A multi-agency taskforce has uncovered a large illegal tobacco and drug syndicate, seizing millions of cigarettes along with over 300 kilograms of cocaine and liquid methamphetamine.
For nearly two years, law enforcement agencies have been investigating a 42-year-old Sydney man suspected of being the ringleader.
The NSW Police, Australian Federal Police (AFP), Border Force, and other agencies believe the group exploited “trusted insiders” at Australian ports to smuggle drugs.
In July 2024, the Multi Agency Strike Team (MAST) intercepted 280 kg of liquid methamphetamine arriving from Vancouver, Canada. Police monitored the shipment without intervening initially, aiming to track down those responsible.
By August 4, 2024, authorities observed two men attempting to cool and extract the liquid methamphetamine in Riverstone, Sydney’s north-west. Later that night, a 43-year-old man was arrested at a fast-food restaurant in Londonderry. Police found what they called a “methamphetamine cookbook” during their investigation. He was charged with multiple serious drug importation offenses.
On the same day, a 31-year-old man was arrested and charged with involvement in a criminal group.
The alleged ringleader, aged 42, is believed to have orchestrated the July 2024 shipment and used a freight forwarding company in Punchbowl to import illicit goods into Australia.
The investigation continued, revealing the ringleader was also importing cigarettes from the United Arab Emirates. Police claim that during multiple interceptions, they uncovered 20 million illegal cigarettes.
In May, authorities allege the same man masterminded a plot to import 50 kg of cocaine hidden in cement blocks from Panama.
According to court allegations, he enlisted two men who flew in from Canada to retrieve the drugs from the cement blocks and distribute them to organized crime networks in Sydney.
Last Friday, the taskforce raided a property in Wetherill Park and arrested the 42-year-old ringleader, the two Canadians, and another 42-year-old man. A seventh person connected to the investigation was arrested at Sydney Airport on Saturday.
All seven men face serious charges related to drug importation, proceeds of crime, and criminal group offenses. They appeared in court over the weekend and were denied bail. Their cases will continue at the Downing Centre on various dates in June and July.
AFP Detective Superintendent Peter Fogarty stated that four of the arrested men held trusted roles in logistics and transport companies both domestically and abroad, allegedly using their access to assist organized crime groups in smuggling drugs past border controls.
Superintendent Fogarty described the illicit tobacco market as highly profitable.
Calls to review tobacco excise
NSW Premier Chris Minns recently urged the federal government to reconsider the tobacco excise tax, linking it to the growth of the black market funding organized crime.
Speaking at a press conference, Minns criticized the policy as ineffective, saying, “This is another element of federal policy we believe needs to change.”
He pointed out that despite doubling the excise, revenue dropped by 33%, suggesting the lost funds are fueling illegal tobacco trade.
Former federal police officer Rohan Pike, who helped establish the Australian Border Force’s illegal tobacco taskforce, echoed concerns that the high excise has created opportunities for criminal syndicates to undercut legal cigarette sales.
“The steep rise in excise has made illicit cigarettes about a third of the legal price, making them attractive to consumers,” Pike explained.
He called for a review of the tax rate, noting that the illicit market is now entrenched and consumers have grown accustomed to illegal products.
