Chilean authorities have exposed a sophisticated, five-year-long copper theft operation that siphoned an estimated $917 million worth of the metal, with shipments destined for China. The dismantling of this extensive network, dubbed “Operation High Voltage,” marks one of the largest organized crime busts in the country’s history, highlighting the significant threat posed by high metal prices to Chile’s vital copper industry.
Coordinated across seven regions, “Operation High Voltage” culminated in 25 arrests, raids on 49 properties, and the seizure of 187 tonnes of copper, 40 vehicles, and 11 firearms. The recovered copper is valued at approximately $2.2 million, a fraction of the total illicitly moved metal over the operation’s five-year span.
Authorities detailed a clear division of labor within the criminal network. Specialized crews were responsible for stealing copper cables, often using heavy trucks to topple power poles and strip them quickly, leaving communities without electricity. Intermediaries then processed the stolen metal, sometimes melting it into untraceable ingots or blending it with legitimate materials. Finally, transporters moved the copper to the northern port city of Iquique, where it was loaded into containers disguised as scrap cargo for shipment to China.
Beyond the theft of physical copper, the network also engaged in significant financial fraud. They collected over $55 million in fraudulent export VAT refunds by inserting the stolen copper into Chile’s legitimate trade infrastructure for years without detection. This sophisticated approach allowed them to operate undetected for an extended period.
Rodrigo Gonzalez, head of the criminal analysis unit at the Arica prosecutor’s office, noted the persistent challenge of combating such operations. Dismantled groups are often quickly replaced due to the high profitability driven by global copper prices. Chile, as the world’s largest copper producer, faces ongoing vulnerability. The current administration is enhancing its response with centralized investigations, data-driven surveillance, and drone technology to combat these criminal enterprises.