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Cablegate: Indonesians Make Gains Against Counterfeit Drugs

VZCZCXRO4049
RR RUEHCHI RUEHDT RUEHHM
DE RUEHJA #2035 2080856
ZNR UUUUU ZZH
R 270856Z JUL 07
FM AMEMBASSY JAKARTA
TO RUEHJA/AMEMBASSY JAKARTA
RUEHJS/AMCONSUL SURABAYA 1852
RUEHC/SECSTATE WASHDC 5576
INFO RUEHZS/ASSOCIATION OF SOUTHEAST ASIAN NATIONS
RUEHBJ/AMEMBASSY BEIJING 4167
RUEHBY/AMEMBASSY CANBERRA 0946
RUEHUL/AMEMBASSY SEOUL 4111
RUEHKO/AMEMBASSY TOKYO 0612
RUEHHK/AMCONSUL HONG KONG 2360
RUEAIIA/CIA WASHDC
RUQODAZ/CARIBROC KEY WEST FL
RHHJJPI/PACOM IDHS HONOLULU HI
RUCPDOC/DEPT OF COMMERCE WASHDC

UNCLAS JAKARTA 002035

SIPDIS

SIPDIS

FOR EAP/MTS; EB/TPP/IPE
COMMERCE FOR 4430/ BERLINGUETTE
COMMERCE PASS USPTO JNESS
DEPT PASS USTR FOR WEISEL, DKATZ, RBAE,

E.O. 12958: N/A
TAGS: KIPR ETRD KCOR ECON ID
SUBJECT: INDONESIANS MAKE GAINS AGAINST COUNTERFEIT DRUGS

REF: A. JAKARTA 00011

B. JAKARTA 01813

1. (SBU) SUMMARY: On July 20 Indonesian authorities carried
out the largest and most successful operation to date against
distributors of counterfeit pharmaceuticals. Jakarta Police
raided a small retail pharmacy followed by an associated
warehouse serving as a distribution center for imported
counterfeit medicines. Police seized over one hundred and
fifty 50 kg bags filled with counterfeit product. This
latest seizure took place less than a month after Indonesian
Police closed down two optical disk factories suspected of
illegal production on July 1 (reftel B). END SUMMARY

Drugstore Cowboys
-----------------
2. (SBU) Indonesian police raided a small pharmacy in
Jakarta on July 20 and seized six large 50kg bags filled with
counterfeit medicines. Evidence collected from the site
confirmed the location of a nearby warehouse suspected of
importing and distributing illegal and counterfeit
pharmaceutical products. Indonesian authorities raided the
second location seizing 150 additional 50kg bags containing
counterfeit prescription medications. The medicines were
packaged with brand-name corporate markings, such as Pfizer,
Galxo Smith Kline, Bauer and Roche among others. Further
investigation by Police investigators revealed the medicines
were imported directly from India and intended for retail
distribution in Jakarta. Several individuals were detained
for questioning; however the owner of the premises evaded
police and is still at large.

Technical Assistance Continues to Pay Off
-----------------------------------------
3. (SBU) GOI law enforcement authorities benefited from
intelligence and technical assistance provided through the
State Department/INL-funded, Department of Justice
International Criminal Investigative Training Assistance
Program (ICITAP). ICITAP advisors provided surveillance and
operational planning training as well as specific
intelligence on the targeted locations. USG-funded ICITAP
consultants familiar with the operation commented that links
between counterfeit pharmaceutical distribution and organized
crime remain unclear.

GOI on a Roll
-------------
4. (SBU) These counterfeit drug raids come on the heels of
Indonesia's crack down on violations of optical disk laws.
GOI is clearly benefiting from USG engagement on IPR issues,
and Indonesian law enforcement continues to make effective
use of USG-funded technical assistance. The seizures should
also assuage the concerns of pharmaceutical companies who
feel neglected as compared to the attention given to optical
disk piracy. Cumulative results from recent IPR-related
raids and seizures further strengthens Post's recommendation
for increased support of IPR-related assistance to GOI,
including extension of the ICITAP program for another year
and development of DOJ/OPDAT assistance to the Attorney
General's Office to ensure successful prosecutions.
HUME

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