Matthew Cox | Inside True Crime Podcast - This Former Cartel Operative Says This Is Destroying America

Episode Date: January 12, 2026

Pierre Rausini explains how the New Generation Cartel causes a threat to America. ⁣ ⁣ Do you want to be a guest? Fill out the form https://forms.gle/5H7FnhvMHKtUnq7k7⁣ ⁣ Send me an email h...ere: insidetruecrime@gmail.com⁣ ⁣ Get 50% sitewide for a limited time. Just visit https://GhostBed.com/cox and use code COX at checkout.⁣ ⁣ Do you extra clips and behind the scenes content?⁣ Subscribe to my Patreon: https://patreon.com/InsideTrueCrime ⁣ ⁣ 📧Sign up to my newsletter to learn about Real Estate, Credit, and Growing a Youtube Channel: https://mattcoxcourses.com/news⁣ ⁣ 🏦Raising & Building Credit Course: https://mattcoxcourses.com/credit ⁣ 📸Growing a YouTube Channel Course: https://mattcoxcourses.com/yt⁣ 🏠Make money with Real Estate Course: https://mattcoxcourses.com/re⁣ ⁣ Follow me on all socials!⁣ Instagram: https://www.instagram.com/insidetruecrime/⁣ TikTok: https://www.tiktok.com/@matthewcoxtruecrime⁣ ⁣ ⁣ Do you want a custom painting done by me? Check out my Etsy Store: https://www.etsy.com/shop/coxpopart⁣ ⁣ Listen to my True Crime Podcasts anywhere: https://anchor.fm/mattcox ⁣ ⁣ Check out my true crime books! ⁣ Shark in the Housing Pool: https://www.amazon.com/dp/B0851KBYCF⁣ Bent: https://www.amazon.com/dp/B0BV4GC7TM⁣ It's Insanity: https://www.amazon.com/dp/B08KFYXKK8⁣ Devil Exposed: https://www.amazon.com/dp/B08TH1WT5G⁣ Devil Exposed (The Abridgment): https://www.amazon.com/dp/1070682438⁣ The Program: https://www.amazon.com/dp/B0858W4G3K⁣ Bailout: https://www.barnesandnoble.com/w/bailout-matthew-cox/1142275402⁣ Dude, Where's My Hand-Grenade?: https://www.amazon.com/dp/B0BXNFHBDF/ref=tmm_pap_swatch_0?_encoding=UTF8&qid=1678623676&sr=1-1⁣ ⁣ Checkout my disturbingly twisted satiric novel!⁣ Stranger Danger: https://www.amazon.com/dp/B0BSWQP3WX⁣ ⁣ If you would like to support me directly, I accept donations here:⁣ Paypal: https://www.paypal.me/MattCox69⁣ Cashapp: $coxcon69 Learn more about your ad choices. Visit megaphone.fm/adchoices

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Starting point is 00:01:24 leading you to believe we're doing something for a particular reason when in reality there's something else going on. So, welcome back. How are you going to do this? Welcome back. This is Pierre Rossini. We're going to be talking about the New Generation Cartel. Unlike the other cartels, which are your conventional drug trafficking organizations, the Haleesco New Generation has transformed itself into something more akin to a traditional organized crime family. And as we'll discuss later on, it's created a circumstance in Mexico that has completely unprecedented, and in certainly my estimation, and I'm sure an estimation of others, this is the particular group that's going to cause the American government to finally have to
Starting point is 00:02:12 intervene because their conduct is just simply beyond a pale at this point. In fact, just a couple of days ago, the FBI, along with the U.S. Treasury Department, issued a notice concerning the new generation's real estate scams that they've now implemented. The police with cartels targeting U.S. owners of timeshares. And in just the preceding two years, they've gotten over $300 million they've defrauded American citizens out of. There's 6,000 documented cases.
Starting point is 00:02:47 Well, these aren't individuals. 6,000? Like, it's one thing for you to be involved in drug trafficking. Okay, it is what it is. Right. Because the people on the American side are generally other drug traffickers doing business with the Mexican nationals.
Starting point is 00:02:59 Right. They're choosing to do business with them. This is targeting innocent Americans. These are guys just sitting at home, getting a call from a phony lawyer who's saying, hey, we got an interested party to want to buy your time share. Right. You know, you got 80,000 tied up in with their offer new 140. And they end up just, you know, we'll discuss the actual intricacies of the scam later on. But it's just, you've seen a transformation from traditional drug trafficking activity to something that full blown. Bull blown, Mexico has never seen before.
Starting point is 00:03:33 And quite frankly, the United States has never seen before. You know, at its peak... I was going to say, word about with the Italian mob, nothing like this. The Gambino's had maybe a couple thousand people between main members and associates. Right. You know, collectively, there may have been five or six thousand people in the entire country involved in that particular sphere of activity. In Mexico, the new generation's got 45,000 members.
Starting point is 00:03:56 So it's orders of magnitude greater in a context where they have... freedom to move. I was going to say, Ankhart Blanche to do what they want to do. Yes, and so you've got a threat that is present south of the border that has never existed before. All right, so what do we start?
Starting point is 00:04:15 Where are we starting? Well, how would you like to be in? Would you like a little background? I would like a little back. Do we have background? We have a little bit of background for you. Excellent. Look, the Haliscoe Cartel,
Starting point is 00:04:27 notorious for his violent tactics, has becomes Mexico's most influential drug cartel. It's, although it's second in size. Second to who? Sinaloa. Okay. Which are his principal rivals.
Starting point is 00:04:39 It has become the most powerful. And the cartel has accumulated power in two ways. One, they've branched out into what is traditionally characterized as organized crime-related activities. See, for a number of years, the American government has always characterized Mexican drug cartels as being organized crime. And on a superficial level, that'd be accurate because they are criminals and it is organized. But it's specific.
Starting point is 00:05:06 Organized crime is a term of art legally. Right. And what it generally represents are those type of organizations, principally ethnic, whether it's the Italians, the Israelis, the Chinese, the Russians, who are engaged in racketeering activity. Whether it's illegal bookmaking, lung sharking, extortion, prostitution, various species of fraud. all that these are characterized as rackets, and any one of them legally are characterized as predicate acts. So if you were charged under a RICO prosecution, they just have to prove three predicate acts for you to be found guilty.
Starting point is 00:05:43 And so that framework doesn't generally apply into drug trafficking context. Well, now it does, because what the new generation has done has migrated into this particular sphere. And so in order to understand its background, you know, as we previously discussed, Sinaloa had its golden era from, let's say, 2004 to 2010. Okay. And at this point, you're talking an organization that the government has accurately characterized as the largest and most powerful drug syndicate in the history of the world.
Starting point is 00:06:17 They operated on a level not seen since the British Empire back in the 17 to 18 to 19th centuries. All right. And so what is the British Empire? How does that relate to a drug trafficking operation? Drug trafficking. They're the largest opium traffickers in the history of the world. Oh, like the opium wars and that they were moving opium. Okay, I'm sorry.
Starting point is 00:06:38 Yes, the fortune of the king of England's fortune is based on the built on the back of heroin trafficking. And so that's why they had to keep India behind and Hong Kong. Yeah. Because Hong Kong was a segue into southern China. And so, you know, the British Empire's response. for creating tens of millions of heroin and opiomatics. And so that, of course, was state-sponsored trafficking activity. They seem so polished, though.
Starting point is 00:07:07 Yeah, but, you know, those are usually the guys you got to watch out for. Whereas Sinaloa now, you know, a couple centuries later, right. We were essentially able to replicate something not as massive, but not sanctioned. Right. And so you saw an operation that, from the American perspective, was obviously enormous.
Starting point is 00:07:30 Well, the Sinaloa cartel is not a single organization. It constitutes a federation of, at that time, let's say, 40 different organizations, spread out over 27 states. Right. And so what made Sinaloa different... Mexican states. Mexican states. Okay. I'm just saying, not everybody knows that Mexico is made up of states.
Starting point is 00:07:52 Yes, it's the United States of Mexico. And so you have a horizontal leadership structure that was essentially based on how the Romans configured their organizations after Julius Caesar betrayed the republic. When he took over, he was essentially dictator, but he characterized himself as first amongst equals. It's funny you mentioned that because Colby and I were actually discussing that yesterday. Okay. Julie Caesar and the whole thing. Okay. I know.
Starting point is 00:08:25 I'm joking. Go. Well, the whole point is, Julie Caesar, and then he gets killed. Augustus. Well, he's the first, who adopts that name,
Starting point is 00:08:33 first amongst equals. That's his title. It's the same model that the Catholic Church adopted. You see all the bishops are all equal. The pope is first amongst equals. First amongst,
Starting point is 00:08:43 that seems like that's, that doesn't make sense. That's first. We're all equal, but I'm first. Yeah, but he's nominally in charge. Because when you look, if you've got an organization that spans 27 states, well, let's put it in the American context. If you've got a group in Los Angeles, a separate group in San Francisco, a group in Seattle, a group in Phoenix, Las Vegas and Denver, well, the guys in Denver got nothing to do with the guys in L.A.
Starting point is 00:09:07 Right. It's not the same organization. These are independent organizations. They operate completely autonomously. But they're all kind of listening to somebody. No, they're not listening to anybody. They're all connected. They're nodes on an independent network.
Starting point is 00:09:19 Okay. And so the alpha nodes got nothing to do. with the Charlie node, but they both share the Bravo node. Okay. And so the group that nominally is in charge are the ones who can provide the protection. And so the first amongst equals in the Sinaloa context, for instance, is its leader Miles and Bada. Right.
Starting point is 00:09:38 He's not in, you know, he's in Sinaloa. He's not controlling the guys in Sonata. Right. Okay. But he's providing political protection. Meanwhile, the guys in Sonora have access to the border crossings in O'Gallis. So they're saying, hey, we'll handle the border crossings. Right.
Starting point is 00:09:53 And he's saying, I'll handle the politicians. Meanwhile, the guys in Kalim are saying, well, we'll handle the port. Right. And so what you have is a collection of organizations. Working together. Working together. None of them taking orders from Central Command. All of them completely autonomous, which is why it's so resilient.
Starting point is 00:10:10 We're now 35 years into the Sinaloa cartel's existence. And you can't attend. It's like attacking water. Right. It's like you ever watch a flock of birds flying? They all move in unison, but there's no one directing their movements. Right. It's an emergent property.
Starting point is 00:10:33 And so that's what essentially you have here. You have to look no further than 2017. You know, for years, for two decades, the government characterized, you know, Joaquin Guzman, Chopo has the leader of the cartel. Yeah, they take him out. They brought him to New York. He's in New York as of January of 2017. And what happened?
Starting point is 00:10:50 More drugs in L. More drugs in the U.S. in 17 than in 16. More in 18 than in 17. It actually just got worse. Right. You've got a higher level of fatalities, more amount of product. So what's that tell you? That didn't change a thing.
Starting point is 00:11:04 That he was never in charge. Right. It was all bullshit. Okay. And we can discuss this later on if you'd like to. The fundamental problem with our society. And I have an interesting perspective because when I got charged with the federal drug,
Starting point is 00:11:20 Kingpin prosecution. It was 1997. So I leave society. I don't come back until 2023. It's a totally different world. Right. Like people out here now
Starting point is 00:11:32 have just lost their effing minds. Right. Right. And I believe the primary issue, and it's not a political thing, it's not the left or the right. It's people on both sides have completely lost confidence
Starting point is 00:11:46 in the institutions that govern this country, whether it's the media, whether it's the government, whether it's corporate elites, nobody's trusting nobody. Right. And what happens is for the last three to four decades, the government keeps spoon-feeding us these narratives that ultimately proved to be false. Trapu Guzman is the bad guy.
