kre risk alert from liu and red24: june-july 2013

9

Click here to load reader

Upload: lynn-newton

Post on 29-May-2015

53 views

Category:

Business


4 download

DESCRIPTION

Welcome to the June-July 2013 edition of the red24 Kidnap, Ransom and Extortion (KRE) Global Monitor. This bi-monthly publication, authored by the KRE experts at red24, provides Liberty International Underwriters’ (LIU) clients with important information on emerging and current KRE trends and incidents.

TRANSCRIPT

Page 1: KRE Risk Alert from LIU and red24: June-July 2013

June - July 2013

LIU Global Monitor - June - July 2013 01

Welcome to the June-July 2013 edition of the red24 Kidnap, Ransom and Extortion (KRE) Global Monitor. This bi-monthly publication, authored by the KRE experts at red24, provides Liberty International Underwriters’ (LIU) clients with important information on emerging and current KRE trends and incidents. In this edition, we focus on the threat of kidnapping in the Sahara-Sahel region. Our incidents snapshot section provides a short analysis of KRE incidents since June 2013, including details of incidents in Mozambique, Afghanistan, Venezuela, Lithuania and China. You will also learn more about the team of KRE experts at red24, who provide crisis management services to LIU clients. Together with LIU and red24 can help ensure your clients are protected before, during and after a crisis. If you have any feedback on the red24 KRE Global Monitor, or if you would like to suggest a specific country, topic or theme for inclusion in a future issue, please do not hesitate to email [email protected].

Kidnapping in the Sahara-Sahel Region

According to reports released on 20 March 2013, a French national who had been kidnapped in Mali’s Mopti region in November 2011 was killed by his captors. Reports of his death have come from regional news sources, citing a commander from al-Qaeda in the Islamic Maghreb (AQIM). According to AQIM, the victim was beheaded on 10 March in response to the French military intervention in Mali. This event is one of multiple KRE incidents to have taken place in the Sahara-Sahel region of Africa in recent years. The region, encompassing (for this assessment) parts of Mauritania, Mali, Niger, Algeria and Libya, is a vast largely lawless area with porous borders in which government control is extremely limited; it has become synonymous with poverty, Islamist extremism, transnational crime, arms and drug smuggling, and KRE. The lack of social services

and employment opportunities has drawn greater numbers of people into the criminal economy as the distinction between insurgent and criminal groups becomes increasingly vague. Since the first KRE incident involving a foreign national was reported, as of January 2012, 53 people have been kidnapped, according to the UN. Since then, the security situation has declined further due to civil war in Libya and a coup in March 2012, when Islamist militants and Tuareg rebels defeated the Malian military and captured the northern half of that country. Given these dynamics, KRE is set to persist in the medium-term.

Perpetrators

The majority of kidnappings involving foreign nationals are perpetrated by Islamist extremist groups. The most prominent of these is AQIM, but also to a lesser degree more recently formed groups such as Movement for Oneness and Jihad in West Africa (MOJWA) and Ansar Dine. Secondary threats emanate from criminal groups, Tuareg militants and Moorish tribesmen. Although the kidnapping activities of AQIM are perceived as a relatively recent phenomenon, its previous incarnation as the Salafist Group for Preaching and Combat (GSPC) engaged in KRE activities throughout the mid-1990s. Although its kidnapping activities have subsequently subsided from its peak from 1993 to 1997, under its new

In this Issue:

Kidnap in Mali KRE Incidents in the Sahara-SahelGlobal Incidents SnapshotMeet the Specialist - HansAbout us – red24 and Liberty International Underwriters

Page 01Page 03Page 04Page 07Page 07

Page 2: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 02

LIU Global Monitor - June - July 2013

banner of AQIM, it has stepped up activities considerably, especially against foreign nationals in Mali, Mauritania and Niger since 2007.

