Covid-battered global supply chains are being threatened by organized criminals, including drug cartels and con artists posing as legit suppliers, a new study has found, warning that the situation is set to get worse.

The international supply chain woes amid the Covid-19 pandemic are highlighted in a new annual report, released this week by the British Standards Institution (BSI).

The document, titled the ‘Supply Chain Risk Insights Report’, highlights Covid’s impact on supply chains, with the experts also warning that organized crime has increasingly preyed on this crucial area during the pandemic. On multiple instances, criminals were posing as legitimate logistics providers, stealing goods during shipment.

“I’m seeing a significant number of false suppliers acting as genuine potential suppliers in supply chain logistics provision – warehousing distribution, distribution centres, transportation companies – and actually, they are criminal groups trying to infiltrate the logistics supply chain,” said David Fairnie, BSI’s principal consultant in supply chain security. He urged producers to “continuously monitor” the supply chain and to not immediately trust new logistics providers – especially those contacted only remotely.

So, arguably today more than ever, you do need to know your suppliers. So far in 2021, BSI has noted this issue of fake carriers in an increasing number of countries in both the Americas and Europe.

Criminals have apparently been trying to steal goods in various ways, with phony truck drivers loading up items and taking off with them, while conmen “posing as legitimate employees” have reportedly been observed lurking around delivery destinations to steal cargo.

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At the same time, the report found that trade in illicit goods has also been on the rise lately, with the illegal drug industry in particular appearing to flourish. While the supply chain for drug cartels, which require large amounts of assorted chemicals to produce narcotics, was disrupted due to the pandemic lockdowns and border closures impacted trafficking routes, organized crime quickly overcame these problems, the BSI noted.

“Drug cartels around the world did not miss a beat,” Chris Tomas, BSI lead intelligence analyst, said.

While many cartels shifted their production towards synthetic drugs, namely amphetamine, amid the pandemic, the apparent “lack of eradication of coca crops in Latin American countries” also remains an issue, the BSI said. The flow of cocaine has grown over the past year and is expected to increase even further, the organization warned.

“The numbers and quantities of cocaine seizures in Europe increased steadily in 2020 and 2021 and are expected to continue to rise in 2022,” the report reads.

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CIPHER BRIEF EXPERT PERSPECTIVE 

Cipher Brief Expert Tim Willasey-Wilsey served for over 27 years in the British Foreign and Commonwealth Office. He is now Visiting Professor of War Studies at King’s College, London.

Older Americans have Saigon 1975 and the helicopters from the Embassy roof seared into their memories. A previous generation of Britons was haunted by the image of General Percival surrendering vast numbers of troops and equipment in Singapore to the Japanese in 1942. How Kabul falls to the Taliban could have important practical and symbolic significance.

The announcement that the United States is sending 3,000 troops to Kabul alongside 600 British troops to manage the evacuation of their civilians and those Afghans who provided assistance, is a remarkably late response to a rapidly deteriorating situation. Unless carried out in the next 48 hours, it will also be risky. Taliban infiltrators are already inside Kabul and the forces which captured Ghazni and Kandahar on 12th August will be heading towards the capital on their Honda 125cc motorbikes.

The US must have extracted undertakings from the Taliban negotiators in Qatar not to launch their full assault on Kabul until the evacuations are complete, but elements of doubt remain. Previous Taliban assurances have proved worthless, and it is doubtful that individual Taliban commanders would wish to hold back while some of Ashraf Ghani’s ministers, senior army officers, judges and officials are spirited away to a life of exile.

It is hard not to be impressed by the speed and élan of the Taliban’s recent successes; taking 13 of Afghanistan’s 34 regional capitals in almost as many days. It is reminiscent of the extraordinary progress which the Japanese made down the Malaya Peninsula in 1942 with Singapore as the ultimate prize.

The Taliban’s success has not happened by chance. It is clearly the fruit of preparation and planning. Above all, they have learnt from the experience of 1994 to 1996 when they eventually took Kabul but failed to capture the north, thereby allowing space for the Northern Alliance parties to survive and then reassert themselves following the 9/11 terrorist attacks.

