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Black Market Site “Silk Road” Re-emerges

dangerous_medicines_slideLast month, the black market website, Silk Road, was shut down by the Department of Justice (DOJ) and its owner, Ross Ulbricht (aka “Dread Pirate Roberts”), was taken into custody. Recently, a new Silk Road website re-emerged, promising better encryption for the Web’s largest black market. The website looks a lot like the original and already has more than 500 listings, ranging from illegal drugs for sale to counterfeit currency, passports and even hit-men for hire.

Like the original site, the new Silk Road uses the anonymity tool Tor and the cryptographic currency, Bitcoin, to protect user identities. The new website owner even uses the same Dread Pirate Roberts Twitter handle and wrote “You can never kill the idea of Silk Road” shortly before the official launch of the new site on November 5th.

Even with all of the safeguards in place, there is no reason for anyone using Silk Road to believe that they are immune to human error, which is what lead to the downfall of Ross Ulbricht. For example, Paul Leslie Howard, an Australian Silk Road user, got caught by committing the simplest mistake, which was having drugs sent to his house. Howard didn’t consider the paper or pixel trail he was leaving behind. In the end, he pleaded guilty to importing border-controlled drugs and trafficking controlled drugs, and was recently sentenced to five years in prison.

The investigation that brought down Howard is not an isolated incident. Police, in countries across the globe, promise that Silk Road users will not always remain anonymous and when caught, that they will be prosecuted. In the U.S., Senators Tom Carper and Tom Coburn, top lawmakers on the Homeland Security committee who plans to hold a hearing on digital currencies this month, agree that the new Silk Road site shows that the “government needs to adapt to fast-moving technology.” According to Carper, Federal lawmakers are working to “develop thoughtful, nimble and sensible federal policies that protect the public without stifling innovation and economic growth.”

CSIP members and law enforcement officials continue to learn more about new black market website networks and find ways to combat their illegal activities.  However, putting an end to illegal drug sellers and other counterfeit sales will require efforts on the part of many.  According to Marjorie Clifton, CSIP Executive Director, “Our members are among the most innovative companies who are aggressively working to combat illegal prescription drug sales online.  It is our hope that consumers will also educate themselves and understand the risks of using the “Deep Web” to purchase goods.  Especially in the case of prescription drugs, consumers are putting their health and safety at risk by purchasing from uncertified channels, while also supporting criminal networks.”  Access our pharmacy checker tools to learn more.

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The Center for Safe Internet Pharmacies (CSIP) and our 13 member companies have the shared goal of helping address the growing problem of consumer access to illegitimate pharmaceutical products on the Internet. Continue to read this blog for updates on CSIP’s education, enforcement and information-sharing efforts.