Given AQIM’s limited numbers in the vast area in which it operates (estimated at 300 to 800 in the Sahara-Sahel), pre-operational planning and surveillance are sometimes impractical and costly. It is thus possible that, dependent on motivation and logistical capabilities, AQIM and criminal networks may operate separately from one another or cooperatively, and that a number of initial abductions are carried out by criminal networks who then sell their victims on to AQIM. To highlight this, leaked cables from the US Embassy in Bamako revealed that the group has offered potential kidnappers up to US$100,000 for Western victims.

There is evidence to suggest that government officials, although not involved in the actual abductions themselves, are also involved in KRE activities and may even encourage them. Local officials have on numerous occasions acted as intermediaries in the ransom negotiations, especially since 2008. If a ransom is successfully negotiated and a hostage released, the intermediary will often receive a ‘cut’ of the ransom.

Victims

Unlike other kidnapping hotspots in the world, such as Mexico, Pakistan and Afghanistan, perpetrators focus their efforts mainly on foreign nationals, and Europeans appear to have been particularly targeted in the Sahara-Sahel. Some analysis indicates that French, Spanish, British and Italian nationals are particularly targeted, and this is asserted as being indicative of AQIM’s desire to strike at powers involved in conflicts in Iraq and Afghanistan; however given the vast open territory in which kidnappers are operating, it is more likely their activities are driven by opportunity rather than by specific intelligence regarding their victims’ nationalities.

Foreign nationals who have been abducted include diplomats and employees of oil, gas and mining companies, as well as employees in the NGO sector. The risk to such persons (with the exception of diplomats) is further heightened by the often remote and insecure locations in which they are based, such as mining compounds and refugee camps. The threat also extends to more secure urban areas as well. For example, in June 2009, a US national was shot and killed during an attempted abduction in the Laksar district of Mauritania’s capital, Nouakchott. In January 2011, two French nationals, an aid worker and his friend, were abducted from a busy restaurant in Niger’s capital, Niamey.

Tourists are also targeted, as they usually have no or minimal security protocols in place. This, combined with the perception that they are wealthy, makes them attractive targets. Irrespective of the relative issues of such kidnapping operations, even foreign nationals with security measures in place still face a risk of being targeted.

Some analysts have suggested that kidnappers focused on nationals of states that were known to be willing to negotiate ransom payments. Given that most European countries and the US have publically stated that they will not pay any ransoms to secure the release of KRE victims, it seems counterintuitive that nationals of these countries are disproportionately targeted. However, as will be detailed below, there is ample evidence to suggest that at least some of these states indirectly make or facilitate substantial ransom payments.

Ransom demands and payments

Ransom demands are believed to be considerably higher than those in other geographical regions. However, these figures may not accurately reflect the overall demand and payment environment due to the unwillingness of some individuals to divulge ransom demands. The below figures aim to provide only general guidance. Furthermore, although it is true that a significant proportion of kidnappings are successfully resolved through the payment of a ransom, the true ratio of kidnappings to successful outcomes is almost impossible to ascertain; this is due to the unwillingness of many locals to report abductions to the authorities.

Available information pertaining to the income derived by AQIM, MUJAO, and associated mediators from kidnappings suggests the likely total to be between US$40 million to US$65 million since 2008; this is believed to have been paid mostly by Western governments. By some estimates, these groups have earned as much as US$90 million during the same period. Other analysis suggests that on average AQIM earned US$5.4 million per hostage released in 2011. Despite this, public information indicates that the majority of ransoms paid were between US$1.5 to US$4 million per hostage, although initial ransom demands usually far exceed this. MOJWA demanded a US$37 million ransom for the release of an Italian and two Spanish nationals following their abduction from a Polisario refugee camp in south western Algeria in October 2011; although

Page 3: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 03

LIU Global Monitor - June - July 2013

the final amount is disputed, some reports indicate that a combined ransom of US$15 million to US$19.4 million was paid to secure their release in July 2012.