Starting point is 00:12:11 Bad, bad, bad. Right. You arrest them, you get more product the next year. You're a full shut the whole time, man. What did you accomplish by doing that, right? It couldn't have been true. What you were saying couldn't have been true. And this is what caused the political divide in our country today.
Starting point is 00:12:26 You know, three decades ago, you and I were, you know, we were in our 20s back in the 90s. What was the big phrase you would hear for years? Rising Tide lifts all boats. Oh, yeah, yeah. Well, that was the premise from which NAFTA was approved. Right. Well, anybody with any critical thinking skills would have immediately recognized that, hold on a second, this is total bullshit.
Starting point is 00:12:45 How can shipping a factory from Ohio to Mexico help? that community in Ohio. Right. Or help that worker in Pennsylvania. Right. And so what we've had is decades of these narratives, which are ultimately false. One of which is, of course, the Joaquin Guzman. Another one is, you know, a rising tide of sawboats.
Starting point is 00:13:05 Another one, you know, the whole drug war, we're going to disrupt the drug markets by attacking supply. That's total bullshit. Markets are not a function of supply, and they never are. There's a function of demand. If you sleep hot at night, you know how disruptive that can be. Whether you're having trouble falling asleep, you're waking up sweating in the middle of the night or all of the above. That's where Ghostbed can help.
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Starting point is 00:14:16 Even better, our listeners can get 50% off sitewide for a limited time. Just visit ghostbed.com slash Cox and use the code Cox at checkout. Again, that's ghostbed.com slash Cox with the code Cox at the checkout to save a whopping 50% off site wide. So what you have are the people that are in charge leading you to believe we're doing something for a particular reason, when in reality, there's something else going on. And so that's why, for with respect to Sina Loa, when you removed Guzman, it actually got stronger. Right.
Starting point is 00:14:56 The drug problem actually got worse. And so that model is very effective. But it's also like hurting cats. You're not going to be able to work in unison, and it allows for masses of material, but it doesn't really allow for concentrations of power. Because for concentration of the power, you need a unified central command.
Starting point is 00:15:19 Right. That's what the new generation is. Okay. The new generation is on a totally different model. It's vertically integrated. It's hierarchical nature. Everything stems from mental. So while Sinaloa may have 27 organizations,
Starting point is 00:15:36 the new generation is less manpower, with 37 organizations. But everybody's operating on the franchise model. So if you open up a McDonald's, you can't change the ingredients in a Big Mac. Right. That's why they're able to concentrate force in a manner the other organizations simply aren't.
Starting point is 00:15:57 And that's why they're able to create this enormous portfolio of criminal activity that none of the other groups have been able to replicate. Doesn't that make it more susceptible to disruption? That's where ultimately we're going to get to is the new generation is less resilient
Starting point is 00:16:18 because at this point, it's essentially a cult of personality. Everything is centered around Mencho. And so a decapitation strike on a vertically integrated network is actually effective in that it's going to disrupt the network. It doesn't disrupt Senaloa. Right. They just morph into a new blob. Right.
Starting point is 00:16:42 See, but no, we know. Now, the downside, of course, there's always trade-offs. If you were to take out, Mancho, what happens? It fragments. Right. And that was the point that we were about to get into, because when Sinola was at its peak, the third most powerful drug lord in Mexico
Starting point is 00:17:00 was an individual named Nachooroquodanao. Well, he was responsible for overseeing the Mexican state of Alisco. He operated out of Guadalajara. Well, his business associate was a guy named Oscar Lobo, or excuse me, Oscar Valencia, known as El Lobo. Okay. So in 2009, Lobo gets knocked off. In 2010, Nacho Cordonel gets killed.
Starting point is 00:17:24 You know, the Mexican military services went to apprehend Cordonel. Well, they couldn't take him alive. Right. Because he knows too much concerning political stuff. You know, the guy lived in the same house for 10 years. How could you be looking for him? You know, you want to know where he's at. He's on that cul-de-sac.
Starting point is 00:17:38 third house from the corner. Right. So when they finally made the decision to move on them, they sent a hundred guys. Yeah. And made sure they didn't kick him into custody. Well, that action, although hailed as a victory by the American law enforcement community, actually set in motion a chain of events that created the new generation. Because when Nacho Coronel was in charge, and I'm sure he wasn't, you know, Mr. Friendly. But on the other hand, he's the guy who's able to keep all these other maniacs,
Starting point is 00:18:08 I mean, he had their, you know, he had his foot on their necks. Right. You know, there's a whole field of Mentos. Ready to spring into action once you remove, you know, the adult supervision. Right. You know, and see, and that's a lesson that we still haven't learned because they're going for the headlines. And so when Natural Kodonell got taken out of the picture, now you had the Kordano family who are blaming Sina Loa,
Starting point is 00:18:41 whether it was Balthana Leva, whether it was Guzman, they're just saying, hey, look, you guys crossed us. They remove themselves from the equation. Meanwhile, the Valencia organization, known as the millennial group,
Starting point is 00:18:53 they're in the middle of a squabble. The faction that prevails is the one led by Menchel. So now Menchel and his organization, known as Porcitos, joined forces with Golden Al's organization called themselves the new generation. So then at this point, they're still within the Cina Loa framework.
Starting point is 00:19:11 Now they decide, no, we're going to leave. So now they leave Cina Loa. They formed their own cartel. Well, initially, there was a working relationship between the two groups. Then, of course, they start fighting for territory. They start fighting for assets. They want to secure their position. Once they do so, they maintain a working relationship for them for a number of years.
Starting point is 00:19:34 Well, so long as the American law enforcement community was distracted chasing Chappell, it allowed for the new generation to just grow. Right. And at that point, it's strictly just a drug trafficking syndicate. And so up until about 2015, you never really heard about them. You had to be in the know. You know, like in prison, you get new guys showing up. And so, you know, I'm Latino, so I knew some of the guys.
Starting point is 00:20:04 I talked to other new arrivals, and they got new stuff, new guys down there, new operation, a new group. And it's just like, okay, well, it's just limited to Halisco. Right. And then like a couple years later, it was Halisco, Kalima, and Niyadi. You know what I'm going to? And now it's Mishu Khan. It's like, I'm already spreading like this. Right.
Starting point is 00:20:22 You know what I mean? And so you're seeing this group start to metastasized. And then in 2015, you had their essentially their coming out party when the Mexican government tried to apprehend. And Mentiono, that's when, you know, they ambushed a bunch of military personnel. They shot helicopters out of the sky. They created enormous chaos. Chaos. In Guadalajara, they were able to get the guy out of the picture.
Starting point is 00:20:46 And so, you know, Mensho became public enemy number one until Chappo escaped from prison. Like, he keeps catching these breaks. Right. Not now, but, yeah. You know, not now, but, you know, so then when Chabu escaped, now everything went back to him. So that gave Mentional a little bit of breathing room. And so when Guzman gets knocked off again in 16 and this time extradited to the United States in 17, that's when the situation in Mexico genuinely became a threat to the United States.
Starting point is 00:21:21 Up until that point, and you can say for the first 25 years of cartel activity, it was just drug traffickers being drug traffickers. They didn't force anybody to buy their product. nobody had to do it and you chose to do it and then it was available. Yeah, there's a demand. There's a demand. The new generation created a different paradigm because they were a militarized group. They demonstrated the capacity to fight the military.
Starting point is 00:21:54 They demonstrated the capacity to knock down aircraft. And so from the American law enforcement perspective, like this group is now on the radar. Well, the reason why they became so potent is because they had control the two main ports on the Pacific Coast, which allowed them to import all the precursors. They had the former Coronel network of superlabs. You know, Coronel was known as the King of Crystal. Right. Well, he's the one who industrialized the production. Well, you already had all these labs in place.
Starting point is 00:22:31 the Chinese started sending the precursors for, you know, the Fennie. Right. That's what changed the dynamic. Because once you introduce the Fenni into the equation, it resulted in orders of magnitudes more profits. For the first 25 years, the premise underlying the operations in Mexico across all cartels was you make your money in volume. Right. Senaloa became biggest
Starting point is 00:23:03 because they were making less money per unit they just sold a hell of a lot more units well it was actually forbidden for you to adulterate the material diluting its quality or and then on top of that lacing it with a compound that could potentially the customer right that was that's just
Starting point is 00:23:22 unheard of yeah unheard of and so what happened is the guys that maintain that kind of ethos establishing these type rules back in 1990, well, 25 years later, they're now in their 70s. You got a guy like Zambata, isn't in the mid-delay 70s.
Starting point is 00:23:41 You've got these other guys that are in their 60s. You know, these are older men with, you know, the benefit of experience and wisdom. They understand how important it is not to attract the attention from the American law enforcement community. Right. Unfortunately for the domestic drug market
Starting point is 00:23:59 in the United States, this newer crop of individuals don't have the experiences the older guys have. And so, like, one of the biggest problems, you know, that worked out to be a disaster was arresting Chapa Guzman because the faction of the control cartel that he controlled now reverted to his son's control. But these are all guys in their 30s. Okay.
Starting point is 00:24:23 This particular faction known as Los Chapitos are, is the faction within Sinaloa that went all in on Fenni. Okay. And so when the government says, well, Sino Lo is involved in trafficking Fenni, no, no, no, no, no.
Starting point is 00:24:35 This faction is involved. See, the Los Chapitos are at war with the new generation. The new generation is all in on Fenni. So the Chapitos
Starting point is 00:24:46 are matching up. You know, in Mexico, power is defined through political connections. And in order to accrue power politically, you have to have money.
Starting point is 00:25:00 whoever has more money has the most power in Mexico not weapons not hitmen not rockets not munitions political protection right
Starting point is 00:25:13 and so if the new generation is able to generate three to four times the profit per unit hypothetically let's say you got a thousand kilograms come in from Columbia or you could take 2,000 kilograms of gold metal flour
Starting point is 00:25:27 mix it into a huge mixture of 3,000 kilograms Now, it's only a 30% purity level at this point. Right. Who's going to buy it? No one on the American side is going to buy it. But if you lace it with a few kilos of fennie, all of a sudden you supercharge its power. The consumer doesn't realize you're only getting one third of Coke.
Starting point is 00:25:49 Right. You're actually getting primarily gold metal flour that's been laced with fennie. And depending on who's doing the mixtures, it's just some guy, it's just some poncho guy with buckets. So if it's not equally distributed, you may end up taking a dose which is saturated with fennie. In which case, it leads to all the ease. You know, the majority of the individuals from drug use are casual users who are out partying who take the equivalent of a hot shot. Yeah.
Starting point is 00:26:22 Whether they're doing a line of crystal, they have no intention on doing the fennie. that's why in one of our earlier podcasts I made just you know the statement and I stand by it in the sense that like you in good faith today can't get involved in drug trafficking like me as a 19 year old that was deeply libertarian could you know rationalize it yeah yeah saying hey no one's forcing me to put into my body I choose to do so and if you want to put some in your body that's your decision but it wasn't laced with fennie it wasn't laced with the compound there wasn't even the potential of it being laced Of course, particularly once we got involved with the manufacturing, we controlled it. We had a chemist who was making sure that it was pharmaceutical grade, no harmful impurities. Right. And so there was, you know, you know, you got to be fair to the Mexican equation, they didn't cut their product. They came to the United States unadulterated. Right.
Starting point is 00:27:17 You know, that was the understanding within the groups. Well, now it's coming, you know, all of it is essentially saturated. Right. So if you're at some nightclub in New York or at a nightclub in L.A. And you think you're going to go do a bump, but that could be your last dose because you have no idea what you're actually taking. Right. And so what you're seeing is an enormous spike in the number of fatalities. You're having guys that are just nickel and I am drug dealers selling something at a nightclub.
