The alleged ringleader of a criminal syndicate accused of supplying Melbourne with more than seven tonnes of illicit tobacco was charged on Tuesday, September 9, 2025, following a major joint law enforcement operation.
A North Coburg man, 49, is accused of masterminding the importation of large-scale quantities of illicit tobacco into Victoria, dodging an estimated $36.3 million in Commonwealth excise taxes.
A second man, 29, of Meadow Heights, is accused of conspiracy to import tobacco, was also charged.
The tobacco was shipped to Victoria via air and sea cargo from multiple countries, concealed inside consignments of kitchen items and clothing.
AFP Acting Commander Investigations Ray Imbriano said the AFP, together with its state and Commonwealth partners, was committed to combating organised crime’s grip on the illicit tobacco trade in Australia.
“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,” a/Commander Imbriano said.
It is alleged that the North Coburg man facilitated the importation of more than seven tonnes of loose-leaf tobacco, about 5 million cigarettes and more than 5000 vapes throughout 10 months to avoid millions in Commonwealth taxes.
He allegedly used connections and criminal associates in the freight and logistics industry to import and distribute the tobacco to several warehouses and 20 tobacco shops under his control.
JOCTF members arrested the man at a North Coburg property on Tuesday, September 9, 2025. They also arrested a Meadow Heights man, 29, who was allegedly responsible for the movement of the tobacco across the state/country.
JOCTF members also executed a series of search warrants on Tuesday at commercial and residential 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.
Victoria Police Commander Paul O’Halloran said the trafficking of illicit tobacco by organised crime groups went hand in hand with a range of other serious and violent offending.
“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,” Commander O’Halloran said.
A significant quantity of alleged illicit tobacco products, about 70 pallets worth, was seized across multiple warrants. Authorities estimate it includes tonnes of looseleaf tobacco, tens of millions of individual cigarette sticks and tens of thousands of vape products have been seized, and will review totals in coming days.
ABF Commander Greg Dowse said the ABF remained committed to disrupting the business model of illicit tobacco in Australia and disrupting criminal syndicates involved in the black market trade.
“We’re utilising every avenue available to us and our partners to detect, disrupt, and ultimately dismantle the organised crime groups dealing with illicit tobacco and vapes,” Commander Dowse said.
The North Coburg man was charged with:
- Three counts of importing a tobacco product with intent to defraud the revenue, contrary to section 233BABAD(1) of the Customs Act 1901 (Cth). This offence carries a maximum term of up to 10 years’ imprisonment.
- Five counts of unlawfully possessing imported tobacco with intent to defraud the revenue, contrary to section 233BABAD(2), contrary to the Customs Act 1901 (Cth). This offence carries a maximum term of up to 10 years’ imprisonment.
- Five counts of a person who carries on a tobacco supply business must not have control of a commercial quantity of illicit tobacco, contrary to section 11A(2) of the Tobacco Act 1987 (Vic). This offence carries a maximum term of up to five years’ imprisonment.
- One count of a person must not sell or otherwise supply a commercial quantity of illicit tobacco, contrary to section 11A(4) of the Tobacco Act 1987(Vic). This offence carries a maximum term of up to 15 years’ imprisonment.
- Five counts of a person commits an offence if the person supplies vaping goods in Australia, contrary to s.41QB(1) of the Therapeutic Goods Act 1989 (Cth). This offence carries a maximum term of up to seven years’ imprisonment; and
- Five counts of unauthorised possession of a schedule 4 poison, namely nicotine, contrary to section 36B(2) of the Drugs, Poisons and Controlled Substances Act 1981 (Vic). This offence carries a maximum penalty of up to 10 penalty points.
The 29-year-old Meadow Heights man was charged with:
- One count of possessing unlawfully imported tobacco with intent to defraud the revenue, contrary to section 233BABAD(2), contrary to the Customs Act 1901(Cth). This offence carries a maximum term of up to 10 years’ imprisonment.
They are both expected to face the Melbourne Magistrates’ Court today, Thursday, September 11, 2025.
Further arrests are expected as part of the investigation.
The Victorian Joint Organised Crime Taskforce (JOCTF), comprises members of the AFP, Victoria Police and Australian Border Force (ABF), who launched an investigation in November 2024, based on intelligence from the ABF-led Illicit Tobacco Taskforce about a suspected criminal syndicate smuggling significant amounts of illicit tobacco into Australia.