Some other ransom amounts paid to secure the release of victims include:

• One Swiss national: US$1.3 million (Mali – 2012)• Two Austrian nationals: US$4 million (Tunisia – 2008)• Two Canadian nationals: Disputed US$6.6 million to US$1.1 million (Niger – 2008)• Ten German nationals: US$6.6 million (Algeria/Mali – 2003)

Incident durations and outcomes

Although political demands were at times voiced by AQIM, MOJWA and Ansar Dine in messages posted on jihadist websites, available evidence suggests that all releases of Western nationals were secured through ransom payments. However, given this, the execution of a hostage is more likely to be driven by a realisation that either no ransom or substantive concession would be made, or by a desire to demonstrate the kidnapper’s resolve for future abductions. In a number of instances, attempted rescues or the refusal to pay ransoms have led to the death of hostages.

In some instances, the payment of a ransom has not secured the release of hostages. According to the former US ambassador to Mali, France paid US$17 million to the Malian government to be used for the release of five French hostages captured in Niger in September 2010 and subsequently moved to Mali. Although the majority of this money found its way to the kidnappers, four of the French hostages remain in captivity. The vast and isolated territory, almost total lack of central government control, and porous borders provide ample cover in which AQIM, MOJWA, rebel groups and their criminal affiliates may hold victims for extended periods of time with near-impunity. red24 is not aware of any victims being killed by their captors following ransom payment, although several victims have been badly beaten or drugged.

Outlook

Islamist militants, rebel groups and their criminal affiliates will continue to pose a credible threat to both foreign personnel and interests in the Sahara-Sahel. The threat posed by such entities will likely translate into more opportunistic and less sophisticated attacks; these will likely take the form of highway ambushes and/or the infiltration of unsecured residential compounds located within surrounding urban centres. Islamist militarism has been a protracted feature of the Sahara-Sahel’s security environment. Variables such as the ongoing counterinsurgency operations in Mali, persistent insecurity in Libya and the region’s geography make military and policing operations extremely difficult. These are all factors which will likely continue to see the region remain a high-risk operating environment for the short- to medium-term.

KRE incidents in the Sahara-Sahel region since 2010

This list is not exhaustive but merely serves to illustrate the threat environment:

2013

• 19 February (Cameroon): A family of seven French nationals was abducted near the Waza National Park, located in the Far North region, and subsequently released on 18 April.

• 16 January (Algeria): Militants associated with the al-Muaqioon Biddam Brigade attacked the Tigantourine gas facility near In Amenas, taking hundreds of locals and foreign nationals captive. On 19 January, Algerian forces launched a security operation at the site, resulting in the death of at least 39 foreign national hostages and 29 militants. A total of 685 locals and 107 foreign nationals were rescued.

2012

• 21 November (Mali): A French national was kidnapped in the Diema area of Mali’s western Kayes region. The victim was tracked by Mauritania-based militants and abducted as he crossed over the border between the two countries.

• 14 October (Mali): Five Nigerien nationals and one Chadian national were seized in the southern Maradi region. The Niger nationals were released on 14 October near the Niger-Mali border, while the Chadian national was killed by his captors.

• 11 October (Algeria): One Italian and two Spanish aid-workers were kidnapped from a refugee camp near the town of Tindouf; they were later released in July 2012 following a ransom payment.

Page 4: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 04

LIU Global Monitor - June - July 2013

• 2 September (Mali): Members of MOJWA executed an Algerian diplomat, Tahar Touati, whom they had kidnapped five months earlier along with six other Algerian diplomats. The hostage was executed after the Algerian government failed to accede to a demand by MUJAO to pay a US$19.9 million ransom and release of three of its members who had been arrested in southern Algeria.

• 15 April (Mali): A Swiss national was kidnapped from her residence in the Abaradjou neighbourhood in the northern town of Timbuktu. She was released unharmed on 24 April.

2011

• 25 November (Mali): A Dutch, Swedish and dual South African-British foreign national were kidnapped by unidentified gunmen in Timbuktu. The victims involved were tourists and were abducted from the Amanar Restaurant in the north of the city; a fourth foreign national, a German, was killed by the abductors while trying to resist the kidnapping.

