Malaysia denies it's home to Asia Pharma.

Asia Pharma Ltd, said to be a Kuala Lumpur-based pharmaceutical firm run by a suspected steroid trafficker from Slovenia with a worldwide operation, has an online presence here but is not registered nor authorised to trade in drugs in Malaysia, the Ministry of Health has said. Mihael Karner was last week reported by the Wall Street Journal (WSJ) to be behind an umbrella company advertising sales of anabolic steroids in Malaysia called Asia Pharma, and was among six individuals and groups listed by US President Barack Obama as a significant foreign drug trafficker under its Kingpin Act. “Investigation conducted locally indicates that Asia Pharma does not have a physical address in Malaysia and the listed local phone number is not in service,” Mohd Hatta Ahmad, who is director of enforcement in the Health Ministry’s pharmaceutical services division, said in an email reply to The Malaysian Insider’s inquiry. “Also the steroids were not brought into nor exported from Malaysia [sic] soil. It is probable that the said company reside [sic] its server locally without being legally nor physically registered in Malaysia,” he added. A check on Google by The Malaysian Insider shortly after the WSJ reported Obama’s sanctions showed Asia Pharma to be a limited liability pharmaceutical company in Kuala Lumpur with a local phone and fax number but did not list a physical or mailing address. On its home page, the company said its main goal was the manufacture and sale of affordable yet high-quality generic pharmaceutical products to developing countries that cannot afford the expensive proprietary drugs. Most of its 56-listed products dealt with male and female hormone treatment. It claimed the mission of “Asia Pharma Ltd is to improve the efficiency of healthcare systems worldwide by providing them more drugs of the same quality for the same money.” Mohd Hatta said the Health Ministry’s checks on Asia Pharma also turned up empty as it was not registered as a pharmaceutical company with the Drug Control Authority, which is under the Control of Drugs and Cosmetics Regulations 1984 (CDCR). “This company is therefore not authorised to trade in pharmaceutical products,” he said. The trade of steroids is regulated in Malaysia under the Poisons Act 1952, Mohd Hatta said. He explained that drugs such as steroids, which affect both male and female hormones, are classified as poison and therefore all sale or purchase requires a government licence, but stressed that “online trade of poisons including steroids is prohibited in Malaysia.” He also said the Health Ministry will be working with other government agencies to clamp down on Asia Pharma if there was evidence to show the company had used a Malaysian server. Mohd Hatta said those convicted of violating the CDCR can be sentenced to a maximum fine of RM25,000 or three years’ jail for the first offence. Those convicted of subsequent offences under the law face up to five years’ imprisonment or double the fine. Those found guilty of trading in poisons, like steroids, without a licence, can be sentenced to RM5,000 or two years behind bars, he added. The WSJ had reported that Karner, his wife and brother were charged in a Massachusetts federal court in 2010 on three counts of money-laundering conspiracy, and importing and distributing steroids. Karner was reported to have since fled back to his native Slovenia from where he is continuing his operations despite the US authorities’ actions, the daily cited an unnamed US Treasury official saying. In calling for sanctions, Obama was reported to have invoked the Kingpin Statute, properly called the Continuing Criminal Enterprise (CCE) Statute, a US federal law aimed to dismantle criminal narcotics enterprises that function like legitimate businesses. The WSJ reported Obama had imposed sanctions against six individuals and groups, including Karner, an alleged anabolic steroids dealer. According to the international business news and current affairs daily, Karner heads an international organisation that sells anabolic steroids on the Internet and has created shell companies to hide the origin of the profits. An anabolic steroid is known as a performance-booster and consumed for cosmetic purposes but which can severely damage a person’s health in the long run. Bukit Aman is also investigating Asia Pharma but its initial findings have led it to a wall, according to federal Narcotics Criminal Investigation Department deputy director Datuk Haris Wong Abdullah. Contacted yesterday, he told The Malaysian Insider the police had in hand the original source of information regarding the allegation but said the reports linking Malaysia to a global anabolic steroid trafficking ring run by Karner were incorrect. “I’ve got the text from the original source and who issued it... it is not correct what was reported. “There was nothing about the drug. And we are investigating the company,” he said of Asia Pharma when contacted, adding: “It does not exist, only a virtual address.” Haris said as far as the police were concerned, there is no steroid trafficking operation in the country, but added that investigations were ongoing. Asked if the police would speak to the WSJ about its report, he asked back: “Why should we?”