This time, the Taliban have focussed first on border posts with neighbouring countries (thereby denying the government vital supply routes and customs revenues) before taking outlying regional capitals and leaving Kabul (which is never easy to capture) until last. Above all, they have concentrated on the north where many rural Afghans are disenchanted with the Kabul government and regional warlords. The north is no longer the solid bastion of anti-Taliban sentiment it was in the 1990s.


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Taliban progress in the north has snuffed out any chance that the old Northern Alliance could be reborn out of the eventual collapse of the Ashraf Ghani government. Whereas in 1996, Ahmed Shah Massoud, its brilliant military leader, was able to abandon Kabul and beat a tactical retreat up the Panjshir Valley, that option barely exists today. Not only is Massoud dead but his former adherents are no longer guerrilla fighters but members of a stratified Afghan army which has struggled to perform without US air support.

The Taliban have also ruthlessly exploited the weak negotiating stance of the United States and its chief negotiator Zalmay Khalilzad. Whereas some of the Taliban team in Doha, such as Mullah Barader, may indeed have been ‘moderates’ there was never any doubt that the Taliban movement wanted to see the total defeat of the Kabul government and the expulsion of Western forces. Pakistan too, may have occasionally considered some form of negotiated deal but ultimately the only sure way of keeping Indian influence out of Afghanistan (it believes) is a Taliban government.

The Afghan army (and in particular its impressive Special Forces) will now be assembling in Kabul and should be able to repel initial attempts to overrun the city. Certainly, Gulbuddin Hekmatyar found it impossible to take Kabul in 1992 and 1993 even with help from Pakistan, which, in frustration, switched support to the newly-created Taliban movement in late 1994.

But from 1992 to 1996 there were frequent deliveries of supplies to Massoud and his Northern Alliance defenders from Russia, Iran, and India. In 2021, the position is very different. Russia has already decided to “back the winner” and believes it has extracted promises from the Taliban not to export Islamism northwards into the Central Asian Republics (CARs). Iran too has channels to the Taliban and will be watching carefully for any return to the Taliban’s persecution of the Shia Hazaras. And India has already made contact with the Taliban in Doha in the hope that the Taliban in power will prevent Kashmiri militant groups from setting up bases there.

The likelihood therefore is that Kabul will fall to the Taliban quite quickly. If the Americans and British do manage to insert their evacuation forces soon, they should be able to complete the operation successfully, although there are likely to be heart-rending scenes at the airport as crowds of refugees are turned away at gunpoint from departing aircraft. Regional powers, particularly Pakistan, will try and persuade the Taliban to hold back from intervening, conscious that a bloodbath in Kabul would be a disastrous start to the Taliban’s second spell in government. Ironically, however, the evacuation would almost certainly lead to the collapse of the Kabul government as senior officials are forced to decide whether to take the last aircraft out or face almost certain torture and death at the hands of the victors. It is doubtful whether any Western countries will choose to retain their embassies in Kabul. For President Biden, the memory of Benghazi will be too raw.

What is certain is that there will be new iconic images to rival those of Saigon and Singapore.


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Vaccination of all Hungarian citizens against Covid-19 is inevitable, PM Viktor Orban has said, stating that even the most hardline anti-vaxxers will ultimately face a choice between dying with the virus and getting a jab.

Speaking to Kossuth radio on Friday, the Hungarian leader lashed out at those reluctant to get vaccinated against coronavirus, branding them a threat “not only to themselves but to all others.”

In the end, everyone will have to be vaccinated; even the anti-vaxxers will realize that they will either get vaccinated or die. So, I urge everyone to take this opportunity.

The EU member state is currently experiencing its fourth wave of coronavirus, Orban stated, blaming the situation on those who had not got vaccinated. “If everybody were inoculated, there would be no fourth wave or it would be just a small one,” the PM claimed.

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Apart from urging the unvaccinated to go and finally get their jabs, Orban also promoted booster shots, revealing that he had already taken three doses of a coronavirus vaccine.