• 2 February (Algeria): An Italian national was abducted from Djanet in the Illizi province; she was subsequently released in April 2012. It is unknown if a ransom was paid for the release.

• 7 January (Niger): Two French aid workers were abducted from a restaurant in the capital, Niamey. They were shot and killed by their captors the next day after they came under pressure from Nigerien and French security forces.

2010

• 16 September (Niger): Five French nationals, one Madagascan and a Togolese national were kidnapped from the uranium-mining town of Arlit. It has been asserted that the French government paid US$17 million for the French nationals’ release.

• 19 April (Niger): A French national was kidnapped in the northern regions and then moved to Mali, where he was killed by his captors on 25 July.

Global Incidents Snapshot

MENA and Africa Mozambique, 16 July: A Portuguese businessperson was kidnapped by approximately six unidentified persons in Mozambique’s capital, Maputo. The victim was seized from his workplace in the downtown area of the city. The Portuguese diplomatic representation in Mozambique has confirmed the kidnapping. Local authorities have not indicated if a ransom demand has been received. The abduction of a Portuguese national is unusual but does not necessarily indicate the beginning of a new trend of kidnappings.

Nigeria, 9 July: A Lebanese national was kidnapped by gunmen in Benin City, capital of Edo state. According to reports, the foreign national, who was in the country for business purposes, was ambushed by armed assailants while travelling in a convoy. Gunmen opened fire on the vehicles and wounded three security force members. Although no group claimed responsibility for the kidnapping, authorities have blamed criminal groups for the incident. Furthermore, it remains unclear as to whether a ransom demand was made.

Nigeria, 24 June: Seven members of a suspected KRE syndicate were killed and two more arrested during a security operation in Agbara, in Ogun state. The syndicate is believed to have been responsible for the abduction of an Indian national, as well as locals, including the Chairman of Ejigbo Local Council Development Area (who was released following a US$100,000 ransom payment), and a federal high court judge, among others. The syndicate was headed by a Nigerian-born Chinese national and conducted the majority of its activities in neighbouring Lagos state before transferring victims to Agbara.

Senegal, 12 July: Authorities confirmed that nine hostages, kidnapped in the southern Casamance region on 3 May, were released near the border between Senegal and Guinea-Bissau. The hostages were part of a group of 12 Senegalese nationals working to clear mines in the region. The workers were kidnapped in an armed attack by the Movement of Democratic Forces of Casamance (MFDC) rebel group, outside the village of Kaylou, located approximately 30km from Ziguinchor, the region’s largest city. Three female hostages who were a part of the group were released on 27 May on ‘humanitarian grounds’; however, the terms under which the remaining nine hostages were released remain unclear.

Syria, 14 July: The French government stated on 14 July that it is working to secure the release of two French nationals who were kidnapped in Aleppo governorate in June. The victims, both journalists, were abducted while passing through a

Page 5: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 05

LIU Global Monitor - June - July 2013

checkpoint en route to the city of Aleppo. Their driver and local contact were also reportedly kidnapped. The identity of the kidnappers is unknown and further details regarding a possible ransom payment have not been released.

Yemen, 21 July: An Iranian national was kidnapped by unidentified gunmen in Yemen’s capital, Sanaa, on 21 July. The victim is an employee of the Iranian Embassy in Sanaa. He was forced out of his vehicle in the diplomatic quarter of the city, an area traditionally considered as more secure due to the large security force contingent present there. Local authorities have not indicated if a ransom demand has been made. No group has claimed responsibility for the abduction.

Yemen, 10 June: Local media citing police sources have stated that a Dutch couple who went missing in the capital, Sanaa, during the week of 10 June is likely to have been kidnapped. The victims both worked at the Lebanese International University in Sanaa. The Dutch woman also worked as a journalist for a radio station in the Netherlands. Further details regarding the case are currently unavailable, and authorities have not indicated if a ransom demand has been made.