Asia Pharma's owner back in the news.

President Barack Obama sent a letter to Congress that named six individuals and groups, including an alleged anabolic steroid dealer, under Kingpin Act sanctions. The letter merely names the people designated for sanctions, but an email on Friday from a Treasury spokesman explained why each person or group received the sanctions. Mihael Karner of Slovenia directs a worldwide steroid trafficking organization, according to the Treasury spokesman. In the past 10 years, Karner, relatives and associates all sold steroids via the Internet around the world, and created shell companies to hide the origin of the profits. Karner, his wife and his brother were indicted in Massachusetts federal court in 2010 on three counts of money laundering conspiracy, and importing and distributing steroids. He and his wife were arrested in Austria in December 2011. While fighting extradition, they were released on bail in April 2012, and then fled to their native Slovenia, which has no extradition treaty with the U.S., the spokesman said. The next month, he was declared a fugitive by the U.S. Justice Department, and by August, Austria issued arrest warrants for them both. Treasury’s spokesman said that though his trafficking organization has been disrupted, Karner continues to operate from Slovenia. The steroids are made in India and Greece, the spokesman said, and they’re shipped to customers in Eastern Europe and the U.S. Hundreds of websites advertising the steroids are managed in Malaysia under his umbrella company, which is called Asia Pharma. "Dear Mr. Chairman: (Madam Chairman:) (Dear Representative:) (Dear Senator:) (Dear Mr. Vice Chairman:) This report to the Congress, under section 804(a) of the Foreign Narcotics Kingpin Designation Act, 21 U.S.C. 1903(b)(1) (the "Kingpin Act"), transmits my designations of the following six foreign individuals and groups as appropriate for sanctions under the Kingpin Act and reports my direction of sanctions against them under the Act: Mihael Karner (Slovenia) Haji Khotwal Noorzai (Afghanistan) Luis Fernando Sanchez Arellano (Mexico) Los Caballeros Templarios (Mexico) Los Urabeños (Colombia) Los Cachiros (Honduras) Sincerely, BARACK OBAMA"

Domestic research chemical capsule maker busted for identity theft.

The story that John Ryall offered about the $14,000 cash and eight credit cards in his hotel room, and the plastic bags filled with chemicals in his sports utility vehicle sounded hard to believe to police. His grandma gave him the money to start a chemical research company, Ryall told Bensalem police earlier this month after they showed up at a Route 1 hotel room where he was staying with a woman whom police say had an outstanding arrest warrant. The 2 kilograms of white powder and nearly 250 gel capsules in his SUV were used to make drugs to treat erectile dysfunction and an anti-estrogen pill, he allegedly told them. The credit and debit cards were given to him by friends, Ryall claimed. Bensalem police say parts of Ryall’s claims were true, but there is far more to the story. Now, Ryall, 34, and Jennifer Claherty, 35, both from Palmyra, Pa., are facing charges of receiving stolen property and multiple counts of identity theft, conspiracy and access device crimes. Police say their investigation began May 3 after a tip that Claherty could be found at the Route 1 motel. She had an active arrest warrant out of Scranton, where she was wanted on charges of receiving stolen property and conspiracy, according to online court records At the motel, police found Claherty and Ryall, as well as the debit and credit cards, which were not in either of their names, $14,016 cash, and 41 unidentified yellow capsules in the room, according to an affidavit of probable cause. Ryall claimed the money was part of a $17,000 lawsuit settlement and the pills were from his chemical research company, police said. After police arrested Claherty on the warrant, they said they found a Social Security card and change of address card in different women’s names in her belongings. The change of address card was in the name of Ryall’s grandmother, Edna Navratil. Later, in a police interview, Ryall changed his story about the money, claiming it was part of a $17,200 gift from Navratil to help start his new chemical research business, according to the affidavit. Ryall also admitted he paid four people $100 apiece to take out credit cards in their names and he used those cards as well as the Social Security card found in Claherty’s belongings, according to the affidavit. And those yellow capsules? Ryall said he made them with chemicals bought from China to produce effects similar to Viagra, and an anti-estrogen used by anabolic steroid users, according to court papers. At first Ryall’s story seemed to check out, police said. Claherty confirmed it, they added. Navratil also confirmed she gave Ryall $15,000 to $20,000, according to police. But as the investigation progressed, the story started disintegrating, police said. They added that the money was likely stolen from a man whom Ryall claimed was a former business partner. That man’s name was on debit and credit cards in the motel room, police added. Police said they also learned that Navratil was arrested April 30 for attempting to pass a fraudulent check for $6,600 from an account listed for a business owned by Ryall’s former partner. She also allegedly passed four other bad checks, totaling more than $31,000, through the same man’s account at other banks. The chemicals that police found in the SUV — Tamoxifen and Tadalafil — are used for treating breast cancer and erectile dysfunction, but both require a doctor’s prescription, and a license to distribute and manufacture, police said. Claherty and Ryall don’t have either, court papers show. Police also discovered that the Social Security card in Claherty’s possession was reported stolen years ago. Ryall was arraigned Wednesday before Bensalem Judge Joseph Falcone on receiving stolen property and multiple counts of identity theft and access device crimes. He was sent to Bucks County prison in lieu of 10 percent of $250,000 bail. Claherty was arraigned earlier this month on similar charges and is free on $50,000 unsecured bail.

