NEW YORK – Combating the illicit financing of mercenaries and related actors must be an urgent priority, given the human rights violations and harm they perpetrate worldwide, both in conflict and non-conflict situations, UN experts said today.
“Funds generated and payments made are funnelled through traditional banking systems and cash payments, as well as through alternative financial systems by way of cryptocurrencies and crowd-funding initiatives, which are supported by multitudes of so-called enablers such as bankers, lawyers, fixers, insurance companies and other corporate entities,” the experts said in a presented to the General Assembly by Jovana Jezdimirovic Ranito, Chair-Rapporteur of the Working Group on the use of mercenaries.
Mercenaries and related actors are financed by and profit from a variety of sources. At a “macro” level, mercenary operations and services are funded primarily by States and/or their proxies, while at the “micro” level, individual mercenaries are paid for their services and may receive pecuniary and/or non-pecuniary remuneration.
“The financing of mercenarism does not exist in a vacuum. There are existing links between mercenarism and the exploitation of natural resources, as well connections to transnational organised crimes and other illicit activities such as terrorism, trafficking in persons, arms trade, drug trafficking, corruption, money-laundering, online frauds and scams, smuggling, the payment of modern piracy ransoms, among others,” the experts said.
“Understanding the complex ways in which States, enablers and individual mercenaries utilise traditional and alternative financial ecosystems, including linkages to broader criminal and other illicit activities, is crucial to tackling the scourge of mercenarism.”
The Working Group urges specific regulatory action by States and other stakeholders and stresses the need for robust adherence to international and regional criminal regulations that are aimed at stemming direct and indirect funding of mercenarism.
“We must address the gaps in the traditional and alternative financial ecosystems that allow the financing of mercenarism to flourish; and prevent individual mercenaries and related actors from obtaining pecuniary and non-pecuniary remuneration. Removing incentives to engaging in mercenarism is crucial and this should include tackling the root causes of individual recruitment for mercenary purposes.”
