Distribution

The Michigan HIDTA region, especially Detroit, serves as a distribution center for drug markets in Michigan and other states, including Ohio, Pennsylvania, Tennessee, and West Virginia. However, significant amounts of illicit drugs transported to the HIDTA region remain in the area for local distribution. DTOs distribute both wholesale and retail quantities of illicit drugs throughout the HIDTA region, with particular groups dominating each drug market. In Detroit, for example, African American DTOs and criminal groups control most wholesale drug distribution, particularly of powder cocaine, heroin, and marijuana; however, Mexican, Caucasian, and Middle Eastern criminal groups also distribute illicit drugs at the wholesale level in the city. Much of the wholesale drug distribution in the Flint area, including distribution of powder cocaine and heroin, is controlled by Mexican and African American criminal groups. Drug distribution in the Kalamazoo-Grand Rapids area is controlled by Mexican, African American, and Caucasian criminal groups.

Retail-level drug distribution occurs throughout the Michigan HIDTA region. African American criminal groups are the primary retail-level distributors of crack cocaine and heroin throughout the area; they also distribute retail-level quantities of marijuana in urban areas within the HIDTA region, but to a lesser extent. Drug sales at the retail level, especially of crack cocaine, often occur in private homes, however, some street sales take place in inner-city areas, and other sales occur at prearranged sites. For example, some local dealers accommodate suburban crack cocaine abusers who are uneasy about traveling to inner-city areas to purchase the drug. Retail-level distribution also takes place in public bars, nightclubs, and hotel rooms throughout the Michigan HIDTA region.

African American criminal groups are the primary retail-level distributors of most illicit drugs in the HIDTA region, particularly crack cocaine, heroin, and marijuana. African American criminal groups are also emerging as retail MDMA distributors in the region. Other criminal groups also distribute illicit drugs at the retail level within particular areas of the HIDTA. In Detroit, Mexican criminal groups distribute marijuana, cocaine, and heroin. Chaldean criminals in Detroit distribute Canadian MDMA, Mexican marijuana, and cocaine. A Russian criminal group in Detroit has been involved in the distribution of OxyContin, MDMA, and other club drugs; more recently, this criminal group has been marketing nitrous oxide to youth in the area. In the Flint area, Mexican and Caucasian criminal groups are retail distributors of cocaine, heroin, marijuana, and MDMA. Heroin distribution in Flint is increasing, largely because distributors know that they can make a larger profit through heroin distribution and that the penalty associated with such trafficking is less than that for crack cocaine distribution. College students from the local area and around the state often gather in the Flint area to distribute MDMA in local bars and clubs that promote "college nights" on the Internet and on local campuses. Various MDMA dealers track these promotions and also distribute the drug to student attendees. According to law enforcement officials, the bars and clubs generate increased revenue from drink purchases and cover charges but do not profit directly from drug distribution. In the Kalamazoo-Grand Rapids area, Mexican and Caucasian criminal groups distribute cocaine, heroin, marijuana, MDMA, and methamphetamine at the retail level. Various criminal groups, independent dealers, and abusers distribute diverted pharmaceutical drugs in most areas of the HIDTA region.

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