From: Australian Government | Department of Immigration and Border Protection
A Greenvale man has been charged and more than nine million illicit cigarettes seized following a 12-month joint agency investigation that resulted in eight search warrants in Melbourne last week.
This joint investigation has also resulted in the restraint of $8.35 million worth of assets by the AFP’s Criminal Asset Confiscation Taskforce, alleged to have been derived from the proceeds of crime including bank accounts and nine properties located in various Melbourne suburbs.
Australian Federal Police (AFP) officers will allege that the man was involved in the importation of illicit tobacco products avoiding duty of more than $5 million and dealing in the proceeds of crime.
The multi-agency investigation began in December 2014 when the Australian Crime Commission (ACC) began investigating suspicious financial activities of businesses associated with the man. AUSTRAC financial intelligence also identified large suspicious money movements.
Five months later, Australian Border Force (ABF) officers seized in excess of nine million cigarettes and 44.5kg of molasses tobacco imported into Melbourne. The consignment was formally declared as printer and mobile phone accessories.
It will be alleged the illegal importation of the tobacco products was occurring via air cargo and had avoided payment of in excess of $5 million dollars’ worth of duties.
Following further investigation by the ACC, Victoria Police, AUSTRAC and the Australian Taxation Office (ATO), the matter was referred to the AFP in July 2015.
On Thursday 10 December, AFP officers executed search warrants on residential properties and businesses in the suburbs of Greenvale, Beveridge, Tullamarine and Fawkner.
A 40-year-old man from Greenvale was arrested and has been charged with:
- Dealing in the Proceeds of Crime, contrary to section 400.3(2) of the Criminal Code Act 1995 (Cth)
- Smuggling of tobacco products contrary to section 233BABAD of the Customs Act 1901 (Cth)
- General Dishonesty, contrary to section 135.1(3) of the Criminal Code Act 1995 (Cth)
The maximum penalty for these offences is a total of 17 years imprisonment, plus the amount of duty payable on the day the offence was committed, being $5 million.
The man was bailed to appear before the Melbourne Magistrates Court today (Tuesday 15 December).
AFP National Manager Crime Operations Shane Connelly said this successful operation was a result of close cooperation and intelligence sharing between all agencies.
“This multi-agency agency operation is testament to our combined determination to disrupt and deter serious and organised crime by taking the profit out of crime”, Assistant Commissioner Connelly said.
“By targeting criminals and their assets originating from unexplained wealth we also prevent the reinvestment of their profits into future criminal schemes.”
ACC acting Executive Director Operations, Col Blanch, said organised crime is entrenched within the illicit tobacco market in Australia.
“Organised criminals perceive the illicit tobacco market to be a low risk, high profit enterprise. However, this investigation demonstrates that the risk is increasing,” Mr Blanch said.
“Law enforcement and regulatory agencies are targeting the illicit tobacco market, and will continue to do so.”