Starting point is 00:27:42 They're getting charged for homicides because they can't attest to the quality of material. Right. Everything down the line, everybody's just hoping it's not cut. Right. Well, you're all going to get hammered for, you know, the unfortunate woman who did a line at a nightclub and passed away. And so because of this new model that the new generation adopted, they're able to take those shipments that come from Colombia,
Starting point is 00:28:11 dilute them 200, if not 300%, well, that increases vastly the number of units you're selling. So if you're generating $5,000 profit per kilo prior to adulterating it, and at 1,000 keys, you're making 5,000. million. Well, all of a sudden, you take that 1,000, turn it into 3,000. Now you're making $15 million. Now, do that with $20,000.
Starting point is 00:28:32 All of a sudden, they're accumulating money at a rate that no other cartel can match. Right. So then... They get more political power. They get more political power. That expands their areas of influence. So Chappo Guzman's kids, like, Chappo Guzman's solution to this was killed up. Yeah.
Starting point is 00:28:53 The kids are saying, no, we'll just fight fire with fire. But what it creates is a race to the bottom where all parties know that the short-term gain is going to result in a huge negative long-term loss. Which is why not only were the Chapito's fighting the new generation, there was actually squabbles within the Sinaloa context themselves because they're fighting Zimbada. Right. Because their organizations are saying, we don't want none of this any stuff involved. And unfortunately, you know, in 2023, the Guzman faction gets charged for being the largest fending producers. Right. Earlier this year, just a few months ago, back in February, they charged on Bada's faction.
Starting point is 00:29:36 Like, they had to match the opposition. It's like in the, you know, the armament context. China, Russia, and the United States all have nuclear weapons. Yeah. China develops hypersonic weapons. Well, we have to match them. Yeah. You know, we can't afford to allow them to have a metal.
Starting point is 00:29:54 The Russians get ballistic missiles. We have to create a ballistic missile. That's right. So then we, you know, create autonomous weapons. Now, the Russians have to do so. So you've got groups that are engaging in conduct that they don't want to engage in, but they have to do so because they can't coordinate with the opposition. Survival.
Starting point is 00:30:12 Right. And so what it creates now is this dynamic where it's literally a race to the bottom. And the people that are actually suffering for the first time are the individual. who have no intention of consuming something that are essentially getting dosed, which is why in the end, you can see where this is going. You know, we had an earlier episode
Starting point is 00:30:37 where we did a game theoretic analysis on what the optimum solution would be. The government's, I mean, I said, it's not going to do that. We're not going to enter into an agreement with one of these groups. Right. Essentially give them a license to operate on the condition of no more fennie.
Starting point is 00:30:51 Right. That's the optimum solution. Politically, it's not tenable. In Mexico, it's not tenable. Because there's already a history. You know, here in the United States, we are very fortunate in that we're not privy to a lot of what's going on.
Starting point is 00:31:08 You know, our media does a lot of filtering. Or even if all you'd like, just watch the Spanish language news. The news productions on the Spanish language is very different from the American English language. You know, there was a huge scandal where, you know, Mayo Zambata's son, who was the heir apparent to the Sinaloa cartel, Facentezambata, was in a relationship with high-level American government officials.
Starting point is 00:31:37 Right, he was providing, they're providing information. So you had, you know, from the highest levels of the DOJ, highest levels of the DEA had approved a relationship with one of the leaders of the Sina Loval cartel who was there on behalf of the cartel, or at a minimum, the Zambada faction of the cartel. And this was concealed from the Mexicans. So here you got Vizente Zambata coming out of some, you know, upscale hotel in Mexico City, and the Mexicans pounce on him, like, abong, we got you, finally. He's like, what are you doing, man?
Starting point is 00:32:07 I'm here meeting with the gringos. Right. They're like, gringos, what gringos? Up in 304. Right. You're meeting with gringos, and then, you know, you got DOJ guys, D, D, what the hell's going on here? If you look at it from their perspective, you guys are in bed with these people. Right.
Starting point is 00:32:24 That's not the president of Mexico's son meeting with cartel guys. It's American people meeting with the car. You know what I mean? So it was an enormous scandal in Mexico. So from the American perspective, it would be very difficult for us to enter into an agreement with any particular group to advantage them over the others. Because right now, that's the narrative of Mexico. Like we may not be privy to the United States.
Starting point is 00:32:49 There is nobody in Mexico who doesn't believe that the United States government is responsible for the drug war. The drug crisis. Right. Just like everybody believes the United States government is flooding Mexico with guns. You know, you had that massive scandal about 15 years ago with the Fast and Furious investigation
Starting point is 00:33:07 where literally the ATF new individuals were making straw purchases, buying weapons at gun stores in Texas, in Arizona, in New Mexico, and then turning around and selling those guns to cartel guys. They know they're doing it. And they let the guns go anyway. And these are some of the same firearms that ultimately
Starting point is 00:33:26 American law enforcement. God knows how many thousands of Mexican citizens. And so when this thing came to light, Mexicans were like, hold on a second. You didn't stop them. Right. You let them keep going. And so then finally when the Americans said,
Starting point is 00:33:38 okay, well, we're going to prosecute the straw purchasers, they went and they arrested several of these guys. You know how much time they got? When you're probation. And so they're like, oh, okay, so you're flooding the country with guns and you're giving guys slaps on the wrist. That's when they're like, okay, just send as many drugs at the gringos as they want. Right. Like it's a two-way street.
Starting point is 00:33:59 You don't want to stop the guns. They're not going to stop the product. And so. Okay. I was just going to say. So from a game theoretic perspective, that solution is essentially off the table. So now you're talking about what you have a spectrum. of suboptimal solutions.
Starting point is 00:34:18 And so as we were talking before, we started filming, in that context, I believe that they're going to make a credible threat of designating these groups, this particularly new generation is a terrorist organization. There's already been legislation in Congress submitted by Senator Conn directing DOJ to eliminate their leader, not just DOJ, Department of Defense, to eliminate their leaders.
Starting point is 00:34:43 They're just saying clandestine military actions. and so you see it as ground in a sovereign country in a sovereign country okay you know and so you're going to have you have got a groundswell of recognition that this particular group is different than everybody else so much so that senators want to sanction unauthorized you know unauthorized actions in a sovereign nation they also want a sanction designated him a terrorist organization which You know, from the Mexican perspective, it would be a debacle because Mexico doesn't want to be a country labeled as a harbore of terrorist organizations. Right. Now, from the organization's perspective itself, I'm sure Mitchell's not going to care.
Starting point is 00:35:28 He's already looking at a life sentence if he gets caught. Right. Now, he's like Guzman, whether you call him a terrorist or drug dealer, it's not going to change him. But what it does change and where it gets interesting is on the American side of the equation. because there is an entire infrastructure, particularly in Los Angeles, which new generation operates, that's their principal base of operations.
Starting point is 00:35:49 In Los Angeles, there's an entire network of individuals who facilitate. These are the guys that manned to stash houses. These are the guys that count the money. These are the guys that, you know, pack up the cars or build the hidden compartments. Everybody along that chain now
Starting point is 00:36:01 is providing material support to a terrorist organization. Right. So the days of getting five or six years sentences, that's gone. It's 30 piece. so it's going to give the government of the United States a tremendous hammer in which to induce a lot more cooperation. The big boys are always going to be the big boys,
Starting point is 00:36:18 but they're the beneficiaries by getting them broke to profit. It's all these little fishes now that are going to be squeezed with the threat of a 30-year sentence that are obviously going to predominantly cooperate. Right. And whoever ends up winning the election, I believe is going to make a credible push to say this is what we're going to do.
Starting point is 00:36:38 Mexico is going to fold because they're not going to have nobody declared a terrorist organization you're going to see them essentially allowing American special forces being embedded with Mexican special forces and serving like an advisor capacity
Starting point is 00:36:54 but really they're just going to be they're going to be driving it's going to happen the same thing they did in Colombia like the Colombians didn't take down Pablo Escobar it was an American operation masked with a little bit of Colombian window addressing. So how does how do, so how did the new generation through this whole thing morph into
Starting point is 00:37:17 more of like an organized crime, you know, organization where they branched, why, why did they start branching out? Well, the, the, the feature that we highlighted, the Unified Central Command allows it to direct more effectively. This isn't a her to. cats. This is essentially an army. And so now you have an ability to say, this is the territory we control, extract as much money from this territory. And so, you know, besides the billions of dollars that the new generation made from drug trafficking, they have diversified into essentially nearly every sector of the economy in Mexico. And so, you know, for, you know, for, 25 years now, 30 years now, we've had this NAFTA regime, which resulted in essentially the integration of the Mexican and American economy.
Starting point is 00:38:21 You go south of the border, and you've got thousands of factories in Spanish, they're called Makisodas. And so literally, thousands of companies are manufacturing goods in Mexico on behalf of American businesses. Well, that territory is cartel territory. Right. Every factory has to pay a fee to operate. It's a cost of doing business. It's like rent. It's like electricity.
Starting point is 00:38:52 You have to pay. The goods that go to the warehouse, the warehouses have to pay. The trucking companies that transport it from Mexico into the United States, they have to pay. So now you're thinking, well, how much money? money can you be talking about? Well, let's say it's, or the leaked Mexican official report, like on their version of WikiLeaks. Okay. Where it revealed that the new generation is charging anywhere from $1,000 to $10,000 per truck. You're thinking, okay, it's $1,000. Well, look at the scope of the activity. The Tijuana Port of Entry alone gets somewhere in the neighborhood
Starting point is 00:39:37 to 15,000 trucks a day. So if it's $1,000 a truck, that's $15 million a day. And a higher value items, let's say it's computer parts or automobiles. We're charging $10,000 a truck. So it's anywhere from $15 million to $150 million per day just in storing trucks coming across Tijuana. Nueval Laredo is even bigger. That's 18 to 20,000 trucks a day. The new generation is literally generating as much money today through extorting trucks
Starting point is 00:40:16 as they were in all of their drug activity pre-fennie, you know, as of 2016. Right. And it's not simply, and you have to understand that this is the crown jewel of the Mexican economy. And so we, you know, for them, they're just at the point where they're like, look, do whatever the hell you're going to do, pass the fees on to the Americans. So whenever you're at Walmart buying something that was imported from Mexico, the new generation is getting their cut. Right.
Starting point is 00:40:51 Okay. I can see that. You see what thing? No, but it's also broader. It's not simply extortion with respect to the trucking. It's extortion with respect to, and this is more traditional organized crime, it's just a regular protection racket. And so, for instance, one of the prime,
Starting point is 00:41:07 produce produced in Mexico are avocados. No, Mitrocon is ground zero for avocados. Well, every farm gets taxed for protection. You got to pay a fee per hectare to just grow avocados on your own land. They're extracting money at every instance along the value chain. So they're hitting the farmer for the land. Then at the farm gate, depending on the yield, they're taking a piece. Then the wholesale market, they take.
Starting point is 00:41:39 take a piece from that. Then the company that does the packaging, they take a piece from that. Then the trucks, they bring it to the United States. They take a piece from that. So every time you have guacamole, the new generation is getting paid. Aguave, lime, berries. You have a shot at tequila? They're getting their money. Chase it with the slice of lime. They're getting their money. Right. There are literally tens of billions of dollars going into their coffers without anything to do with drugs. And so now you're seeing the ability, one, you're seeing the power of concentration.
Starting point is 00:42:17 They're able to marshal together their forces in a way that none of the other groups are able to do so. So all this stuff is happening, right? Just south of the border? Well, the extortion operations are taking place on the border, but they're also happening throughout the country. But as far as its principal base of operations, it's in the Mexican state of Halisko.
Starting point is 00:42:37 For those of you not familiar with the Mexican geography, it's about 1,500 miles south of San Diego. In fact, here's a map. The area highlighted in blue is territory controlled by the new generation. Well, that's black and white. Sorry, go ahead. All right. And so, and that blue area consists of numerous organizations. Here is the network for the new generation.
