DOJ indicts Chinese companies for sale of fentanyl precursors
- The companies sold chemicals online to people in the U.S. and Mexico
- Defendants used social media to advertise the sale of precursor chemicals
- Fentanyl is the leading cause of death for Americans ages 18-49
FILE – This photo provided by the U.S. Attorneys Office for Utah and introduced as evidence in a 2019 trial shows fentanyl-laced fake oxycodone pills collected during an investigation. (U.S. Attorneys Office for Utah via AP)
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(NewsNation) — Attorney General Merrick Garland announced the indictment of four Chinese chemical companies and eight Chinese nationals for the manufacturing and distribution of fentanyl precursor chemicals.
It is the first time the Department of Justice has indicted Chinese chemical companies as part of an on-going effort to crack down on the production, manufacture and sale of fentanyl. Fentanyl is the leading cause of death for Americans between the ages of 18 and 49, killing an estimated 110,000 Americans in 2022.
During the operation, the Drug Enforcement Agency seized more than 200 kilograms of fentanyl-related precursor chemicals, an amount that could produce enough fentanyl to kill 25 million Americans.
DEA administrator Anne Milgram said fentanyl, which is 50 times stronger than heroin and 100 times stronger than morphine, is not just dangerous because it can kill in such small amounts. Because fentanyl is man-made, the amount that can be made is only limited by the amount of precursor chemicals available.
For cartels, fentanyl is also represents a large profit margin. One of the indicted defendants allegedly sold two kilograms of precursor chemicals, enough to make enough fentanyl to kill 1.75 million Americans, for just $1,000.
“The price per lethal dose is less than one cent,” Milgram said.
Chinese-based companies Hubei Amarvel Biotech Co. Ltd (also known as AmarvelBio), Anhui Rencheng Technology Co., Anhui Moker New Material Technology Co. and Hefei GSK Trade Co. LTD are listed in three separate indictments. Eight individuals were also named in the indictments, which were filed in the southern and eastern districts of New York.
According to the DOJ, the companies and individuals used social media to advertise the sale of precursor chemicals, which were often paid for in cryptocurrency to make it more difficult to track. The defendants allegedly falsified shipping labels and also provided scientific expertise to customers seeking to make fentanyl.
The companies are also alleged to have used masking molecules to disguise the chemicals. The molecules are added prior to shipping, changing the chemical signature of the material so that it appears to be a non-fentanyl-related substance. Once the customer has the chemicals, the masking molecules can be removed and the chemical used to manufacture fentanyl.
Garland said the indictments are just part of an ongoing effort to combat fentanyl manufacture and distribution at every point in the supply chain, whether in the United States, Mexico or China. He also urged the People’s Republic of China to take action to crack down on the manufacture and sale of precursor chemicals by Chinese companies.
Garland also sent a direct message to those involved, noting that after the department announced indictments against the Sinaloa cartel in April, one of the defendants allegedly messaged another saying it was “bad news” for them.
“More bad news is coming,” Garland warned. “With every investigation, with every indictment, we are coming after you and we will not relent until this crisis ends.”