“The only thing that protects us from the virus is vaccination. And we are now also seeing, at least the experts are unanimous in saying, that four to six months after the second vaccination, the protective power of the vaccine weakens. Therefore, a third vaccination is justified,” he said.

Hungary has already announced new anti-Covid measures, though somewhat short of the strict measures proposed by the nation’s Medical Chamber on Wednesday. The medical body called for a blanket ban on mass events, and suggested making entry to restaurants, theaters and other indoor venues conditional on bearing a Covid-19 inoculation certificate. Instead, Budapest rolled out compulsory mask wearing for most indoor environments, as well as making booster shots mandatory for all medical workers, starting from Saturday.

A nation of 10 million, Hungary’s total tally of logged Covid cases is hovering just below the one million mark. On Friday, it registered a new daily record, with nearly 11,300 new Covid infections. More than 32,700 people in Hungary have succumbed to the disease over the course of the pandemic.

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A Canadian teenager has been arrested after allegedly stealing $36.5 million in cryptocurrency from a person in the US. The police claim it was the largest such heist involving one victim ever registered in North America.

Police in the city of Hamilton, Ontario, arrested the unidentified perpetrator on Wednesday, after over a year investigating what they have described as the biggest-ever cryptocurrency theft from a single person in either the US or Canada. Local police began a joint investigation with the Federal Bureau of Investigation and the US Secret Service Electronic Crimes Task Force in March 2020, when the theft was reported.

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The Hamilton Police Service said it had made “multiple” seizures in excess of CA$7 million (US$5.5 million) during the arrest, which came after investigators noticed some of the stolen money had been used to buy an online username considered “rare” in the gaming community, according to a police statement.

The victim was apparently targeted by a cell phone hijack known as SIM swapping. This method involves manipulating cellular network employees to duplicate phone numbers in order to let the scammer intercept the two-factor authorization requests that allow them access to a victim’s account.

This method is considered especially potent because a lot of people use the same password for multiple sites, according to Detective Constable Kenneth Kirkpatrick, of the Hamilton Police’s cybercrimes unit. He added that cyber and cryptocurrency crimes were becoming increasingly common, but noted that the figures involved in this case were “very surprising.”

“It’s a large amount of money in anybody’s opinion,” Kirkpatrick said, adding that the case was currently in the Hamilton court system.

The police haven’t revealed the age or gender of the youth, the username they purchased, or whether they were acting alone.

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Australia’s Defense Minister derided a senior Chinese diplomat’s comments as “silly” and “comical,” after the latter dubbed Canberra’s trilateral nuclear-powered submarine pact with the US and UK a threat to peace.

During a television interview on Friday, Peter Dutton said acting Chinese Ambassador Wang Xining was “probably reading off a script from the Communist Party” when he warned that Australia would become the “naughty guy” if it procured the stealth-combat vessels through the AUKUS deal.

Wang, who is China’s most senior representative to the country after the previous ambassador’s term ended last month, told The Guardian on Thursday that Australia would be labeled a “sabre-wielder” rather than a “peace defender.” He said the Australian public “should be more worried” about the impact of the security pact their nation had made with the UK and the US. 

There’s zero nuclear capacity, technologically, in Australia, that would guarantee you will be trouble free, that you will be incident free. And if anything happened, are the politicians ready to say sorry to people in Melbourne and in Adelaide?

However, Dutton “dismissed” the comments and countered that “most Australians [would] see through [their] non-productive nature.”

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“We don’t see it from any other ambassador here in Australia. It’s quite remarkable,” the minister told the Nine Network, adding that “this type of diplomacy” was seen elsewhere in the world too.

“These provocative comical statements – it’s just so silly. It’s funny,” he added.

In September, Australian Prime Minister Scott Morrison announced the deal to obtain at least eight nuclear-powered vessels as part of its new defense alliance. The pact angered not only China but also France, which claimed it had been “stabbed in the back” after Canberra unilaterally scrapped a multi-billion-dollar diesel-electric submarine contract with Paris.

Last weekend, Dutton had irked Beijing by stating that he could not conceive of a situation in which Australia would hesitate to support the US should armed conflict with China break out over Taiwan. Under its ‘One China’ policy, Beijing has pledged to reunify the island with the mainland.