Asia

Afghanistan, 3 July: Three locals were kidnapped from the Guzara district of Herat province. The victims, employees of the Norwegian Rescue Council, are believed to have been abducted by militants either part of or affiliated with the Taleban. Despite being a relatively insurgency-free province by Afghan standards, this incident demonstrates the countrywide threat of KRE. Local authorities have not indicated if a ransom demand has been made.

Afghanistan, 11 June: Media reports indicate that a Kyrgyz national, belonging to a group of hostages kidnapped by Taleban militants in Afghanistan’s eastern Logar province on 22 April, was released unharmed. The group, comprising the Kyrgyz national as well as eight Turkish nationals, a Russian and an Afghan national, were kidnapped when their helicopter was forced to make an emergency landing within the province’s Azr district. The eight Turkish hostages were released in two groups of four on 12 and 14 May respectively. The Russian and Afghan nationals are still being held by the militants; details about their detention or the possibility of their release are currently unavailable. The hostages that have thus far been released were reportedly freed by Taleban militants as a gesture of good will to fellow Muslims.

China, 27 June: A US national held against his will by workers inside his company’s factory in Huairou, north of Beijing, was allowed to leave after being held there since 20 June due to a dispute between himself and factory employees. The victim, co-owner of Florida-based Specialty Medical Supplies, travelled to China on 18 June. The businessman was held hostage in the factory for six days by workers demanding alleged owed salaries as well as severance pay for those being laid off. He and a union representative reached an agreement over employee grievances. Details of the agreement were not specified, although it is believed he paid money to employees who had already received severance packages. The perception of workers in general is that they do not have effective legal remedies to protect their interests, and find that taking action into their own hands gets near-immediate results.

India, 3 June: Two British nationals of Sri Lankan descent were rescued unharmed by police on 1 June near Mandarakuppam, located approximately 150km south of Chennai, capital of Tamil Nadu state, following their abduction on 29 May. Seven Indian nationals and two Sri Lankan nationals were arrested in India during the rescue. The victims, a husband and wife who are long-time residents in the UK’s capital London, were abducted upon their arrival at Chennai International Airport. It is believed they climbed into a vehicle which they thought had been sent by their hotel to collect them. Indian police were alerted to the incident after the abductees’ daughter, who lives in London, received a call from the kidnappers demanding a US$460,000 ransom. Following this, security forces carried out a security operation and arrested the perpetrators; it is not known how Indian security forces managed to locate the kidnappers. However, it has been established that one of those involved in the kidnapping was an employee at the victims’ business in London.

Indonesia, 13 June: A British national, kidnapped in Aceh province, was found unharmed. The 61-year-old oil engineer was working for a local mining firm, PT Medco E&P Malaka, when he was seized from his vehicle by a small group of armed assailants at around midday on 11 June. He had been travelling in the Peureulak area of East Aceh Regency, on his way home from a work site in the Blang Simpo area. A ransom was reportedly demanded for the foreign national’s release; however, official reports indicate that no money was paid to his captors or any other related party. The identity of the group or individuals responsible for the abduction, as well as their motivation, remains unknown.

Pakistan, 1 July: According to the Citizen Police Liaison Committee (CPLC), a body set up to help police by providing crime statistics and technical support, reported cases of extortion have risen sharply in the country’s commercial hub of Karachi. Statistics provided by the CPLC show that 630 extortion attempts were reported between January and mid-June of 2013, in comparison to 589 reported cases during the whole of 2012. However, the actual number of extortion attempts is assessed as being considerably higher as the number of reported incidents is only indicative of those who refused pay the extortion demand.

Papua New Guinea, 7 June: A Chinese national was kidnapped by a group of eight armed assailants in Madang, capital of the eponymous province. The victim, CEO of Ramu NiCo Management Ltd, was stopped while driving along Kalibobo Beach Road at approximately 20:00 local time. He was tied up, driven out of town and repeatedly beaten and stabbed

Page 6: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 06

LIU Global Monitor - June - July 2013

by the assailants, who demanded an immediate ransom payment of K400,000 (US$ 186,000) from him for his release. Although the exact circumstances remain unclear, he managed to escape several hours later without paying any ransom. He was found by a group of locals, who took him to a hospital, where was treated for numerous stab wounds. No arrests have been made in connection with the incident. In recent weeks, in response to a perceived increase in kidnapping activities, a new law has been passed in the legislature that provides for sentences of up to 50 years for kidnapping, and life imprisonment for kidnapping for ransom.