Popular anonymous payment company Liberty Reserve busted for money laundering.

The U.S. Secret Service have arrested five individuals and seized multiple bank accounts related to a $6 billion money laundering scheme being described by authorities as “staggering” and the largest ever case of international money-laundering. In a statement, Secret Service officials said authorities in Spain, Costa Rica and New York arrested five people on Friday and seized bank accounts and Internet domains associated with the company Liberty Reserve – a Costa Rica-based website that deals in digital currency and allows transnational online payments and money transfers. Digital currency is a form of online currency made up of transferable units that can be exchanged with cash, and has exploded in popularity in the last decade with the increasing use of Bitcoin, the most widely used form of digital currency. Liberty Reserve’s currency was not connected with Bitcoin. Charging a low one percent fee on transactions, Liberty Reserve allowed users to open accounts using fictitious names, including "Russian Hacker" and "Hacker Account," and to redeem the currency for cash in any part of the world using the third-party exchange companies. Aditya Sood, a computer science doctoral candidate at Michigan State University who has studied the underground economy, described Liberty Reserve as a no-questions-asked alternative to the global banking system, with little more than a valid email needed to open an account and start moving money across borders. "You don't need to provide your full details, or personal information, or things like that," Sood said in a telephone interview with the Associated Press. "There's no way to trace an account. That's the beauty of the system." Arthur Budovsky, the founder of Liberty Reserve, was one of the individuals arrested, while a defendant identified as Budovsky’s partner, Vladimir Kats, was in custody in New York. According to the statement from the Secret Service, Liberty Reserve had approximately one million users worldwide with more than 200,000 users in the United States. Overall, the company processed an estimated 55 million separate financial transactions and is believed to have laundered more than $6 billion in criminal proceeds. "The scope of the defendants' unlawful conduct is staggering," said an indictment unsealed in federal court in Manhattan. The indictment described the network as "one of the principal means by which cyber criminals around the world distribute, store and launder proceeds of their illegal activity ... including credit card fraud, identity theft, investment fraud, computer hacking, child pornography and narcotics trafficking." “The U.S. Secret Service, in coordination with U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) and the Global Illicit Financial Team (GIFT) hosted by IRS-Criminal Investigations (IRS-CI) executed and arrested search warrants in seven countries that also include Spain and the Netherlands. Assets of Liberty Reserve will also be frozen in Hong Kong, Spain, Morocco and China,” the Secret Service statement said. According to the press release, current and former executives of Liberty Reserve have also been charged with violating numerous anti money laundering statutes and operating as illegal money transmitters. Budovsky and Katz have previous convictions on charges related to an unlicensed money-transmitting business, according to court papers. After that case, the pair decided to move their operation to Costa Rica, where Budovsky officially renounced his U.S. citizenship, the papers say. In an online chat captured by law enforcement, Katz admitted Liberty Reserve was "illegal" and noted that authorities in the United States knew it was "a money laundering operation that hackers use." Mitchell Rossetti, whose Houston, Texas-based ePayCards.com was one of several mainstream merchants that accepted the online-only currency, said his business still had about $28,000 tied up in Liberty Reserve accounts. "The irony of this is I went to them because of the security," Rossetti said. "All sales were final."

60 (?) year old personal trainer gets controlled delivery of Chinese steroids.

