Department of Justice Bureau of Justice Assistancehave initiated programs to educate community andbusiness leaders; neighborhood police, fire, andrescue personnel; and local retailers about the chemi-cals, dangers, and warning signs associated withmethamphetamine production. As a result of theseinformation-sharing efforts, the number of metham-phetamine laboratories seized in the metropolitanarea has increased as patrol officers, retailers, andcitizens forward increasing numbers of tips and leadsregarding illicit drug production.

The Rocky Mountain HIDTA, in cooperation withthe state highway patrol agencies of Colorado, Utah, andWyoming, created the Rocky Mountain Highway PatrolNetwork (RMHPN). RMHPN fosters information- andintelligence-sharing among the agencies involved andseeks to increase seizure, arrest, and prosecution ratesin all three states. The weekly bulletin published byRMHPN highlights significant interdiction eventsand is credited by participating agencies with increas-ing the motivation of patrol officers.

The National Jewish Medical Center, in coop-eration with the Denver Police Department, NorthMetro HIDTA Task Force, Colorado Departmentof Human Services, and the DEA Denver Division,has implemented a research program to study theeffects of exposure to the atmosphere at metham-phetamine laboratories upon first responders,producers, and bystanders (particularly children).The results will be used to educate medical staffabout best practices in treating patients based onone-time or long-term exposure, as well as toeducate law enforcement about the appropriate useof environmental protection gear.

The Denver Police Department operates a 24-hournarcotics tip line. Local citizens have providedinformation on drug activity in their neighborhoods,and area businesses such as grocery stores havereported large purchases of pseudoephedrine or othermethamphetamine precursors.

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In 2002 the Colorado state legislature took actionto combat methamphetamine production. The state’scriminal code was amended to recognize pseudo-ephedrine and phenylpropanolamine as methamphet-amine precursor chemicals and criminalize theirpossession with intent to produce methamphetamine.Bills that would make it felony child abuse to pro-duce drugs in a home with children present also wereintroduced and are pending. These bills would allowauthorities to sue parents in civil court to removechildren from homes in which methamphetaminelaboratories are discovered.

ImpedimentsNone.

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Sources

LocalDenver Police Department

Criminal Investigation DivisionCrime LaboratoryNarcotic Interdiction UnitStreet Enforcement Section

Vice and Drug Control BureauComplex Investigation Unit

Front Range Task ForceMetro Gang Task Force

StateColorado Department of Human Services

Alcohol and Drug Abuse Division

FederalExecutive Office of the President

Office of National Drug Control PolicyHigh Intensity Drug Trafficking Area

Rocky MountainNorth Metro HIDTA Task ForceRocky Mountain Highway Patrol Network

U.S. Department of CommerceU.S. Census Bureau

U.S. Department of Health and Human ServicesSubstance Abuse and Mental Health Services Administration

Office of Applied StudiesDrug Abuse Warning Network

U.S. Department of JusticeDrug Enforcement Administration

Denver DivisionEl Paso Intelligence Center

National Clandestine Laboratory Seizure SystemOperation ConvoyOperation JetwayOperation Pipeline

National Institute of JusticeArrestee Drug Abuse Monitoring Program

U.S. Sentencing Commission

OtherNational Jewish Medical Center

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Drugs and Crime City Profile - U.S. Department of Justice and Crime City Profile—Denver 2 Diverted pharmaceuticals generally are obtained through diversion techniques including prescription