Mexican drug cartels sold stolen oil to US

Oil refineries in the United States purchased millions of Amercan pesos' worth of oil that drug cartel operatives stole from Mexican government pipelines, then smuggled over the border. I am going to presume that this contraband was transported in a method that did not involve swallowing plastic baggies full of light sweet crude, or shoving oil globs up one's bum. Here is a brief snip from an AP item:

Criminals -- mostly drug gangs -- tap remote pipelines, sometimes building pipelines of their own, to siphon off hundreds of millions of dollars worth of oil each year, the Mexican oil monopoly said. At least one U.S. oil executive has pleaded guilty to conspiracy in such a deal. On Tuesday, the U.S. Homeland Security department is scheduled to return $2.4 million to Mexico's tax administration, the first batch of money seized during a binational investigation into smuggled oil that authorities expect to lead to more arrests and seizures.

Read the full story here: AP NewsBreak: US bought oil stolen from Mexico (Associated Press via Google, via Jack Shafer)

• [JJR1971]

  Iraqi and Afghan resistance fighters may want to take note of this tactic, sounds like a more profitable way to sustain their insurgency ops rather than just blowing stuff up.

• [RevRaven]

  Hey, yet another reason for the US openly support new domestic oil production! While we continue development of new methods of energy production, we can resume exploring existing energy sources right here at home!

  It’s a win-win for everyone involved. Awesome new tech continues to be developed and existing and still awesome current tech continues to be used in the meantime.

• [Anonymous]

  That’s nothing compared to Cheney & friends activities in the Niger Delta. Interesting though.

• [CastanhasDoPara]

  This actually happens a lot, (the pipeline tapping not necessarily the smuggling). For example, rebel groups in Colombia do this to make money and friends by selling cheap fuel to the poor. The cartels use it to process coca. There is more to this than simple theft. What often gets ignored is the environmental impact of improper tapping and transportation. Untold damage is done every year by this sort of crime and not just to the oil fat cat’s bottom line. These are just a few (semi-obscure) examples of why we need to stop using oil.

• [Anonymous]

  What is an Amercan Peso worth in US Dollars?

• [simonbarsinister]

  > These are just a few (semi-obscure) examples of why we need to stop using oil.

  There are plenty of reasons why we should be using nuclear instead of oil, but criminals tapping oil isn’t one of them. I don’t think I’d be too happy with criminals stealing enriched uranium either.

• [pimlottc]

  What’s an American peso?

• [Phikus]

  Not too surprising since the US has been running the show via the “war on (some) drugs” for some time now. We’re only going after the cartels and terrorists because we want to maintain our position at the top of the pyramid.

  Will this mean lower gas prices for Americans? -Fat chance. It only means bigger profits for the biggest bloated corporations, who can never satiate their greed. Those wars we’re fighting in Asia have really worked out well for the average Joe who has to pay for it all, haven’t they?

• [Little John]

  Latest rates:
  1.453 American pesos = 1 Mexican dollar
  (roughly equal to 1.628 Canadian lira or 25.644 Swiss yen)

• [demidan]

  An other good reason to stop using oil! How about legalizing/decriminalizing the drugs first, and after that send hired goons to march up and down the pipelines? A homemade pipeline can’t be hard to spot.

• [Baldhead]

  I am shocked to hear that after all this time, members of the oil industry have finally stooped to the level of breaking laws, as well as morally bankrupt behaviour. For shame!