Starting point is 00:43:07 so you can see it's a number of organizations, but there's no sub-alliances. Everything is taking orders from Central Command, which is a very different model. And as we indicated earlier, they've got a very powerful militarized wing. In fact, it's famous for making these kind of public pronouncements and hyperviolent.
Starting point is 00:43:34 And so... What's the name of it? Matazetas. Matazetas. And it's... What's Mata mean? The killers? Killer Zetas.
Starting point is 00:43:42 No, I don't remember. You got to invert. Zeta killers. Zeta killers. And who's with the, who are the Zetas with? The Zetas, as of right now, they're essentially, well, the technical term is disarticulated. They've been crumbled. Ah.
Starting point is 00:43:56 Then can't they drop the killer part? Well, see, here's the problem. And this is, again, a shortcoming in the decapitation strategy. Right. Because the way the new generation. has been able to expand is they just wait in the cut. And so, for instance, when the Zetas were effectively neutered,
Starting point is 00:44:17 you had a number of organizations that were now orphaned. They got cobbled up into the new generation. The Gulf Cartel gets essentially neutered. They get gobbled up. That's how you have a group from Alisco, way down in Guadalajara, controlling the port of entry in Ravaleo on the border of Texas.
Starting point is 00:44:36 Right. Because they have essentially a franchise model. And so now they have franchisees scattered all over the country. They have a branding issue. Well, that's part of their operation. They need to rebrand. No, that's part of the franchise model. They have to incorporate the term new generation in their title.
Starting point is 00:44:57 So it's the, you know, new generation Tijuana, new generation, you know, Nuevo Laredo or Vetta Cruz. Yeah. And so they are really. really strict on this branding issue. And so it's creating this fear. You know, when you see guys like this on the news every night in, right, in Mexico, and this is, you know,
Starting point is 00:45:20 they're holding rockets. They're holding, you know, and they've got other pictures where they got armored vehicles. Like, you know, they're essentially, they're like armed technicals. Right. 50 caliber machine guns on top. You know, these guys are just insane. And so they have struck a level of. within the community to where these organizations, legitimate businesses, have no alternative but
Starting point is 00:45:43 to pay. You know, another big cash cow for them is the theft of petroleum. In 2022, the last year we got numbers for, the Mexican state oil company, Pemex, reported that they had over $900 million in losses. So you've got these guys going with their own engineers, identifying pipelines. They're drilling precisely into the pipeline. extracting the old day on fleets of modified tanker trucks. They're just filling up the trucks with oil and then taking them to the black market. And so look at literally, every aspect of the Mexican economy at this point is being touched.
Starting point is 00:46:21 Yeah. Whether it's restaurants forced to buy poultry from this particular group. You know, inflated prices on fish. Inflated right across the board. Entertainment, nightclubs, you know, residences, food. and of course, like I said, they're crown jewels, which is trade with the United States. You remember Mexico's our largest trading partner.
Starting point is 00:46:43 Yeah. And so that's just an enormous piggy bank for them to just slice. And if you know, all you're taking is just a small amount. In the aggregate, it ends up being such an enormous amount of money. Right. That you see this concentration of wealth, concentration of power,
Starting point is 00:47:01 which is now prompting all of the other cartels, even those who weren't previously involved in Fennie, having to get involved to just to try to keep up. And so it really creates this dynamic where there's a race to the bottom that in the end is not going to end well. Because, you know,
Starting point is 00:47:20 once you keep prodding that slumbering American giant, at some point, they're going to have to get up and they're going to have to do something because this is not sustainable. Okay. So, what are, what are, I mean, You're talking about all that stuff.
Starting point is 00:47:38 Some of this is all happening in Mexico. What was the real estate part? You talked about the timeshare. That just came out a couple of days ago. Okay. Treasury Department and the FBI issued a notice because there have been over 6,000 documented cases where it's essentially another aspect of the recturing operation which deals with real estate fraud. And they've come up with this scheme, essentially.
Starting point is 00:48:03 It's a scam where, you know, the largest concentration of, of American ex-patriots is in Mexico, predominantly in and around Helisco. Puerto Vallarta's got an enormous population. There's an area of South of Guadalajara, very big retirement community. And there are areas that are beach property where Americans own timeshares.
Starting point is 00:48:25 So you'll notice in and around the Viata area, up in Nyadi, down in Cancun, that whole stretch, the Riviera and Maya, that's New Generation Territory. And so what they have access to is the personal information of the Americans that own the timeshares. And so now they're able to create what are essentially, you know, like telecenters. Yeah, I was going to say, what are they like phone rooms? Yeah, like huge other, they're like boiler rooms.
Starting point is 00:48:53 But they contact the individual and they're representing themselves as being a representative from the management company for your timeshare. Okay. You have $60,000 tied up. They're in a process of selling. an offer to buy it, go buy back your share for 90,000. You're thinking, wow, I just made a quick 30% profit. I'm in. Well, you're going to have to pay this fee, $1,500 for this fee, $700 for this license.
Starting point is 00:49:19 You know, they just hit them with fees. They hit them with licenses. Then they're going to have to pay the Mexican attorney because you have to have a Mexican attorney handled the business on the Mexican side. So that's $7,500. Oh, then you've got to have all the documents translated from English and notarized into Spanish. that's another $1,800. So by the time they're done,
Starting point is 00:49:38 extracting money, they've got guys that they've hit people for tens of thousands of dollars. They've got one individual that they persuaded to send over $1 million. And so, you know, literally there are... And these are the $6,000
Starting point is 00:49:51 that have been reported. You know, the FBI indicates that they believe that there's... That's only 20% of cases. Most people don't want to come forward and admit that they got duped. You know, they're embarrassed. Right.
Starting point is 00:50:03 You know, you got taking for $17,000, $18,000 on this scam. They just rather take the loss and go to their family even. Yeah, you're never getting the money. I'm not getting the money back anyway. You're not getting the money back anyway. So they're saying at least 6,000 documented cases. And this is the type of activity that's going to ensure you get a reaction because you're targeting Americans.
Starting point is 00:50:24 Right. Not American criminals. These aren't even drug addict. These aren't drug dealers. Yeah. Or drug addicts or whatever. Yeah. Yeah.
Starting point is 00:50:32 These are just some guy sitting at home. He's got, you know, he's in Omaha, Nebraska. He's got his time share down in Cancun. He just gets clipped for 25 grand. And this is just happening. And, you know, and what's interesting is on several of the cases, they got them for tens of thousands of dollars. And when they contact the actual timeshare company,
Starting point is 00:50:55 an attorney from Mexico contacts them and says, well, look, we can do this, this, this, this. It's another scam. They double dip. Yeah, we can get your money back. We can get your money back. For another $5,000. We're going to sue this.
Starting point is 00:51:06 It's horrible. The operation that they're running out is just shocking. And they're doing all this from within Mexico. So you've got Mexicans that are calling, like they are they saying they're, I mean, like, I guess it doesn't matter that you're, we are calling from Mexico. I was going to say, you know, Guadalajara is Los Angeles's sister city. Yeah, yeah. And so there's a tremendous amount of personnel moving back and forth. Right, right.
Starting point is 00:51:31 And in that area, like I said, it's the largest concentration of American expatriates in the world. And so there are entire businesses that are geared towards Americans, you know, English-speaking Dennis, English-speaking tax accountants. God, I was going to go to, I was thinking about bringing Jess to, like, Cancun, you know. Well, they're going to be the new generation gets their peace. Well, are you going to be staying at their hotel, buying their drinks? Oh, my God's a great. All I need is a hotel made with a new generation investors. there's a little bit too much sand in that concrete.
Starting point is 00:52:04 You know what I'm saying? Maybe the next collapse like that place down in Miami. Remember, they don't build the institutions, the hotels and structures. Those are essentially legitimate companies that come in. They may be controlled, cartel controlled. Right. Well. Yeah, but no, you know, they, they're, they're, remember,
Starting point is 00:52:23 good guys? No, but they're designed for the purposes of surfacing capital. Right. And what they, they want to be able. to market it to Americans. Okay. And so, and that's where the market is set up. So now you, you know, there's an enormous, I think there were, I forgot what the number
Starting point is 00:52:42 was, but there was tens of thousands of Americans with timeshares in Mexico, which is why now the FBI is trying to be proactive, but, you know, they got all these cases, but there's actually nothing they can do. You know, the Mexican banks don't know that they get a wire from an American bank. Right. They don't know what the nature of the actual transaction is. So, like, so several of the victims on the Americans say, want to sue Mexican banks and the banks like we're talking about.
Starting point is 00:53:09 You sent the money. Right. Like, you should have been more diligent. You didn't do your due diligence. How's it their responsibility? Mm-hmm. And so it's really a conundrum. And it just illustrates how they've managed to diversify to the point where
Starting point is 00:53:24 something that you would think would be the farthest from a highly- from a- from a militarized drug cartel, right, right. Would now all of a sudden be running these type of sophisticated cons? Right. I was going to say, and in a way,
Starting point is 00:53:40 you know, to me, it's a different version of the decentralized, hierarchy because I, like the Cinaloa, you're saying they're all kind of running themselves, right? Like whatever, you know,
Starting point is 00:53:55 first of the equals or whatever, you know, but I'm saying in this way, it's like, okay, were hindered or, you know, disrupted here, well, it's okay. We're still bringing money in from all these other operations. You know what I'm saying?
Starting point is 00:54:08 Okay, well, they really hammer us on the drugs. They're really shutting down the drugs. It doesn't matter. We've got, we've got this. We've got, we got, we're in, our fingers are in so many different things. They're not going to across the board be able to knock us out of it. Unless you really just have to knock out the leadership as quickly as possible. Which, which is why the, you know, the handwriting's on the wall.
Starting point is 00:54:28 Right. Which is why you're saying the Americans are trying to push. to say, hey, this is... Designate them a terrorist organization. Mexico will say no, but so Mexicans will say, come on in and handle it, you got to do. Right. Because you just can't have innocent Americans getting ripped off. Plus, they're legitimately harming the Mexican state.
Starting point is 00:54:44 Right. I mean, they just cost them a billion in fuel last year. You know, and then all these additional taxes, well, that's disrupting their business operations and their legitimate businessmen, the wealthy guys that own those macadolos, well, they don't want to be paying these taxes. Right. So they're going to their congressmen saying, hey, what are you going to do? So, you know, it's creating an untenable situation that I'm sure is going to come to a head fairly early in whatever the next administration is going to be.
Starting point is 00:55:13 And so, you know, you and I, before we were talking, you were like, well, you know, if Trump wins and he builds the wall, that'll put an end to it. Right. And, you know, right before I left Coleman, we got a guy that showed up and he was a new generation. Okay. And his stories are just out of this world. Right. And he, you know, they built quite a bit of the wall. In fact, here you go, I mean, this is, and it shows, this, this map shows the wall that was built, along with the construction, pre-construction, and anticipated.
Starting point is 00:55:55 Right. And so you can see it's a significant stretch. Right. And although, you know, the lion's share of material is always going to come through to ports of entry. You got 15,000 trucks in T.J., 18,000 trucks in New Florida. You got 20,000 cars. Yeah, a lot of camouflage, a lot of, yeah. And so, but in order to disperse the Border Patrol, you don't want them all concentrated at their station.
Starting point is 00:56:19 You got to break it up. Right. So the other methods that they smuggle are essentially decoys. you know, the American Border Patrol can't fail to respond. And so, like, you know, the, at the border between San Diego and Tijuana, you know, there's a beach. Well, that goes right to the ocean. So you're on this side of the hypothetical line. You're on the sand in Mexico over here.
Starting point is 00:56:48 10 feet over, you're on the sand in L.A. and in San Diego. Right. And so, you know, we built like a little perimeter that goes out X number of yards. Well, what they'll do is they'll take those little Jacques Cousteau boats. They'll just, yeah. Come around. So they got to patrol the beaches. Right.