A Port Reading man was arrested today for conspiring to distribute more than 89,000 units of anabolic steroids in pill and liquid form, according to U.S. Attorney Paul Fishman. Special agents with the Department of Homeland Security arrested Richard Gray, 60, who works as a personal trainer. Gray was arrested as he attempted to pick up a package containing steroids, according to the U.S. Attorney’s Office. According to the Complaint: On April 23, agents of Customs and Border Protection conducted a routine border inspection of a package that was shipped from China to a package consignment store in Edison. The package was addressed to Custom Parts, in care of the consignment store. When customs inspected the package, agents found approximately 110 ampules that were individually labeled as different types of anabolic steroids, including “Mastabol, Dromastanolone Enanthate,” “Testosterone,” “Boldenone Undecylenate,” “Nandrolone Decanoate,” and “Testosterone Enanthate.” Store employees identified Gray as the person who was supposed to pick up the package and told investigators the store was holding another package for Gray, which was nearly identical to the first package and had been sent by the same shipper. Gray was arrested when he arrived at the store to pick up the second package. Gray then consented to have his home searched. Investigators found in the storage room in Gray’s basement a substantial amount of anabolic steroids, which were in both liquid and pill form. Some of the steroids were meticulously labeled and organized in boxes and individual trays, which were then placed on metal shelves. Others were stored in large, gallon-sized plastic bags. Gray is scheduled to make a first appearance in court later today.

Australian customs released steroid seizure statistics.

Enforcement authorities believe the high Australian dollar and strong economy have made Australia a target market for drug exporters. The rate of seizure of so-called "performance and image enhancing drugs" - which include anabolic steroids and peptides, which are playing a central role in the drugs in sport scandal - was up 57 per cent in a year. Users of steroids, hormones and peptides – a category known as PIEDS – have virtually "direct and unlimited access" to a full range of products from around the world via online sales, the report found, with more than 91 per cent of detections in this category coming from parcel post. The number of detections of performance enhancing drugs at Australia's border has increased from just more than 1000 in 2002-03 to nearly 9000 in 2011-12. Mr Clare said the rapidly expanding market for PIEDS was evidence the drugs in sport investigation was not an overreaction, as some have claimed. "When the [drugs in sport] report was released earlier this year we made the point that there had been something like a 200 per cent increase in the importation of some performance and image enhancing drugs," he said. "Interestingly, in the last few months we have seen a drop in importations, which shows the impact of the release of that report only a few months ago."

Couple charged for domestic distribution of Chinese steroids.

More than $1.8 million worth of steroids and other pharmaceuticals were seized and a Rensselaer couple was arrested in the largest steroids case in county history, Rensselaer County law enforcement officials said Monday. A six-month investigation led to the March 1 arrest of Zachery Wilkins, 33, and Holly Fiato, 28, of 111 Washington Ave., Sheriff Jack Mahar said Monday. Wilkins and Fiato were released without bail on a charge of felony criminal possession of a controlled substance. The felony carries a sentence of up to seven years in state prison. District Attorney Richard McNally said the couple is cooperating with investigators. As middlemen for the steroids distribution, Wilkins and Fiato would receive the steroid doses and pills in the mail and forward them to another address as directed, McNally said. Based on information provided to investigators, the couple were provided with fake identification, including a Florida driver's license, and used post office boxes and local UPS drop-offs for moving the drugs, McNally said. It appears the drug distribution has links to China, he said. Police seized 44,825 liquid doses of steroids and 289,550 pharmaceutical pills, according to the sheriff's office. Police also confiscated two shotguns and packaging materials. The multi-agency investigation involved the sheriff's and district attorney's offices, the Rensselaer Police Department, the U.S. Postal Inspection Service, the Drug Enforcement Administration and Homeland Security.

Rockstar blames steroids for hiring hitman to murder his wife.

On May 17, As I Lay Dying vocalist Tim Lambesis appeared in Vista Superior Court for a bail hearing. Lambesis is currently facing charges on allegedly attempting to hire a hitman to kill his estranged wife earlier this month, and in this new hearing, Lambesis' defense lawyer blamed steroid use for the singer's actions. Lambesis' defense lawyer, Thomas Warwick, told the court that the As I Lay Dying singer had taken to weightlifting, eating healthier and became a spokesperson for nutritional supplements. Somewhere along the line, Lambesis began using steroids to enhance his bodybuilding habit, and according to his lawyer, the steroids are to blame for Lambesis' erratic behavior. "His thought processes were devastatingly affected by his steroid use," states Warwick, according to NBCSanDiego.com. "It has been a terrible tragedy. He was a very caring, gentle man and we need to get him back." Warwick further declared that Lambesis "was not the same person. He was irritable and lost [his belief in] God." The May 17 hearing was also used to potentially lower Lambesis' bail down from $3 million to $250,000. The singer's bail was successfully lowered to $2 million, but Lambesis remains incarcerated as he has not been able to pay the amount.