Wang warned Australian politicians on Thursday not to do anything that would be “destructive to our relationship.”

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EXPERT PERSPECTIVE — On 16 June, US President Joe Biden and Russian President Vladimir Putin met for just under four hours in Geneva. This was Mr. Biden’s first meeting with Mr. Putin during his presidency and Biden is the fifth US President with whom Putin has held a summit.

Expectations for the summit were characterized as low by both sides in advance and assessed a bit more positively after the conclusion of the meeting. The meeting presented an opportunity for both leaders to present grievances and warnings to the other (and show toughness to their domestic constituencies).  Other than presenting the opportunity to blow off steam, the results of the meeting appear modest:  the agreement to return ambassadors to their posts, to resume bilateral arms control discussions, to conduct discussions on “strategic stability” and to hold unspecified consultations on cyber. In typical fashion, Mr. Putin rejected all of Mr. Biden’s assertions about Russian actions and made counter accusations referencing hostile US actions.

Of the deliverables from the summit, cyber will no doubt turn out to be the most problematic area for follow up. Mr. Biden apparently delivered to Mr. Putin a list of 16 US critical infrastructure sectors that should be considered “off limits” for cyberattacks, e.g., “red lines” not to be crossed without the risk of significant retaliation. For his part, Mr. Putin asserted that it is Russia that is the victim of cyberattacks originating from the territory of the US and it’s NATO partners and also is the victim of  attempts to interfere with Russian elections.  The challenge in cyber discussions going forward will center around three areas:  differing interpretations of the relevance of deterrence theory in today’s cyber environment, attribution, and control.

Mr. Biden’s firm comments to Mr. Putin on recent cyberattacks against the US such as the ransomware attack on Colonial Pipelines (Mr. Biden is said to have asked Mr. Putin how he would react if Russia’s pipelines were hit?) and his provision of a list of “off limits” US infrastructure entities suggests a deep belief in this administration that Russia can be deterred from engaging in future conduct of cyber operations against US targets or “sanctioning” attacks originating from the territory of the Russian Federation by criminal groups.

Unfortunately, it is highly likely that either Mr. Putin nor those who control the levers of Russian cyber operations agree that deterrence theory applies.  Deterrence only works when both sides know the other is capable of – and willing to – cause significant harm to the other.

The Russian side likely believes (and may have amply demonstrated) that the US is disproportionately vulnerable to cyber risk at every level of its economic, societal, and political infrastructure whereas Russia is not.  There is a reason the use of cyber tools has become a central feature of Russian strategic doctrine. They work and seem a legitimate tool that falls short of conventional war. Hybrid warfare using cyber tools, the Russian side would argue, is no different than the economic warfare Russia is experiencing from sanctions imposed by the US its allies.

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The Philippine government has accused the Chinese Coast Guard of unleashing water cannon on two supply ships in a disputed stretch of the South China Sea, claiming its boats were blocked and forced to turn around.

Manila’s Department of Foreign Affairs detailed the encounter in a statement on Wednesday, alleging that a pair of supply boats en route to the Ayungin Shoal – also known as the Second Thomas Shoal – were stopped by three Chinese vessels and “water cannoned” before they could reach their destination.

“Fortunately, no one was hurt; but our boats had to abort their resupply mission,” Foreign Affairs Secretary Teodoro Locsin said, adding that the department had conveyed its “outrage, condemnation and protest of the incident” to Beijing’s envoy to the Philippines, Huang Xilian.

The acts of the Chinese Coast Guard vessels are illegal. China has no law enforcement rights in and around these areas. They must take heed and back off.

Though both China and the Philippines claim territorial rights to the Ayungin Shoal, The Hague’s Permanent Court of Arbitration ruled in the latter country’s favor in 2016. And despite Chinese objections, the Philippines has occupied the area for much longer, after its military purposely grounded a naval vessel on the shoal in 1999.  

