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Mexico Business Intelligence Report (March 2003)
Post 9/11: A Different World:
- The passage of the U.S. Patriot Act is improving money laundering controls to keep money out of the hands of international terrorists, and obligating financial institutions to better monitor and identify legitimate customers, i.e., enhanced due diligence.
- Many industries are being required by U.S. laws and guidelines to upgrade their security to better deter and prevent terrorist attacks, i.e., the chemical and food producing industries.
- Multinationals in Mexico, particularly those exporting their products to the U.S., are similarly upgrading their security, with the additional benefit that these security enhancements will also help deter conventional crime.
- Needless to say, there is no evidence that Mexico per se is being targeted by international terrorists.
Crime Trends in Mexico City:
The Good News:
- Candid Cameras in Centro Historico:
There will be 272 police CCTV cameras placed primarily in the historic center of Mexico City by April, not only for crime prevention and traffic control,but also to apprehend residents bribing police officers! (Reforma, 10 February 2003):
- If caught in the act of paying a bribe to avoid a traffic infraction, the infamous "mordida", both the resident and the policeman will be arrested on the spot. Bribing a policeman can result in a one to nine year prison sentence for the resident!
- The first arrest under this program occurred on 10 February when a resident unsuccessfully tried to extricate himself from a parking infraction on the central artery, Eje Central, by offering a 100-peso bribe. Yes, the two police officers accepting the money were also arrested.
- Comment: Endemic corruption does not operate in a vacuum - bribers are as much at fault as the recipients. Yes, the authorities are engaged in a concerted program to promote citizen participation, but not the kind mentioned above!
- To facilitate payments of traffic fine infractions the authorities have lowered the amount of the fines, are offering a discount for prompt payment of the fine at a bank, and only in rare cases are the police legally empowered to take your vehicle to the pound.
- The bottom line: The "boleta", or traffic ticket, is a lot cheaper than a jail sentence.
More Good News Coming:
- Mexico City patrol cars are marked with a specific Delegacion identification, but shortly with a specific Colonia neighborhood identification as well. It will give a new meaning to the work of "your neighborhood police" and will enhance community bonding with them.
- RADAR is coming to your city freeways to control speeding, particularly during nighttime hours.
- Traffic tickets are being redesigned to facilitate electronic readers and use of more efficient databases to control traffic infractions.
- The Secretariat of Public Safety is establishing a new web site to facilitate citizen participation: www.ssp.df.gob.mx
The Bad News:
- According to the business chamber COPARMEX press release of 21 January 2003, their estimate of the number of kidnaps for ransom nationwide declined, from 734 in 2001 to 642 in 2002 - an improvement, but still an egregious situation.
- According to the Mexican insurance industry association AMIS press release of 23 January 2003, vehicle theft increased slightly in 2003:
- 2002 - 44,939
- 2001 - 44,778
- 2000 - 46,433
Where?
- Federal District - 20,838
- State of Mexico - 9,321
- Jalisco - 4,722
Most Stolen Makes:
- VW - 13,207
- Nissan - 10,021
- General Motors - 5,923
- Ford - 5,760
- Chrysler - 5,499
Percent Stolen via Carjackings? 60%! And ironically those vehicles with security alarm systems are more likely to be carjacked!
- According to the Mexican chain store association ANTAD, member companies lost over $3.5 billion pesos in 2002 to internal petty theft and shoplifting, representing 1.5% of total sales. These figures represent a 6% increase over 2001 and reflect a continuing upward trend. (Reforma 28 January 2003).
- According to the City Attorney General:
- An average of four bank or ATM clients were robbed every day in the city last year.
- Most robberies occurred coinciding with paydays in mid-month and at the end of the month, and between the hours of 10am and 1pm.
- Most occurred in areas of major concentrations of commercial banks, particularly in Cuauhtemoc, Miguel Hidalgo, Benito Juarez delegations.
Thanks for your attention, and please continue to send us your comments, critiques and experiences to improve and enrich subsequent issues to:
Media Contact
Jillian Bernaiche
(602) 889 - 1626