Solomon Islands, 7 June: Seven locals have been arrested in connection with the attempted kidnapping of a Chinese national near the capital, Honiara. The victim boarded a bus in the Ranadi area, and was headed towards Point Cruz. Once on-board, the victim was detained on the bus against his will by a group of locals armed with screwdrivers. He was then instructed to phone family and request that money be paid for his release. However, before any money was exchanged, the bus developed a puncture, and when it stopped the victim was able to escape. It is believed he suffered minor injuries during the incident.

Thailand, 24 June: Three people were arrested on suspicion of kidnapping an Estonian national in Pattaya. The suspects, Russian, Thai and Peruvian nationals, are believed to have abducted the victim over non-payment for an apartment. The exact involvement of the suspects in relation to the apartment remains unclear. The suspects were arrested several hours after the abduction, while driving around with the victim. The victim was beaten and tortured. Police also recovered hammers, tasers and drugs from the vehicle. It has subsequently emerged that some of the perpetrators were part of a local mafia.

Americas

Colombia, 12 July: Authorities in Colombia confirmed that a Spanish national, who went missing on 5 June, was kidnapped. The victim, a tourist, was kidnapped in the Santander de Quilichao municipality in the Cauca department. Unconfirmed reports indicate that the kidnapping was orchestrated by a criminal organisation (also known as a bacrim), Los Rastrojos, with the support of the Revolutionary Armed Forces of Colombia (FARC). A ransom demand of 1 million euros was made for the release of the victim.

Mexico, July: A Canadian national, missing since mid-March 2013, is believed to have been kidnapped. The victim went missing from the town of Nuevo Laredo, near the US border on 14 March. The vehicle in which he was travelling in has since been recovered, and local police have detained one suspect in connection with the victim’s disappearance. However, no charges have been filed and the police progress on this case remains unclear. The family of the victim has stated that they have not received any ransom demand thus far.

Venezuela, 23 June: The Criminal Investigation Corps (Cicpc) released a report indicating that 212 kidnappings have taken place countrywide from January until June 2013. According to the report, the number of kidnappings has dropped in Miranda, Carabobo and Aragua states, as well as the Distrito Capital; however, statistics for 2012 were not available so the degree to which reported KRE incidents have dropped remains unclear.

Venezuela, 19 June: A Portuguese national, who was kidnapped in July 2012 in the town of Cagua in Aragua state, was freed during a security force operation. Having been abducted by a group of armed men after leaving the store he owned, the victim was held captive near the town of Las Trincheras in Carabobo state, where he was found unharmed. A ransom payment for his release had been demanded by his captors, who are believed to be members of a local criminal organisation known as Los Caliches del Centro. One arrest has been made.

Europe and the FSU

Italy, 15 July: Three people were arrested in connection with a plan to kidnap a wealthy local businessman in February 2012. Although details remain unclear, it is believed that they were planning to kidnap the owner of a cheese making business from his hometown of Cagliari and demand 5 million euro (US$6.5 million) ransom from his family for his release.

Lithuania, 21 June: Four locals and one Norwegian national were sentenced to prison terms of between five and seven years for their role in the kidnapping of a Norwegian national. The incident occurred in the capital Vilnius in October 2011. Although the exact circumstances surrounding the abduction remain unclear, the victim was held in an apartment on Gediminas Avenue in Vilnius, and a ransom of 250,000 kroner (US$42,000) was demanded. The perpetrators were captured when anti-terrorism police officers freed the victim.

Russia, July: Reports indicate that Russian immigration officials are extorting foreign nationals at points of entry into the country. It is believed that nationals from European countries and former Soviet bloc are having some of their documents, particularly those allowing them to work in Russia, withheld by the officials until a 10,000 rouble (US$300) ‘fine’ is paid.