READ MORE: Manila backs controversial AUKUS security pact as move to fix ‘imbalance’ of power in Southeast Asia

Manila was also quick to note that the supply ships are “covered by the Philippines-United States Mutual Defense Treaty,” a pact inked with Washington in 1951 that calls for a US military response to any attack on the country, including “island territories under its jurisdiction in the Pacific Ocean, its armed forces, public vessels or aircraft.” 

Beijing so far has not commented on the alleged run-in.

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Pfizer has agreed to grant a royalty-free license to sell its anti-coronavirus pill in nearly 100 developing countries around the world.

Under the agreement signed with the Medicines Patent Pool (MPP), a UN-backed public health organization, Pfizer will not receive royalties on the sales of its promising antiviral pill in 95 poorer countries, including the states of Sub-Saharan Africa. The measure allows MPP to grant sub-licenses to “qualified” generic medicine manufacturers in each country.

The countries covered by the deal comprise around 53% of the world’s population, Pfizer said. “We believe oral antiviral treatments can play a vital role in reducing the severity of Covid-19 infections, decreasing the strain on our healthcare systems and saving lives,” Pfizer CEO Albert Bourla said. 

We must work to ensure that all people – regardless of where they live or their circumstances – have access to these breakthroughs.

During its phase-two/three trial, the drug PF-07321332, trademarked as Paxlovid, reduced the risk of hospitalization or death by 89% in Covid-19 patients who took it within three days of symptom onset. The drug is administered in combination with low-dose ritonavir, a medication used to treat HIV/AIDS. 

The UN and the World Health Organization (WHO) have long been urging companies to make vaccines and other forms of Covid-19 treatment accessible and affordable for developing countries.

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When The Washington Post reported this week that CIA Director William Burns slipped into Afghanistan on Monday to meet with Taliban leader Abdul Ghani Baradar, it was described as the highest-level face-to-face encounter between the Taliban and the Biden Administration.  WaPo cited anonymous sources for the information and the CIA offered no immediate comment on the reporting.  If the reporting is accurate, it doesn’t answer any immediate questions about why the President would dispatch the CIA director for such a meeting.

What we do know, is that the unexpected advances of the Taliban that have dominated the headlines over the past week and a half were initially blamed on an intelligence failure by many.  Early on, Cipher Brief Expert and former Acting Director of CIA John McLaughlin tweeted that “The ‘intelligence failure’ drumbeat is starting. People should be careful about the charge if they have not actually seen/read the intelligence…”

So, what intelligence did the US have that would have led to a different outcome in Kabul and throughout the country?

  • The New York Times reported last week that “classified assessments by American spy agencies over the summer painted an increasingly grim picture of the prospect of a Taliban takeover of Afghanistan and warned of the rapid collapse of the Afghan military, even as President Biden and his advisers said publicly that was unlikely to happen as quickly.” The paper cited current and former US government officials, saying, “By July, many intelligence reports grew pessimistic, questioning whether Afghan security forces would muster serious resistance and whether the government could hold on in Kabul, the capital.”
  • On August 15, The Wall Street Journal reported that administration officials said they knew that a “total capitulation of the Taliban was a possibility, and they planned their withdrawal efforts accordingly.” But they also cited an administration official, saying “it wasn’t so much a failure in intelligence in which the administration based its decision, but rather, a change in circumstances brought about by the swift U.S. withdrawal.”

But private sector analysts were watching as well. Here’s an inside look at what The Cipher Brief has been publishing since January with key outtakes from Cipher Brief Expert Tim Willasey-Wilsey:

Brief: January 25, 2021

“The Afghans themselves are also monitoring the Washington newsfeeds in forensic detail and will be encouraged by Sullivan’s statement. Recently, all too many conversations in Kabul have been about when to leave and which route to take. Some wealthier Afghans already have their money in Dubai and children in foreign universities. Some even have passports and property in the United States, UK or Germany. For those who are less fortunate, the discussions are about which route to take out. The Uzbekistan border is favoured because a visa costs just $30 and there is a variety of onward routes via Turkey or Russia to the West whereas the routes via Iran or Pakistan are more restrictive or liable to interference.”

