The Surf Industry's WORST Kept Secret

Summary

This video uncovers the hidden history of the surf industry, revealing how the sport's rise to a billion-dollar empire was fueled by illicit smuggling. In the 1960s and 70s, surfers, struggling to fund their passion, turned to smuggling drugs like hashish and Thai stick in hollow surfboards. Profits from these risky operations funded surf brands, leading to the establishment of a booming industry. The surf community's loyalty and discretion kept this secret for years, and today, the sport's success remains deeply intertwined with its shadowy roots in smuggling and money laundering.

Takeaways

• 😀 Surfing started as a fringe culture in the late 1960s and early '70s, with adventurers chasing waves around the world.
• 😀 Surfers faced financial challenges and used innovative ways, including smuggling drugs, to fund their lifestyle.
• 😀 Surfboards, with hollow foam cores, became perfect hiding places for drugs like hashish, marijuana, and later cocaine.
• 😀 Some surfers used these smuggling routes to travel the world, making huge profits by transporting drugs, particularly Thai Stick cannabis.
• 😀 Bali, Southeast Asia, and remote islands became key hubs for smuggling operations, offering corruptible officials and isolated geography.
• 😀 The profits from smuggling were astronomical, with some loads worth over a million dollars, funding surfers' travel and their passion for waves.
• 😀 Many famous surfers and lesser-known ones used smuggling as a way to finance their surf trips while living a lawless lifestyle.
• 😀 The money generated from smuggling was funneled into legitimate businesses, such as surf shops, which helped fund the surf industry’s growth.
• 😀 Surf shops served as fronts for money laundering, mixing illegal drug money with legitimate sales from surfers buying gear.
• 😀 Profits from smuggling operations contributed to the professionalization of surfing, elevating the sport's profile and attracting mainstream investors.
• 😀 The modern surf industry's success is closely tied to its illicit origins, with smuggling operations funding the development of surf brands and businesses.

Q & A

How did surfing evolve from a fringe culture to a billion-dollar industry?

In the late 1960s and early '70s, surfing was a niche culture, mainly followed by young adventurers who chased waves globally. The rise of surf smuggling operations, funded by drug money, played a crucial role in providing the financial support that transformed surfing into a mainstream industry.

Why were surfboards used for smuggling drugs in the 1970s and '80s?

Surfboards were ideal for smuggling drugs due to their hollow foam cores and long, slender shapes. These features made them perfect for concealing illegal substances such as hashish, marijuana, and cocaine. Customs officers were also unprepared to detect drugs hidden inside surfboards.

What role did the Thai Stick play in the smuggling operations?

The Thai Stick, a potent form of cannabis originating in Thailand, was highly prized for its strength and unique flavor. It commanded premium prices on the U.S. West Coast, and surfers began smuggling large shipments of it by traveling to Thailand and Bali, where they leveraged their tourist cover to conduct smuggling operations.

How did surfers use Bali as a hotspot for smuggling drugs?

Bali, known for its perfect waves, was a hub for smuggling due to its lawless reputation and corrupt local officials. Surfers could establish connections with smugglers, bribe authorities, and use Bali’s remote geography as a cover for trafficking drugs like Thai Stick.

What were the risks involved in the surf drug smuggling operations?

Smuggling drugs via surfboards came with significant risks, including the possibility of being caught by authorities, arrested, and facing long prison sentences or even execution due to Indonesia's harsh laws on drug trafficking. Despite these dangers, the financial rewards were high, motivating many surfers to take the risk.

How did smuggling profits contribute to the growth of the surf industry?

The profits from smuggling enabled surfers to open surf shops, launder money, and invest in real estate and surf camps. These funds helped establish iconic surf brands, elevating the sport's profile and ultimately transforming the underground economy into the global surf industry we know today.

What were some methods used by surf businesses to launder drug money?

Surf shops were used as fronts to launder drug money, as they typically had high volumes of cash transactions. Businesses inflated sales and inventory purchases to disguise the influx of illegal money. They also invested profits into beachfront properties, surf camps, and offshore shell companies to further obscure the origin of the funds.

How did surf contests and sponsorships benefit from the underground economy?

The money generated from smuggling operations funded the professionalization of surfing. This included investments in surf contests, sponsorships, and brand development. These cash injections helped elevate the sport's profile globally while maintaining the source of the funds as a well-kept secret.

What is the significance of loyalty and discretion in the surf community during this time?

Loyalty and discretion were highly valued in the surf community, as revealing the illicit origins of many surf brands could lead to legal issues and reputational damage. This code of silence allowed surf brands to grow, clean up their image, and attract mainstream investors without exposing their criminal past.

How does the modern surf industry's success relate to its historical roots in smuggling?

The modern surf industry's immense success and multi-billion-dollar value are inseparable from its illicit origins. The drug smuggling operations, risky voyages, and use of hollow surfboards funded the early growth of the industry. While the surf industry is now built on lifestyle branding and fashion, its foundations were shaped by smuggling profits and the pursuit of freedom by surfers.