Page 7: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 07

LIU Global Monitor - June - July 2013

Piracy

Gulf of Guinea, 6 June: Nigeria-based pirates have released five Pakistani sailors who were kidnapped on 25 May, when their vessel, the Nigerian-flagged MT Matrix, was attacked in waters off the coastline of Nigeria’s Bayelsa state. The circumstances surrounding the release of the sailors remain unclear. It is not clear as to whether a ransom was paid to secure their release.

Gabon, 22 July: Authorities confirmed on 22 July that the Turkish-owned MT Cotton cargo vessel, along with its 24 foreign crewmen, was released in waters off the coast of Gabon. The vessel was boarded and seized by a group of pirates on 16 July while docked in waters off the coast of Port Gentil. The circumstances surrounding the release of the vessel remain unclear at this time.

Somalia, 7 July: At least four foreign nationals and seven Somali pirates died when their vessel, MV Albedo, sank off the town of Hobyo. Another 14 people remain missing. The Malaysian-owned vessel and its 23 crew members, including Pakistani, Bangladeshi, Sri Lankan and Iranian nationals, were reportedly hijacked off the coast of Somalia in November 2010 and were being held for ransom. Details over what may have caused the vessel to sink currently remain unclear; however, the vessel had reportedly been gradually sinking for over a week. The nationality of the four deceased, as well as the 14 missing crew members, is currently unavailable. In addition, unconfirmed reports indicate that of the remaining crew members, four had previously been taken off the vessel while one had reportedly been killed.

Somalia: According the International Maritime Bureau (IMB) as of 30 June, Somali pirates were holding 57 crewmembers hostage on four captured vessels. Another 11 crewmembers are being held in unknown locations on shore. The IMB has also stated that eight piracy incidents, including two successful hijackings, in which 34 sailors were taken hostage, have occurred in 2013 up until 30 June, a considerable decline in comparison to recent years.

Togo, 16 July: Authorities have confirmed that the Marshall Islands-owned MT Ocean Centurion commercial vessel was raided during an attack by suspected pirates in waters off Togo’s capital, Lome. Although two crew members were abducted in the attack, they have subsequently been released; details on their nationalities have not been released as yet. Three additional crew members were injured in the attack. The suspected pirates did not capture the vessel during the attack.

About us

red24’s Special Risks advice, assistance and response services are retained by a number of insurance companies in the UK and USA. In the event of a kidnap, hijack, extortion or wrongful detention incident covered by one of our partners, Insureds will receive expert practical advice and assistance from red24, who are always on call to provide whatever help the Insured requires. red24 not only help Insureds achieve the possible release of the insured person, we also provide risk management and pre- and post-loss consultancy. As a policyholder, Insureds will have access to red24 24 hours a day, 7 days a week and will be issued with a number to call in the event of an emergency.

red24

red24 is a leading crisis management specialist. Founded in 2000, red24 provides security information, advice, consultancy and assistance services to corporate entities, private clients and insurance providers across the world. Our team has an unparalleled reputation for providing a comprehensive range of risk management solutions, both to individuals wishing to protect themselves and their families and to companies wanting to minimise the risks to theirpersonnel, operations, reputation and profitability. Our experienced, multi-disciplinary team of experts is ready to help you, your company and your employees 24 hours a day, seven days a week. red24 has operating experience in over 120 countries worldwide and the capability to physically support any organisation across the globe within 24 hours.

Meet the Specialist: Hans

A former member of the National Police Force, Hans spent twelve years in the Serious Crime Prevention Unit, specialising in anti-terrorist prevention. He was involved in the liberation of kidnap victims (including the Heineken case) and the apprehension of IRA-terrorists during this time. He was also involved in the close protection of executives and high ranking government officials and diplomats. Hans has many years of experience in the area of Risk & Crisis Management and is a former consultant for companies such as Corporate Risk International and Kroll International. During these years Hans has handled domestic and international cases in the field of kidnap, hostage taking, extortion, labour unrest and personal threats.