Starting point is 00:57:02 You know, the migrants coming in from Central America. Every once in a while, they'll give them a backpack. Right. Because that way, they had to go out there and they got to check every guy coming in, looking for drugs. Again, of course, you have the tunnels. Right. But the way the new generation individual was telling, he's like, you know, in order for them to essentially really with the Americans, he says they built an entire fleet.
Starting point is 00:57:28 of catapults. Right. I know and I'm just like, you know, and you stop and think about it like, you know, here we are in the 21st century, the walls that are being built, state of the art technology, motion detectors, sensors,
Starting point is 00:57:44 the height of American ingenuity. Right. And these guys are defeating that with 1,200-year-old technology. Yeah. You know, like, and so I pulled up some photos for your viewers, like, here's one of the catapults.
Starting point is 00:57:57 So you're, have duffel bags parked in front of the catapult. They'll just put it right like on an old boat trailer. And then just... They just drive out. Just launch cats.
Starting point is 00:58:10 And see, and the thing about it is... You got one on the other side running around trying to catch it. The thing is that, you know, the catapults aren't illegal. Right. Yeah, what am I doing wrong? And so the Border Patrol
Starting point is 00:58:19 sees them driving down the road like they're driving along to Rio Grande. Right. Like the fucking catapult. So they got to go out and watch them like... So they're just wasting their time. We're just wasting their time. We got this catapults going back and forth
Starting point is 00:58:30 just to fuck with the Americans. Right. He said at nighttime, they do break them out and know everyone's all those suit loads over the walls. He says, but now they're on, they're onto drones. They've got an entire fleet of drones. It's like, you know, there's so many drones
Starting point is 00:58:44 flying in this guy's like the, you know, the air pattern over LAX. He says it's just drones just going back and forth, back and forth. And, you know, and you're just thinking that this is a massive, massive problem. How do you fix that? And it's the unified center.
Starting point is 00:58:58 Central Command because you got someone who's able to say, okay, you're going to do to the catapults, you're going to do the drones, you're going to do the tunnels, you're going to do the little boats. Well, and if you have, if you have 80 organizations making their own decision, this one organization and it decides, hey, you know what, let's do some catapults. Okay, what can they, how many can they put together? Ten? But if you have the main guy say, do you, out of all these 60, you 30 got, 30 organizations are going to make 15 apiece.
Starting point is 00:59:27 Like now it's huge. Now it's a massive amount. So every time they make a decision to consolidate that, because of that consolidated power that goes, that it's distributed, that order is distributed amongst many, many nodes, then they can,
Starting point is 00:59:41 they come up with a hell of a lot more of a disruption. Like I said, if you've got 15 organizations along the border and they can say, I want you to each put six catapults in the field. So that's 90 catapults every evening going out into the field, but only five of them are being used. Right.
Starting point is 00:59:57 But even then if you're- But it requires- It requires at least two agents in a truck to try and follow them even then. Now you've got 180 agents driving around trying to- Keep track of catapults or, you know, they'll descend over like tomatoes. Yeah. You know, like- You can shoot in old clothes. You can shoot up with dirt. You don't know which one of them is actually using contraband. Right.
Starting point is 01:00:17 So if three of them start shooting them off and then the other guys, they call for backup. They're shooting these up. They call for backup. Yeah. that just leaves how many, you know, 87. They open them up and it's duffel bags full of avocados. Right. Meanwhile, you got an entire strike force collapsing on the scene.
Starting point is 01:00:35 I mean, it just, it's, it, you know, it's like when you're in prison. When, when deuses go off, all the guards respond. But if deuses go off the fourth or fifth time that day, like now, it's like, you know, it's probably just another false alarm. Right. You know what I mean? They start conditioning them to, you know, every time I go out there and trace, you these guys down, I get duffel bags of tomatoes.
Starting point is 01:00:57 Well, the time you don't go, maybe the time. Right. The thing is, yeah, yeah, I was going to say. Plus, they don't really, you know, it's like we were talking to, I'm going to say his name in Coleman. Like, you know, they were just the people like where they're sending eight cars across and they know one's going to get caught. Like this is the one that, like he's, it's a decoy. And then they let the rest go.
Starting point is 01:01:20 It's like, oh, but you will loss that load. It's like, we can lose loss. Like, we're making so much money. We can lose half those loads. And we can lose 90% of the loads. And we're still, we'll only, we'll break even. And then that's never going to happen. Yeah.
Starting point is 01:01:33 Well, like I said, during the course of Guzman trial, the government established that the success rate was 1%. So out of 100 cars coming through the border, one gets stabbed. Then they lose one. Hmm. And so it's, and that's not including, you know, the tractor trailers. That's not including the trains.
Starting point is 01:01:53 you know, all this commerce that, you know, when NAFTA was passed, every drug trafficker in the United States celebrated because it increased the amount of commerce exponentially, which of course allowed for free-flowing, obviously product coming one way, money going back. Right. It may have been a disaster for the middle class. Right. But for the, you know, the underworld, it was a gift. And until someone makes a decision that, you know, we may have to reevaluate whether or not we're going to remain in these type of trade agreements, there's essentially nothing that can be done.
Starting point is 01:02:36 You can build, like I said, you build a 2,000-mile wall, they're going to bring out the catapults. They're going to break out the donalds. They're going to bring out the tunnels. You build a 20-foot wall. They build a 10-foot tunnel. Right. You know what I mean? And so at some point, you really need to start thinking.
Starting point is 01:02:53 about collaboration, which is, from the game theoretic perspective, the most optimal solution. Find one of the groups in Sinaloa. Someone is like in their 50s. You know, it can't be somebody. He's in his 70s. His time in the son's coming to an end. He's in his 70s or he's in the 80s? He's really old. Late 70s, yeah. But he's got a son. He's 40 years old. Right. See, the heir of parent is in American prison. So, you know, Vizentezumada out of the way. Well, when Vesentezumada fell in 2009, the next son took over. Right.
Starting point is 01:03:31 So for the last 15 years, Maito's been being groomed. Right. Well, today, he's a 40-year-old man. You can maybe approach someone like that and say, hey, look, we're going to remove your enemies. Stop the Fennie. You know, that kind of an arrangement can be made. Now, they're going to obviously, look, we're going to try to knock off your loads. We'll keep playing the game, but we're going to go back to where it was in 2016.
Starting point is 01:03:55 Right. At least the American citizen. At least it's not 100,000 fatalities. Right. It's not some 17-year-old girl trying to try and blow for the first time at a club. Yeah. Ends up over-dosing and dying. Yeah. You have a question.
Starting point is 01:04:08 You know, Brandon? I remember Brandon. Do you remember exactly what happened with his? I always, I've said it over and over again. I just, I'm sure I always get the story slightly wrong. Brandon was a doorman at a nightclub. I always say bouncer. Yeah.
Starting point is 01:04:23 It's the same thing. Yeah. He was a dormant at the nightclub. And look, if you're at the nightclubs, you know who's coming around. He knows who the local drug dealers are, of course. And so, you know, you got some girls coming to him. Hey, Brandon, you know, good-looking guy. He's up front.
Starting point is 01:04:39 He interacts with everybody because he's out front. So he knows, everybody knows who he is. You know, they want to get a little bit of party supplies. He directs them to, hey, well, you know, go talk to Jimmy. Hey, Jimmy, these girls want to talk to you. Right. Well, unfortunately, the local. dealer is distributing a product that's been laced.
Starting point is 01:04:59 Okay. And so when, you know, these girls go and they make their purchase, one of them, overdoses. Overdoses. And passes away. So now the dealer gets busted. Yeah. He's getting prosecuted and he's facing, you know, a drug-related homicide enhancement.
Starting point is 01:05:17 Right. But he says, he says, you know what? I'm going to, because of the code, I'm just going to take this on the chin like a champ. I'm not giving up anybody. Yeah. No. So in order to get out from underneath that enhancement, he goes around and he lets him know, well, you know,
Starting point is 01:05:33 Brandon hooked us up. Right. Well, all Brandon did was, hey, go talk to this guy over here if you're looking at a party. Right. Like, he had no interest in the transaction. He didn't get a cut. He didn't make any money. Right.
Starting point is 01:05:44 He essentially directed somebody in, you know, under the American concept of conspiracy. Right. He's a part of it. He put him, he's in it. He's in it. He's in it, and technically he distributed it. Right.
Starting point is 01:05:57 You're saying he distributed it vicariously through the trafficker. Okay. And so he ends up getting, you know, he goes to trial, gets convicted, and gets enhanced for the homicide. Right. So, you know, and that's the, that's what's happened hundreds of thousands of times in the last five years. So when I tell a story, I have a slightly different version. You know, obviously I'm. off is my slight my slightly version is that like it was I never I didn't know it was a group of girls
Starting point is 01:06:29 I just like it's one chick that comes up to him and says listen like you know like she's on oxies I'm having problems I'm feeling sick do you know anybody he doesn't know anybody's like I do know a guy that sells oxy or maybe heroin or something and he says I can give you his number gives her the number whatever she calls the guys like I got heroin and gives her heroin and she ends up from the heroin overdose that's what I thought it was yeah why I understood it was that he knew from the nightclub. Right. Who just knew him as a doorman.
Starting point is 01:06:57 Yeah, yeah. No, no, he was definitely not. But he was not a dealer. Yeah, no, no, she wasn't dealing. He wasn't getting a cut. She just was like saying, like, in my version, I always thought, like, I was like, I'm sick. I do you know anybody?
Starting point is 01:07:09 He said, yeah, I do know somebody. That may very well have been to context. I'm saying that he was approached. Yeah, yeah. By a woman. Okay. Well, I'm good. That he knew from the nightclub.
Starting point is 01:07:17 Yeah, who indicated an interest in buying. You know, I remember these stories, but I'm always remember, you know, you hear it from four different people and you get, kind of a mesh of what happened. And so I'm always like when I know somebody that knows that person, like, what was the story again? Because just to make sure that I'm close. I'm pretty close.
Starting point is 01:07:33 You know, it's a group of girls. I'm saying, I thought it was one girl. You know, so who knows, you know, whatever. But they get, Brandon, he's never going to come on here. Well, you know, Brandon's still at the half house. Oh, I know. He's, what, is he at the half? I thought he moved or did he get, is he on ankle monitor?
Starting point is 01:07:48 I know, I'm coming up on week after next. I've been out of prison now for a year. Right. And so my interactions with the halfway house is now ending. Okay. And so, but when I was there. He was living there? No, I saw him every week.
Starting point is 01:08:07 Oh, okay. Well, that's not at the halfway house. He's on an ankle monitor. He's considered a resident just out custody. Oh, for God's sake. You with the, with the semantic. Listen, he's living at home with an ankle monitor. He reports to a halfway house at least once, if not twice a week.
Starting point is 01:08:23 He said he had told me that, yeah, he, yeah, he, I thought he was out. Yeah, I thought he was out. He ended up, I think, moving back in with, like, his ex-girlfriend who, he said, we, we were together the whole time I was locked up, but somehow she got pregnant. He's super funny. I mean, just the nicest, like, the nicest guy, super tall, very nice. You just couldn't, I can't even imagine him being a doorman. Like, he just doesn't seem like the kind of guy that would.
Starting point is 01:08:52 He wasn't the bouncer. He was, yeah, isn't that the same thing? No, he's the guy that's interact. He's got the owner's list. He's doing it.
Starting point is 01:09:01 Oh, yeah, so he's the guy that you can come in. Come on. Come on. Not dressed like that. No, no,
Starting point is 01:09:06 no. You know, so he's a little bit on the more polished side. Okay. You know, and like I said, good guy.
Starting point is 01:09:14 He was Amadale's principal typist. Yep. Yep. I always say that. Amadeo, we'd be like, Brandon, type this up.