Side effects of UK's personal steroid import by mail ban being felt.

The number of underground 'steroid labs' in Wales which sell illegal performance-enhancing drugs has risen and is a cause for concern, says Public Health Wales (PHW). The situation is getting worse because of a new law making it harder to import steroids, health officials have said. Pharmacists and drugs workers have also reported seeing more steroid users accessing needle exchange programmes. Injecting steroids can cause ulcers and gynecomastia - where men grow breasts. It also increases the risk of developing hepatitis or HIV. Until last year, users could buy steroids online from outside the UK and get them delivered. But the law changed meaning users have to bring them into the country personally. Amateur sportsman Peter (not his real name) said the steroid user is easy to spot in the gym. The odd person produces it themselves. Say they've done a bio-chemical degree or something like that... they might have their own little lab set up.” "You might see someone coming to the gym and they're not eating properly and not training properly yet the next time you see them they are about 100% stronger than they were a week or two before," he said. He told BBC Radio Wales' Good Morning Wales programme that illegal steroids could be found by word-of-mouth. "The odd person produces it themselves. Say they've done a bio-chemical degree or something like that... they might have their own little lab set up," he explained. 'Not regulated' "They may have something which is five times stronger than the regular stuff. They can sort of tailor-make it. "Someone takes your order, the person knocks them up, and they get sold on." Josie Smith, the national lead for substance misuse with Public Health Wales said: "Because of the change in the law our concern is there is an increase in the manufacture of steroids and image-enhancing drugs in underground labs," she said. "These are not regulated; the substances they are manufacturing are not regulated. Steroid users can be spotted at the gym where they get stronger without eating and training properly, said one amateur sportsman "My understanding is that some are quite well-run laboratories. However I am aware also that perhaps some less conscientious individuals may be trying to produce substances in garages." It is legal to possess steroids for personal use as long they have not been manufactured on the black market but it is illegal to make or supply steroids without a licence. Bruce Davies, professor of applied physiology at University of South Wales, said one of the main problems with people taking anabolic steroids is non-sterile injection. "If on top of that you super-impose a situation where the materials they're injecting could also be non-sterile I think you've already exacerbated an already serious problem," he added. The Serious Organised Crime Agency (SOCA) says the steroid trade is closely linked to the supply of class A drugs. The mark-up in profit on steroids can be around 400% according to the agency. Professor Martin Davies, a pharmacist working in Newport, said steroid users were increasingly accessing needle exchange programmes, originally aimed at heroin users. "Going back two to three years the number of (steroid using) clients we were seeing was about three to four percent of those who came in," he said. "That has now increased to 30-40%." Experts warn the next generation of performance enhancing drugs is already emerging - a mixture of bacteria and genes injected into muscles. Prof Davies said: "The two things I'm always amazed about are the pharmacological knowledge that these people have and how quickly the drugs are made available to body builders. "We're talking weeks, weeks, and they're using these things."

Russian weightlifters busted in Moscow with 2 tonnes of steroids.

Authorities in Perm, Russia, have arrested two male Russian weightlifters accused of smuggling and trafficking steroids from Belarus, the region`s narcotics bureau said. One of the weightlifters, authorities said on Tuesday, is a "master of sports, international class", a governmental honour given to Russian athletics who win international championships. His younger accomplice has prior steroid smuggling convictions, according to authorities. When they were arrested, the weightlifters were in possession of a combined 2,000 kg of anabolic steroids, authorities said. The men had allegedly been selling steroids in Perm for the past year, distributing them among "a narrow range of clients". Authorities said the names of the weightlifters would not be released until official charges were laid. The arrests come a day after Russia`s deputy sports minister Yuri Nagornykh told the "Sports Without Doping" conference in Moscow that positive doping tests for Russian athletes is on the decline. He did not offer any statistics to support his claim. Russia`s poor doping record has long been a stain on the country`s sporting establishments, and the issue has come to the fore with Moscow set to host the World Athletics Championships this summer and the Winter Olympics in 2014. There are currently 37 Russians on the International Association of Athletics Federations` list of sanctioned athletes in violation of anti-doping rules.