Page 8: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 08

LIU Global Monitor - June - July 2013

Our Special Risks team is led by Jack Cloonan, formerly of Clayton Consultants, and comprises a high-quality team of highly-skilled professionals. Selected for their experience in crisis management, KRE response and negotiation, security management and implementation of risk mitigation strategies, team members have been drawn from various fields, including the military, law enforcement and the intelligence services, and each team member has approximately 15 years of experience in crisis handling.

The red24 Special Risks team is supported by red24’s 24/7 Crisis Response Management (CRM) Centre and its multilingual team of analysts and security experts.

Liberty International Underwriters (LIU)

Established in 1999, Liberty International Underwriters(www.libertyiu.com) provides a diverse range of specialty products distributed exclusively through the independent broker network. The LIU staff of over 1,000 professionals offers core products in marine, aviation, energy, engineering, global crisis management, property, casualty, professional liability, directors & officers, surety bonds, legal expenses and trade credit insurance. Worldwide offices include North America, Europe and Asia Pacific.

As a leading crisis management underwriter, LIU prides itself on providing immediate protection and exceptional service. We understand that taking risks is part of doing business but that in today’s rapidly changing global market, your clients face ever-increasing perils that threaten their safety and security, as well as their bottom line. With more than 30 years’ experience in the industry, our Global Crisis Management underwriting team - including in-house claims and loss prevention experts — will help you provide the specialized loss control engineering and loss mitigation services necessary to protect your clients’ employees, operations and reputation before, during and after a crisis. In fact, unique to LIU is its partnership with multiple crisis management service groups that will provide LIU clients with local experts throughout the U.S., Europe, Asia and Latin America.

When your clients work or travel internationally, adequate protection must go with them. We connect your clients to industry leading resources to help them operate safely while outside of the country. And we protect them and their business if the unthinkable occurs — kidnap, property damage, extortion, hijack or wrongful detention. We provide coverage for such considerations as ransom monies, loss of ransom monies during in-transit delivery, expenses associated with kidnap and extortion demands, consultant costs and judgment, settlements and defense costs.

Capacity Available: $25,000,000

Target Markets: • Global corporations with foreign assets• Businesses with traveling employees• Families

Territory: Worldwide

Page 9: KRE Risk Alert from LIU and red24: June-July 2013

LIU Global Monitor - June - July 2013 09

LIU Global Monitor - June - July 2013

Contact Details

Please contact any of our offices or visit our website (www.LIU-USA.com) to learn more about our products and services:

Louis [email protected]

New York55 Water Street, 18th FlNew York, NY 10041

Jane [email protected]

Jane [email protected]

Phil [email protected]

Dallas8350 North Central Expressway,Suite 850Dallas, TX 75206

Thomas [email protected]

Kim (Matous) [email protected]

Jan [email protected]

Karen [email protected]

San Francisco353 Sacramento StreetSuite 600San Francisco, CA 94111

Tamra [email protected]

Toronto181 Bay Street, Suite 1000Brookfield Place Bay Wellington TowerToronto, ONCanada M5J 2T3

Angela [email protected]

London3rd Floor 2 Minster Court Mincing LaneLondon EC3R 7YE

Julie Ross0207 256 [email protected]

Brenda Whelan0207 256 [email protected]

Lee Niblett0207 860 [email protected]

Brendan Carberry0207 256 [email protected]

SydneyLevel 27 Gateway Building1 Macquarie Place SydneyNSW Australia 2000

Michael Lincoln+61 2 8298 5958 [email protected]

Jonathan Marsh+61 2 8298 [email protected]

MelbourneLevel 49 Rialto South Tower525 Collins Street MelbourneVIC Australia 3000

Donna Niblock+61 3 9619 9832 [email protected]

DubaiOffice 8 Floor 4Gate Village Building 5DIFC Dubai

Kit Welsh+971 (0) 4 302 [email protected]