Starting point is 01:09:20 Yeah. Okay, Frank, what's this? because Frank's handwriting was horrific. Yeah. Yeah. And then it was, I always think of Brandon. He didn't type all my stuff, though.
Starting point is 01:09:28 He had a couple other typists, though. He had several typists. Well, no, he had his whole little group of typists that were in-house. He was the main guy. Brandon was the guy that did Frank's personals. Oh. You know, it was a higher degree of responsibility. So you may have been farmed out to a, I got probably a show.
Starting point is 01:09:47 Yeah. Some chow type my show. It's just icky. But, you know, and then Frank would get it. And then Frank would get the typed version. And then he would edit it. And it's like, the fuck what you do? Like, I just type that.
Starting point is 01:09:59 I'll edit it before I type it. And Brandon would have to retype the thing. Well, no, because remember Brandon had the office and he had one of the electric typers with memory. Oh, that's right. Oh, listen, when we say memory, it's not what you think. Yeah, it's 1990. IBM select mark or something like that. Yeah, it's like a cartridge that has a ribbon and somehow it has memory.
Starting point is 01:10:21 Is it memory in the ribbon? Or was the, where was it the memory in the typewriter? Can you insert a photo right here? Yeah. And I'll pull up a picture. Oh my God. If you saw these things, bro. Yeah.
Starting point is 01:10:33 And so you want me to look it up? Yeah. IBM select. Hold on. Keep in mind, those were the flagship. Right. Those are the privileged people. So I had, like I had one in my office.
Starting point is 01:10:44 Right. Amadeo had one, personal one in his office. Brandon had one out at the factory where he worked. Listen, these were. coveted. Coveted. Coveted. Yeah.
Starting point is 01:10:54 You'd get $500 easily for one of them type earners. I can't tell you how many people tried to buy mine. And I would just, you know, I'm not going to sell my typewriter. Yeah. I'm never getting another one. Yeah. You know what I mean? Mine was brand new out of the box.
Starting point is 01:11:06 Did they? I have a question. Before you left, were they giving you guys tablets? They began with the tablets. Yes. But they were, you know, they were essentially game playing. Right. So you could play.
Starting point is 01:11:21 video games on them. Yes. But it was like rudimentary type games. It was not like cool. Not like Halo. No, nothing like that. It's more like Pac-Man and shit. Well, it wasn't old stuff. It was games designed specifically for that platform. You could also rent movies. But it's, you know, like
Starting point is 01:11:37 the PG-13s. I don't care. Yeah. And so ridiculous luxury. Yeah. And then you hadn't, you know, they were integrating being able to transfer your music to it. listen, when they got the MP3 players and you could download MP3 whatever, you could download the music,
Starting point is 01:11:58 listen, that was like they, it was like they just knocked 20% off my time. I mean, it was just like amazing. Because the little radios, these little shuddy radios you could buy on commissary were so, we're out in the middle of nowhere. You could get like four channels. And it was, and they were,
Starting point is 01:12:13 and it depended on what kind of, what time of day if you could get them at all. And it was mostly like very faint and crackly, and then at night, you would get a better channel. If you guys would try and get on the right side of the certain sides of the building, so it would come in loud or so you get would come in more clear. Yeah. That's how bad it was.
Starting point is 01:12:32 So when they got the MP3 player, you're like, oh, wow, I can download Chris Rock. Chris Rock. The kid rock. What am I saying? Oh my God, Chris Rock. Yeah, no, you couldn't do that because that would be like comedy. They didn't have any comedy. But yeah, you could download.
Starting point is 01:12:48 No, they added comedy. Oh, they did. Oh, all the good stuff when I left. But it's still, it's all the profanities. And like, you can't listen to. That's right. The kid rock that we got, like, they cut it out because there's, it's, um, they're all censored versions.
Starting point is 01:13:03 Yeah, you never let a, or you never met a like me is you never met a white boy like, no, you never met some, whatever. They, you know, they would have the clean versions. Yeah, that's what they called them. Yeah. And, uh. Yeah, it was white boy. like me. I think they said, I don't know. I think they changed it somehow or another.
Starting point is 01:13:22 Yeah. And so they now they were getting ready to start adding books also, which would change a dynamic because now remember like for those two years, you're running lockdowns. So you weren't, you were familiar with the pandemic lockdowns. Right. It was a, you know, you couldn't go to the library. People could mail stuff in though, right? Yes, but it was, you know, they were, they came in and remember how like spectacular that library was in 18. Yeah. It's all gone. Because the guys in the other units were using the in-house libraries.
Starting point is 01:13:55 They were cutting open spots and hiding the phones in them. Oh. And so instead of searching every book, they just took all the books. All right. Yeah. And so having an ability to order the books yourself would obviously be a huge game changer. Mm. All right.
Starting point is 01:14:15 But they're going to make you pay for them. Yeah, of course. So I've got to pay for the books. I can order it, but you've got to pay for it. instead of having your family move it. Oh, I guess your family just sends you the money. You order to look yourself. They were already implementing a pilot program where you don't get your mail anymore.
Starting point is 01:14:29 Oh, so you just read it. Yeah, they're going to scan it for you and they send it to you. And so the little pads are going to be incorporated into that. Because the amount. They were getting the amount of product coming into the prison is just. Yeah, because it's, it's K2. It's a liquid, right? So they could just, they were just like on page 31 of a book, they'd just dip it.
Starting point is 01:14:54 And so you knew, and you'd get a book, tear out page 31. They could roll up and smoke it. And then, of course, then they turned it to, first, then they turned to, oh, it has to come from the publisher. From the publisher. Well, I mean, there's so many publishers. You can, anybody can be a publisher. Yeah. You know, you just make a invoice, stick it in there, wrap it all, wrap it around it,
Starting point is 01:15:14 and send it with a label saying you're a publisher. Now, guess what? that the prison lets in a book that they think came from a publisher, but it didn't. It came from inside true crime publishing. They don't know. So they implement these things, but people quickly find ways around them. There's always a work around. And, you know, they had a real bad problem with drone episodes.
Starting point is 01:15:33 Really? Yeah. And so there was probably about, I'd say probably a good 10, 12 drones. Oh, my God. made it through over the course of a few months. And then on one of them, you know, you had the two fences. You had the outside perimeter fence. And then the inside perimeter fence.
Starting point is 01:15:51 Right. The drone dropped the package in between the two. So the guy tried and get it? Well, yeah, they're out there with like the broom handles. Oh, my God. Like trying to fish it. And they weren't able to do it. And so at some point, one of the guards actually does a perimeter check.
Starting point is 01:16:10 And he stumbles across and you got, you know, a dozen phones. bag of weed and what kind of what an idiot drops it in the middle of like you can what do you I'm sure you want I'm saying you want to drop it close to something a fence or something but that's where it would be good if you the guy doing that working the drone had been in the prison yeah and new like this guy's probably thinking oh just drop it there they'll grab it like you're not getting in there yeah and so then there was a second time where uh it got stuck on the you know the the constantine wire yeah yeah on the second fact And so at that point, you know, the captain just went nuts. You know, it'd be like every time there's a drone, everybody's locked down for a month. And then it's every time there's a drone, there's three months locked down. And it's like, you know, you're at a low. You're running everything on lockdown. Yeah, what are you doing?
Starting point is 01:17:01 It's like, you know, and so it's, it's, they, uh, they really lost control of that situation. Because, you know, it got there. It was funny because, like, one time they had, like, a sting. Like, they knew. bag was out there. And so they wait to go out and get the, you know, they're watching someone to grab the bag. Right.
Starting point is 01:17:18 Well, he grabs the bag. It gets distributed. And by the time they go, they just, you know, there's 700 guys coming off the yard. Who knows who has what? You can't search 700 guys. Yeah. It was just like, come, you know.
Starting point is 01:17:31 Or did they search them? Try and search them. They didn't get it. Yeah. Some of these guys will suitcase a phone like that. Yeah. Like you're like, wow. That's quite a talent you got there.
Starting point is 01:17:41 And so, yeah, the drones were an enormous issue there. And like the new generation guy says, they've got an entire squadron at each one of these border crossings, just running drones. And so at some point, you appreciate the fact that we have lost control of the situation, which is part of the reason why you see so many people in the country losing faith in these type of institutions. institutions because if you stop and think about it from 1980, you know, 1981 when Reagan declared his war on drugs till now, they spent over a trillion dollars. It's worse today than it was. You know what I mean? It's like, what, what did what's the return on that investment?
Starting point is 01:18:33 And, you know, it's, uh, did you read the book, the Holderman Diaries? You did? No. Who did? Who read it? What is that? In 1994, there was a book called the Haldeman Diaries that came out. I don't think I've written to read until I was probably in prison. Okay, well, yeah, there was a book called the Haldeman Diaries. Alderman was one of the main guys.
Starting point is 01:18:55 I think he was actually like Attorney General for Nixon. Okay. And, you know, they had a recording system at the White House. Yeah, I'm aware. So it's not speculation or it's not secondhand accounts. they you know so like watergate happens 72 is a break in 74 he resigns it was like 20 years later the tapes are made available right you know what I mean and so like for the first time we're actually able to hear what they were saying Nixon saying well tell those guys to go in there
Starting point is 01:19:26 and plant those bugs but the interesting part wasn't the discussion about water great quick can I stop you for a second go ahead watch this Do you know what Watergate is? No, it's something. History. History wasn't my interest. Did he even know who Nixon was? He was a president, yeah.
Starting point is 01:19:55 Okay. I can tell you, I've heard Watergate many times, but when people say it, I'm just like, oh, yeah, yeah. Well, you know what you also hear is that you'll hear, because it was such a big deal, is that the media will tweak it now, will have some of the, there's a big, like I said, there's a big, a big scandal. They'll call it, they'll throw a gate on the end of it. They'll say, oh, it's, it's, you know, the skating gate. You know what I'm saying?
Starting point is 01:20:24 Because maybe there's something that has something to do with the skating in the U.S. skating something. There was a big scandal in the order of fraud or something they'll say. So the water gate, so back to Watergate, Watergate was a Watergate hotel. and Nixon's staff several of some of Nixon's staff members hired someone that hired several
Starting point is 01:20:50 professional burglars to what do you what do you mean what am I getting it wrong no they broke into the professional burglars it was an FBI agent named Gordon Liddy oh okay here we go go ahead G Gordon Liddy was the leader of a group called the plumbers well yeah who they were hired by They were hired by the Nixon campaign.
Starting point is 01:21:11 Okay, okay. Not so not the administration. So the campaign hires them. The committee to reelect the president called Creep. And so the Nixon campaign hires this group of, his FBI agent to organize a group of individuals to start doing break-ins. They weren't professionals? No. If they're being paid?
Starting point is 01:21:29 Well, yeah. I'm sure they're. What defines being professional? These guys were true believers, essentially. Okay. And so they, remember, it was a different world. You had a very conservative administration that was at odds with the anti-war left. And this is getting ready to the point that I'm about to make.
Starting point is 01:21:51 Okay. You know, the Nixon campaign had essentially two political opposition groups, anti-war left and blacks. Okay. And so they needed to come up with a way to demon, demon. and neutralize these two groups. When the White House tapes got released, it resulted in a book getting published called the Haldeman Diaries.
Starting point is 01:22:14 We're still talking about Watergate. Yes, so here's the whole point. Okay. Okay, so once they got the actual tapes, they were able to go interview to the people that were personally involved. Okay. Like, hey, by the way, you said this.
Starting point is 01:22:28 Right. You said this. Right. And so in connection with the drug activity, it came to light what the actual purpose of declaring drugs a problem was. Nixon didn't care about the drugs. Republicans didn't care about the drugs.
