Two men have been arrested and over $7.2M worth of illicit tobacco, high end watches and cash have been seized as part of an investigation into alleged money laundering linked to an organised crime syndicate involved in the sale of illicit tobacco.
Detectives from the Criminal Proceeds Squad and Taskforce Lunar, with support from the ABF, executed warrants yesterday morning (Thursday 21 August) at two residential premises in Dallas and a business address in Epping.
A 40-year-old Dallas man was arrested and is expected to be charged on summons with possession of commercial quantity illicit tobacco and knowingly deal with the proceeds of crime.
Police seized over $1.9M worth of illicit tobacco - including over 475,400 cigarettes and 624kgs of loose leaf tobacco - approximately $80,000 cash, six high-end watches worth over $119K and a range of electronic devices.
The watches included a Breitling, Franck Mueller and four Rolex.
The investigation by the Criminal Proceeds Squad commenced in January this year after police became aware an organised crime syndicate was conducting a number of cash drops and collects at a Somerton food business.
Detectives also identified that further transactions were taking place at a factory in Epping.
It will be alleged those transactions were for the purpose of laundering money obtained through the sale of illicit goods including tobacco and that the business owner received a commission on each transaction.
It's believed over $83M cash has been allegedly laundered during transactions since May 2021.
Victoria Police also worked closely with AUSTRAC and the ABF during this investigation.
As part of a separate investigation, detectives from the Illicit Firearms Squad executed a warrant at a Campbellfield address yesterday morning.
A 34-year-old Campbellfield man was arrested and is expected to be charged on summons with possession of commercial quantity illicit tobacco and knowingly deal with the proceeds of crime.
Police will allege the man was intercepted driving a truck in Laverton North yesterday which contained in excess of four million cigarettes worth an estimated $5M.
$100K in cash was seized from his Campbellfield address.
Investigators identified that the man attended the same Somerton business linked to the Criminal Proceeds Squad's money laundering investigation and believe he has links to the organised crime syndicate involved in that matter.
Both investigations remain ongoing.
Anyone with information is urged to contact Crime Stoppers on 1800 333 000 or submit a confidential report online at www.crimestoppersvic.com.au
Quotes attributable to Detective Inspector Graham Banks, Taskforce Lunar:
"These investigations highlight the significant broader criminality that these serious and organised crime groups are engaged in.
"We are never talking about just illicit tobacco - this offending consistently goes hand in hand with other serious and violent crime. That could be money laundering and illicit firearms, which we've seen in these investigations, or the arson attacks and extortions we've seen play out across the state.
"Regardless of what form that criminality takes place, it will be targeted by police and we will use every opportunity possible to try and dismantle these syndicates.
"The offending in both of the linked investigations is not insignificant and has no doubt brought harm to the community in a number of ways. For example, this money is undoubtedly funding further violent crimes committed by those involved in this syndicate.
"I think the public deserve to feel outraged that these criminals are reaping millions of dollars at the cost of community safety, and for that reason today's result is incredibly satisfying.
"This investigation also received significant support from a range of other agencies, in particular AUSTRAC, and that's testament to the importance of agencies working collaboratively and sharing intelligence to bring these crime syndicates down."
