draining development.pdf - Khazar University

194 Draining Development?Table 6.1. The Financial Flows Generated by Human TraffickingProvider of the money Recipient Service Frequency Income LaunderingSource countryIllegal migrants Border patrol Visas, One time Profit NopassportsCriminal organizations Government officialsand bureaucratsFacilitate thetrafficRepeated Profit Depends onthe scaleBorderIllegal migrants Local police Passage One time Profit NoIllegal migrants Coyotes Passage One time Profit NoIllegal migrants Criminal organization Passage One time Profit, Yesless costHost countryIllegal migrants Employers Free service Repeated Value No(no wages)Illegal migrants Service providers(flesh-peddlers, housing,ProtectionservicesRepeated Profit,less costDepends onthe scaleadministrative papers)Illegal migrants Government officials Protection One time Profit NoService providers Government officials Protection Repeated Profit Depends onthe scaleCriminal organizations Government officials Protection Repeated Profit Depends onthe scaleClients and illegalemployersSource: Author compilation.Sex workers, otherworkersServices,workforceRepeatedProfit,less costNoIn the table, we first indicate the location of the monetary flow. It canbe located in three places: the source country, the border, and the hostcountry. Sometimes, financial flows may transit through one or morethird countries. Most of the time, however, this occurs during the launderingprocess and does not appear in the table. The provider and therecipient indicate who is paying and who is receiving the money. Theservice gives an indication about what is compensated by the monetaryflow. Frequency denotes whether the transaction takes place repeatedlyor only once. Income describes whether the flow of money is pure profitor whether the recipient must deduct costs to calculate profit.The flows of money to the source country, whether originating thereor returning from elsewhere, are mainly generated by corruption.