Starting point is 01:22:43 It was a pretext designed to attack their political opposition. And so when Ehrlichman gets confronted with, hey, this is the tapes and this is what you said, here's his quote. The Nixon campaign in 1968 and the Nixon White House after that had two enemies, the anti-war left and black people. You understand what I'm saying? We knew we couldn't make it illegal to be either against the war or black.
Starting point is 01:23:06 But by getting the public to associate the hippies with marijuana and blacks with heroin and then criminalizing both heavy, we could disrupt those communities. We could arrest their leaders, raid their homes, break up their meetings, and vilify them night after night on the evening news. Did we know we were lying about the drugs? Of course we did. That's the genesis of the drug war. Okay. Had nothing to do with drugs. Just a way to neutralize your opponents.
Starting point is 01:23:33 This is a way to cast aspersions upon your political opponents. Right. And so this was the actual premise where the participants in the room, and this isn't the guy 30 years later saying, or 20 years later saying, yeah, this is what we did? You say, no, we were recorded saying that. Right. What can we do to neutralize these blacks? Right. And what can we do to neutralize these hippies?
Starting point is 01:23:55 Yeah. Why don't we do this? Okay. But now you contrast that with their actual public statements. They're acting like they care about the American people, the healthy American people, these drugs are really bad. how they pitch it, the narrative they produced, was completely false. Okay. Okay.
Starting point is 01:24:12 That is the genesis, not just, this is an example of where things went off the rails in this country. Okay. Well, are we going to finish talking about Watergate? So now here you see, so this tells you, well, the Watergate aspect of the story is over with. No, it's not. He doesn't know what Watergate is. Neither does 9, 80% of the people watching this. So anyway, the FBI put together the burglars.
Starting point is 01:24:38 Gord and Lady puts together a team of guys. They go break into a man named Daniel Ellsberg's office. Right. In the Democratic and the Democrats. Initially, it was Ellsberg's office. He's the individual who procured material from the military that was released to the Washington Post in the New York Times that were dubbed the Pentagon Papers. Oh, yeah, yeah, okay. And it demonstrates that the government of the United States knew before the escalation of Vietnam that they couldn't win.
Starting point is 01:25:09 Right. Again, it's another instance of false narratives. Yeah. And so you start seeing this repeated pattern where you get... Was his office located in the Watergate Hotel? No. So you did the Ellsberg break in first. Then they said, you know what?
Starting point is 01:25:24 Let's go and do the same thing for the Democratic office. So what they did is they broke into the Democratic campaign headquarters in the Watergate building and they bugged it. So they put in listening devices. Well, what they didn't expect was later on the Supreme Court that same year declared listening devices illegal.
Starting point is 01:25:46 So now they had to break back in to take out the bugs. I did not know that. So you know what I thought happened was when they were in there planting the bugs, they got caught. No, they got it. It was when they went back in to get them. To get them. Well, they're trying to do the right thing.
Starting point is 01:26:01 That seems reasonable. Why do that at all? Why not say, just let it go? What does it matter? Because the Democrats aren't stupid. You know, and they were being represented by an individual who was certainly the most powerful defense attorney in the entire country, man named Edward Bennett Williams. He actually made it out the Nixon's enemies list.
Starting point is 01:26:21 Okay. And the... He had like a little list? Yeah, the whole list. Yeah. Edward Bennett Williams, like, one of the guys at the very top. Okay. And so they didn't want to, he almost came close to blow in the lid off Watergate.
Starting point is 01:26:34 He just didn't know about the bugs. Okay. Because he's the one that was suing the committee to reelect the president. All right. And so you had all these moving parts going on. And so the point is, is you had a fundamental change in our country where the power that be started providing these false narratives that, people, segments of the population, no longer believed.
Starting point is 01:27:04 And Watergate was certainly one of them. The Vietnam War was certainly one of them. You know, and so you had a change fundamentally in our country. Because up until the 1970s, our country has always been a story based on growth. You know, we're a very young country, and we were fortunate in that within, you know, 1776, to declare independence, 1787, Constitution takes effect, 1789, Bill of Rights gets amended. And within 50 years, you got, you know,
Starting point is 01:27:35 run from in the midst of Industrial Revolution. So we went from what was essentially an agrarian society to an industrial society relatively quickly. So we got all the benefits without a lot of the bullshit. And so the American story has always been one of growth. Your grandfather knew that if he worked hard, his son's life's going to be better.
Starting point is 01:27:58 And your father believed that if he worked hard, your sons, you know, 50 years ago, a guy working at an auto plant could support his own fire family. You know, he's the primary breadwinner, the wife's at home, he's paying the mortgage, two cars, paying the kids to go to school. Well, middle class guy can't do that today. Right. Blue-collar guy can't do that. His wife's got to work.
Starting point is 01:28:16 He's probably working two jobs. He's got a side hustle. Well, something has fundamentally changed, which is what's caused this loss in trust in all of our institutions. And the drug war is an illustration of that. It was premised on a completely fabricated basis that the Nixon White House wholly concocted. Right.
Starting point is 01:28:39 Now, there's lots of things like that. That's very... Ten years later, it's a similar circumstance. Remember, you know, we had a difficult period. You had, you know, the Arab oil embargo. We got our asses handed to us in Vietnam. Four years later, five years later, San Denaes take over.
Starting point is 01:28:57 And so in Nicaragua. Yeah, yeah. And so you had, you know, the Western Hemisphere has always been our backyard. So you had Cuban regime, a communist regime in Cuba. Now a communist regime in Nicaragua. We just lost to the commies in Vietnam. Right. So they elect Reagan.
Starting point is 01:29:14 They elect Reagan. And what he decided to do, he breaks out the Nixon Playbook. War on drugs. War on drugs. Because you had indigenous groups that were supporting revolutionary ideas. in other Central American countries, whether it was Honduras, El Salvador, Guatemala. God, I wonder, what do you think, Reagan, how much do you think he dumped it to the military? You think he doubled the budget or what?
Starting point is 01:29:36 A tremendous amount of money into the budget, but here's the thing. No, no, I don't mean the, I mean, I'm sorry, I meant like the military budget. Yeah, there was a significant increase. Yeah. Because, you know, one of the things he was doing was saying he really pushed the narrative of the Soviets, the imminent Soviet invasion of the United States. Soviets were never going to invade the United States. It was never even on, it was never even a discussion.
Starting point is 01:29:58 Yeah. Like they don't have, they can't get their people here. They don't have the transports. And the U.S. The U.S. knows this, 100%. We know we can see what you have. You don't have transports. You have no one.
Starting point is 01:30:08 You can barely, your country is so massive. You can barely get around your country. You got railroads going everywhere. Like, you're not getting them on boats and shipping them over here. It's never going to happen. You can't transport them here. But he pushed that narrative. It scared the piss out of everybody.
Starting point is 01:30:24 Mm-hmm. And so what do we need? We need more money in the military. Well, you know, the, we, he, you know, when he, Reagan wins office. And keep in mind, at this point, I was, what, 10 years old, 11 years old? I was diehard Ronnie fan. Right. You know.
Starting point is 01:30:38 I love, listen, I love Reagan. Okay. I love Reagan. I get it. You manipulated things, but that's just everybody does. Yeah. And so what you had, though, is an effort on his part. You know, we had to have a basis to get munitions, arms, and, you know, material and advisors into
Starting point is 01:30:54 these countries. Well, the reason why you get these communist insurgencies is because they're fighting against quote unquote American imperialism. Right. And so we had to manufacture a basis to get advisors into Honduras, Guatemala, to make sure that these other countries don't fall the way Nicaragua did. Right. So they break out the old playbook.
Starting point is 01:31:15 They use the war on drugs. And if you stop and think about it for a moment, it was always BS because they're, you're premise was we're going to disrupt the drug markets here by curtailing supply. Well, the proposition of curtailing supply provided them with the basis to say we're going to put helicopters, rockets, missiles, and all these little countries, Panama, all the other ones, make sure that they don't get overthrown under the pretext of counter-narcotics operations. Right. Well, what happened is we're now 40 years later. We're now two generations. We're now two generations later. Like, you don't even know who Ehrlichman or Haldeman were, much less read the book
Starting point is 01:32:00 today or 30 years ago when it came out. Well, the 99% of the people in the country don't know that Nixon's on tape saying, okay, Jennifer phony bullshit drug war. Right. And the Attorney General makes these kind of statements. Well, the problem is you got the people operating, you know, running the ship today who don't know that it was all a pretext four decades ago. They never actually meant to do what you're trying to do. And so what you actually done as you create a circumstance where the consequences of your decisions are predictable. You start interrupting the Colombians coming to Florida. What do they do?
Starting point is 01:32:39 They go to California with Mexico. You intercept our lows. They increase production. They increase production. They had to find new markets. Now, her comes when we had that whole episode dealing with unintended consequences. Well, essentially, the geopolitical fight against communist. insurgents created the drug epidemic in the United States because there was never an attempt
Starting point is 01:32:59 to disrupt the markets. You know, the historical precedent where it actually succeeded was in China. You know, the commies fought the war in China. They won the civil war. Chiang Kai Shik and the nationalist flew to Taiwan. Right. So the Republicans, the Democratic people that are Chinese are in Taiwan. the commies that are Chinese are in China.
Starting point is 01:33:25 And so one of the first things the Chinese did is say, okay, we're going to shut down the opium trade. No more British Empire, opium. Right. So they shut down the opium and shut down the heroin. Okay, now how are you going to curtail the drug use? They put two million people in reeducation camps. Right.
Starting point is 01:33:42 They broke the market by curtailing demand. Not supplied. Now, if they catch a dealer, they just executed them. Right. But they stopped the market by curtailing demand. You either were reeducated and stopped using or if you relapse, you were executed. So that's why, like, today when you see, you know, the American government goes to the Chinese and saying, hey, stop the precursors. They're like, what are you doing for demand?
Starting point is 01:34:09 Right. You wouldn't have a problem if you put these people in jail. But that's a politically untenable proposition in the United States. They're not going to arrest the consumers. Right. But they've created this narrative that the problem is because of the supply side. Right. It doesn't mean.
Starting point is 01:34:21 It's actually anti-capitalist. Capitalistic. Yeah. It's really stupid. That's why it's a fool's errand because as powerful as federal law enforcement agencies are, they're not as powerful as the market. Right. And the market forces overcome it.
Starting point is 01:34:38 And if you want an illustration? Sure. I love illustrations. Okay. Let's do it this way. We're here near Tampa. Do you have a sewage treatment in Tampa? Presumably.
Starting point is 01:34:50 You don't dump everything? everything into your beautiful day. Of course. Okay. So if we go to Tampa sewage treatment and say, hey, you know what? Fill up my cup with human feces. How much can charge me? Right.
Starting point is 01:35:02 Better yet. Let's get a few 55-gallon drums full. We got a large supply of human feces. Now let's go to Costco and buy ice cream cones. You are going to corner the market. I'm selling what we'll call shit cones. Okay. Take one scoop of shit.
Starting point is 01:35:20 You're not going to sell a lot of those. Well, according to the government, supply creates a market. Right. We've got an unlimited supply of shit. You've got an unlimited supply of shit cones. Right. Why aren't we selling them? Right.
Starting point is 01:35:32 There's no demand. It doesn't matter how much supply there is. It's always demand driven in a commodity space. I'm not talking about technology. Right. People would go, oh, what about the iPhone? No, no, no, no. I'm saying in the commodity space, markets are a function of demand.
Starting point is 01:35:51 And even if you take your... shit cone from a dollar a cone to 50 cents a cone to a penny a cone, you're still not going to sell any. Horrible example, by the way. Also, can I point this out? Colby, so Nixon was implicated in the whole Watergate scam. He was implicated where he knew what was happening. And so that's why he ends up there in the process of impeaching him, and he resigns and makes
Starting point is 01:36:15 Ford? What do you? Okay, okay. All right. What happens? was not involved in the break-in. No, I'm not saying he was in the ride-driving. He wasn't aware of the break-in at the time.