Brief: March 11, 2021

“Saleh will advise Ghani not to take Taliban or Pakistani promises on trust. Instead, Ghani may decide to call Washington’s bluff. He may doubt that Washington is really willing to abandon Afghanistan on 1st May with the risk of a rapid Taliban victory jeopardising all the hard-won advances in areas such as women’s rights and counterterrorism over the past 20 years. The spectre of Al Qaida re-establishing camps in Afghanistan would surely be too much for Biden and Blinken.”

“Even if there were no helicopters from the US Embassy roof, the TV pictures of the Taliban entering Kabul, and of Afghan refugees fleeing their advance could evoke memories of Saigon in 1975. The reimposition of Taliban curbs on women would provoke international opprobrium. And subsequent reports of AQ training camps being re-established in Afghanistan would bring back recent and painful memories. After all the blood and treasure expended in Afghanistan that would be a disastrous outcome.”

Brief: April 19, 2021

“The Afghan government may be able to hold on to power for a few years as the Najibullah administration survived after the Soviet departure. However, there is a danger that there will be a sudden dam-burst in confidence with senior officials and politicians leaving en masse and hundreds of thousands of refugees fleeing westwards through Iran, Pakistan and the Central Asian Republics. As the Taliban re-enter Kabul, we could see disturbing scenes of retribution and, in time, the return of Al Qa’ida figures from their hiding-places in the tribal borderlands in Pakistan. Only then will people re-examine this decision and recognise that the Afghan deployments since 2014 have not been that onerous.”


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Brief: June 1, 2021

“According to my sources, the Taliban are convinced they can take Kabul “within days” of the NATO withdrawal and they believe the Afghan army is “in a shambles and demoralised”. Although the Taliban will not disrupt departing US troops (unless attacked) they are not willing to wait until September to continue their campaign against Kabul government forces.”

“But we should not take much comfort from the Najibullah example. The comparisons with today’s Afghanistan are misleading. Najibullah’s government was able to reach and supply all the major towns by military convoy. The Afghan army was deployed to protect towns and road communications. By contrast, in 2021, only the route between Kabul and Jalalabad is reasonably safe. Convoys cannot get through from Kabul to Kandahar, Kandahar to Herat, or Kabul to Mazar-e-Sharif. The Afghan army is spread across the country in piecemeal district centres (often surrounded by Taliban-controlled countryside) and have to be resupplied by air. This is not a sustainable model.”

“Furthermore, a number of today’s Afghan leaders, officials and military officers have received offers to relocate to the United States, Germany and elsewhere. As the security situation continues to deteriorate, the gradual trickle of departures is likely to gather pace. In such circumstances, the government could implode quite suddenly.”

“To some, this may evoke images of the 1975 fall of Saigon with the big losers being the Afghans who remain, particularly the women, who face a future of uncertainty and anxiety. There could also be a migration crisis reminiscent of Syria in the last decade.”

Brief: June 28, 2021

“One key indicator is that Afghan security forces have begun to surrender to the Taliban. The procedure is quick and simple. Tribal elders are used to deliver a stark message to Afghan troops often holding positions in district centres. The message is often; “The non-believers are leaving Afghanistan. They are defeated. Your leaders are corrupt. You can surrender now, and we will protect you; or you can fight, and we will kill you.” Recently, the Taliban appear to have honoured their promise not to punish Afghan soldiers who surrender. News of this new-found leniency is likely to encourage other units to follow suit and lay down their arms. In several provinces, including in the north, the Taliban are tightening their grip on those cities which are still held by the government. The Taliban will soon be in a position to cut off food supplies and demand their surrender, possibly offering a similarly lenient dispensation to the population. Now that the Taliban possesses captured armoured vehicles and artillery, their ability to exert pressure on the cities is enhanced. In Kabul, a sense of panic has begun to grip the capital. There are desperate attempts to sell family homes but there are no buyers even when houses are on the market at one tenth of their previous value. Some families have departed to Tajikistan, conscious that several of the land border crossing-points with the Central Asian Republics have been captured by Taliban forces in recent weeks.”

Read also Putin’s Calculated Afghanistan Play from Cipher Brief Expert Robert Dannenberg


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