Police say they have arrested a major player in Victoria’s illegal tobacco market after raids across various Melbourne suburbs.
Victoria Police said a 49-year-old North Coburg man was arrested and charged with masterminding the importation of large quantities of illegal tobacco.
Police accuse the man of dodging around $36.3 million in Commonwealth excise taxes.
A 29-year-old Meadow Heights man was also arrested and charged with conspiracy to import tobacco.
Both men will face court today.
The alleged ringleader behind the illegal tobacco syndicate was arrested following intelligence from the Australian Border Force-led Illicit Tobacco Taskforce.
Investigators say the illegal tobacco was brought to Australia by sea and air freight, concealed inside shipments of kitchen items and clothing.
Police seized a large quantity of illegal tobacco during raids this week. (Supplied: Victoria Police)
It is alleged the ringleader was behind the importation of more than 7 tonnes of loose-leaf tobacco, 5 million cigarettes and 5,000 vapes over a 10-month period.
Police allege he used contacts in the freight and logistics industry to import the tobacco, which was distributed to a number of warehouses and 20 tobacco stores.
Police say arrest is major blow to syndicate
Earlier this week, police raided properties across Melbourne, including at Campbellfield, Coburg North, Meadow Heights, Mickleham, Gladstone Park and Craigieburn, seizing tobacco manufacturing equipment, filters, vapes, a cash counting machine and electronic devices.
About 70 pallets of illegal tobacco were seized and further arrests are expected.
AFP Acting Commander Ray Imbriano said police had struck a major blow to the illegal tobacco trade in Victoria.
“Illicit tobacco has fuelled unspeakable violence and crime in our communities, and the joint investigation into this alleged criminal syndicate is yet another step in law enforcement’s efforts to dismantle these illicit operations,” he said.
“Criminal networks mistakenly believe they can operate outside of the law in Australia. We’re here to remind them — they cannot.”
Police allege the illegal tobacco was distributed to warehouses and tobacco shops. (Supplied: Victoria Police)
Victoria Police Commander Paul O’Halloran said the illegal tobacco trade was a major driver of crime in the state.
“What we have seen play out in Victoria, particularly during the past two years, is a number of violent crimes driven by the fight between these groups for the profits derived from the illicit tobacco trade,” he said.
“Most commonly, this has played out as arson and extortion, as well as money laundering and firearms offences.
“These offences put the broader community at increased risk of harm and already we have seen unnecessary deaths as a result of these arson attacks.”