Paraguay: A Complex Landscape of Organized Crime

Criminal Actors

The report on Paraguay highlights the significant presence of organized crime groups operating within the country. These include:

Family-Based Organizations

Clan Rotela: This family-based organization holds a substantial share of the drug trade in Paraguay.
Foreign Involvement: The PCC and CV from Brazil extensively operate across Paraguay, engaging in various markets such as cocaine, marijuana, arms trafficking, and cigarette contraband.

International Criminal Networks

Chinese Mafia-Like Organizations: These groups are involved in people-trafficking, smuggling, and money laundering.

Leadership and Governance

The report emphasizes the critical role of state officials in enabling organized crime. This is evident through their involvement in all criminal markets, including contraband and drug trafficking. Furthermore, corruption remains widespread despite efforts to improve transparency and accountability.

Cooperation Agreements

Paraguay has signed cooperation agreements with neighboring countries to combat organized crime in the tri-border region.

Criminal Justice and Security

The implementation of laws aimed at tackling organized crime is hindered by weak institutions and a corrupt judiciary. Corruption within law-enforcement agencies compromises government strategies and security operations.

Prison Conditions

Paraguay’s overcrowded and abusive prisons have facilitated the development of crime organizations.

Economic and Financial Environment

Paraguay is assessed as having one of the highest risks of money laundering and terrorist financing in the region. The government has made positive steps to improve risk-management systems for banks, financial institutions, and insurance companies.

Corruption and Regulatory Capacity

Deep-seated corruption and high-profile scandals hinder effective economic regulatory capacity.

Paraguay has a witness protection law but faces challenges in implementation, particularly around cases involving criminal organizations. The country lacks efficient mechanisms to support victims of slavery. Civil society organizations are active in Paraguay but face harassment and attacks.