Starting point is 01:36:28 No, he was aware of the cover-up. He did, yeah, he orchestrated the cover-up. Yes, they came. When he found out that you guys did, you did what? Like, he's like on tape. That's like, that's like you and John Robb the bank, and you come to my house, and I help you count the money and launder it. Or not launder it, but I help you count the money and hide it. even though it's after the fact, I'm still now an accessory to the bank robbery.
Starting point is 01:36:52 I'm now a part of the conspiracy. You're an accessory after the fact. Yeah, but I'm still part of the conspiracy. No, I mean, accessory after the fact. He was an accessory after the fact. Okay, so Nixon was still involved. Accessory asked him to tell you if you want to get technical, but he was still involved in the whole thing because afterwards when they told him what happened, he starts to try and they kind of try
Starting point is 01:37:10 and come up with, you know, like they're trying to pay the guys to shut up or whatever. They're trying to get everybody to be quiet and keep your mouth shut and we'll get you out of jail or whatever it's going to do. So as a result of that, they started impeachment hearings. I thought they started impeachment and then he... No, he had the payoffs. They got lawyers for everybody. And then one of the deputy directors at the FBI took on the role of an individual
Starting point is 01:37:36 named Deep Throat. Yes. And he leaked the fact that, hey, they're recording all the conversation. It doesn't matter. So now he gets in trouble because he starts editing the tape. Like, oh, get rid of that one. Oh, get rid of that one. this one. Oh, we can't say that. You know what I mean? So now Nixon was dead to rights because they got
Starting point is 01:37:52 him on tape after the break-ins laughing about it. Right. That was a nice one there. You know, so he was clearly complicit in the overall scheme. Did they not start impeachment? Yes, they initiated. What did I say? That doesn't matter. That's all that's detail. It's the same thing. They start the impeachment process and then he decides he's going to resign and step down and he appoints, Well, obviously, the vice president didn't appoint. The vice president becomes, and who is it, Ford? Gerald Ford. Yeah.
Starting point is 01:38:20 So Gerald Ford becomes president. And Nixon says he didn't. That's what Nixon does, his famous speech. You know, I am not a criminal. Do you ever hear? I'm not a criminal. I remember a history teacher doing that. Right, right.
Starting point is 01:38:34 Because he, we heard the whole face. His face was all, I'm not a criminal. But anyway, he steps down. Gerald Ford becomes president, and he, um, uh, pardons him. pardons him. And of course, everybody assumes that there was an agreement beforehand, although they said there was no agreement, but I have to can't allow, Gerald Ford said, I can't allow for an ex-president to be, you know, impeached or whatever charged or whatever. So I'm, you know, for the presidency, that sort of thing. And so, yeah, that was, is that right too? Yeah, of course. Very good. My God, Pete, listen, I'd like to say I was 90% on this and he's going in with fact, specific facts that altered to, to undermine me. And I feel I'm 90% sure. I know they definitely did not know that they,
Starting point is 01:39:21 I did not know that they broke in to remove the wires. Yes. The bugs. Like that's nuts. Yeah. That'd have been like that. Like even if they find the bugs, I'll just, I'll just deny it. Like, what are you talking about?
Starting point is 01:39:32 We had nothing to do with that. Like going in back in. Yeah, but they may have been like FBI issued. Oh, like, could you imagine they had like serial numbers like you, Johnny, you sign these out. Like, it's crazy. Well, we just have to. Johnny, we had to stop that in its place. We got to Johnny's going to have a tragic accident.
Starting point is 01:39:50 That's what I think. I'm not going back in. Anyway, I'm sorry. So, no, and so the whole point, the, the false narrative has been utilized in numerous different contexts, one of which, of course, was the drug war, which ultimately results in the situation we're in today, where a solution to a specific problem was. you know, the drug war was appropriated as that solution. And today, that context doesn't exist, but the machinery just keeps rolling on. And essentially what you have now is market forces dominating, which is why it's just, you know, had they spent a trillion dollars on demand, we wouldn't have a market. Right.
Starting point is 01:40:35 But then we wouldn't have had the troops or the material or the weapons and munitions in Central America back in the 80s. And so, and, you know, it was interesting because, you know, in prison now, it was. became well-accrained with a traffic named Mario Villabona. And Mario at one point was the largest drug kingpin on the West Coast. He oversaw, he represented the Kelly Cartel in the United States. And, you know, he would, we talk a little bit. And he'd be like, you know, the problems that they made was doing business with people that the Americans perceived as communist sympathizers.
Starting point is 01:41:12 Because from the Colombian's perspective, they just wanted to. lander planes to refuel their aircraft. Well, it turns out that the individuals that are clear-cutting the forest to land of planes are insurgents. And so now the Americans were able to say, hey, look, the Colombians are indirectly financing the commies. So now they get bootstrapped in. So, like, they walked right into this trap.
Starting point is 01:41:32 Like, they weren't discerning enough. Because the last thing, you know, these guys were hyper-capitalist. They're not commies. They're just looking to lander aircraft. And so when I would talk tomorrow, he's like, you know, that was one of the big things they did because they gave that. issue to the Reagan administration. And that's essentially how they were able to say, now we're going to also go after the
Starting point is 01:41:50 Colombians. And so you just had this massive escalation that served as a cover for what they were actually doing geopolitically. You know, and see, and the problem they had is when Reagan went to the Congress, because at the time, both houses of Congress were controlled by the Democrats. So when they went to the Congress to try to obtain funding to fight the Nicaragans, they said, no. Like, you just lost in Vietnam.
Starting point is 01:42:12 We're not getting involved in any more to silliness. which is what in turn prompts the Iran-Contra's scandal because now they had to raise the money to support the Contras against the Sandinistas. And so it's just one huge false narrative that unfortunately, four decades later, we're still stuck living with. Yeah, I would actually talk to Colby right now about the Iran-Contra scandal. But I'm afraid I'd get half of it wrong. Does he hear him? Does he know about it?
Starting point is 01:42:46 No, he doesn't know about it. He was educated down here in Florida with me. I don't know anything. I know bits and pieces. I've watched a movie, which apparently, I've watched several movies on these things, which were apparently completely botched. Well, it wasn't until one of the break-in participants released his memoir. It was like in 1993.
Starting point is 01:43:08 Right. That he disclosed, like, for the first time, well, we were actually going back to get him. Oh, so initially, we thought that you thought they were. actually putting them in. Yeah. How am I supposed to know that that? How am I supposed to know that?
Starting point is 01:43:21 But these are the basic, big books that were popularized in the early 90s. Didn't you read it in 93? No, the general consensus is they were going into bug. Yes, no, they were actually going into removed bugs. It's, I, this is ridiculous. It was why to break it happened in June of 72 because earlier that same month, the Supreme Court held that wiretapping is illegal. I would think like you didn't know that maybe this was wrong. Maybe wiretapping your competition is...
Starting point is 01:43:52 Because remember, no, no, no, because their pretext was that the Democrats were directing the leaking of confidential information to harm the war effort. So they were saying what, that this was part of an investigation? Yeah, that was their pretext. This is an investigation to determine whether or not the Democrats are colluding with Ellsberg, which is why they broke into his office. to look for evidence. That sounds like it's all fabricated a reason to,
Starting point is 01:44:19 of course, them. What? These are the guys that fabricated the drug war to smear blacks in anti-war lefties. And so, yeah, of course, obviously it was a false narrative. But nevertheless, that false narrative, you know,
Starting point is 01:44:34 the Supreme Court's decision caused them to be concerned that people were going to stumble upon something they couldn't find out. Right. Which, earlier we were talking about what happened with Zambada's kid in Mexico. That's exactly what happened. When the Mexicans arrested Vecente Zambata, they stumbled on to something that nobody was supposed to know about. Right. And so when Zambata's like, what are you doing?
Starting point is 01:44:59 I'm working with you. Yeah. What do you mean? You're not working with us. I'm up there meeting with the green dust. So there's a problem. It's always like the fly. It's the fly in the ointment, right?
Starting point is 01:45:05 It's that one thing you can't predict. Like you could not predict this. This kid's gone, he's gone his whole life without being bothered by these people. and he happens to walk out of a meeting with like the DEA and like the Americans walks out, boom, they grab them. What's the thing going on? He's like, yeah, call your commander. He'll call his commander.
Starting point is 01:45:24 Let him know. Yeah, I'm here. I'm here. I'm with the green go. Yeah. But I mean, how the chances that they would have grabbed them at all. Yeah. Is unlikely.
Starting point is 01:45:29 It's such an unlikely low probability event that all of a sudden now it was a mad scramble because you've got high ranking DOJ, high ranking DEA officials operating clandestinely in Mexico. They're not even supposed to be in country. They didn't notify to host country. So now to Mexicas are saying, hey, you're colluding with these guys. You're in bed with them. Which is true.
Starting point is 01:45:47 Well, we don't know the full nature of the relationship, obviously. I thought he was taken over for the lawyer that they'd cut loose. Oh, no, yeah, but, you know, from the cartel perspective, they're using the Americans to wipe out their enemies. Well, they're still providing information. Well, sure, of course. To their benefit. Sure, to my benefit. That's how, you know.
Starting point is 01:46:09 But from the American perspective, that's the last narrative they wanted. You know, this is where you see You know, every once in a while The curtain comes back Right And you see that there are events going on That were never designed to get out in public That all of a sudden there's a mad scramble to cover up
Starting point is 01:46:27 You know, happen when we went into war with that Okay, what's up Do you know where the term like, you know, They pulled back the curtain You know where that? I mean, I'm assuming a stage, you know? Wizard of Oz The Wizard of Oz, right?
Starting point is 01:46:42 Am I right? Yeah, they pull the, and you see the little man behind the curtain who's really working the levers. And he even says, he's like, pay no attention to the man behind the curtain. But he's the guy who's really working the let you. The great Oz is this huge thing in there. Ah, ha. But it turns out that Toto pulls the curtain and it slides the curtain back. And you can see that it's really just this little old inventor working the things and talking into a mic.
Starting point is 01:47:06 And it's a great. Yeah. So if you have a good. So, hey, so. You know, also it pulled back the curtain. It's a great. So these clandestine operations every once in a while gets stumbled upon. He didn't care.
Starting point is 01:47:18 And that's an interesting example. And that's it. I think we're done, right? So what's the solution? How do we fix it? How we fix this country? Pete doesn't have solutions. Pete only points out problems.
Starting point is 01:47:33 No, the solution was already, it's obviously, like I said, make a deal with one of these guys. I think that's a horrible. solution. I think you, you know, exactly what we did in Afghanistan. I think what the solution is that you legalize some form of drugs across the board,
Starting point is 01:47:52 maybe not everything, but some type of, and then you have, you tax it, you make it purified, and then you have drug rehab centers. So if you want to be on drugs, you can be on drugs. If you want to get off drugs, you've got free drug rehab centers. That's a very optimal
Starting point is 01:48:08 solution. That's just politically untenable. Yeah, it's not that. There's the thing. I'll bet that would cost less money than the war on drugs. Which is why it's all a false narrative because there is a now
Starting point is 01:48:21 12,000 FBI agent force, 13,000 DEA agent force, an entire prison infrastructure, an ability to, you know, you don't want to go too far down to rabbit hole because you start coming off like a conspiracy theorist, but when you know that there are operations like this,
Starting point is 01:48:37 you understand that, you know, we live in a world where, you know, up is down, black is white. We need that wall. That's what we need. Well, like I said, you build the wall and how come the catapults. Then we'll have Tesla robots manning the wall. Every 45 feet of a Tesla robot up there with a, you know, with an AR-15. Yeah, an autonomous weapon system. Do you guys. If you like the video, do me a favor.
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