Illegal tobacco smugglers fined $500,000 by SA court for their crimes – and told they will still have to serve prison sentences

They made a fortune selling smuggled tobacco for just $8 a pouch – now these criminals will lose it all to one of the biggest fines imposed in state history.

A greed-driven duo who amassed $500,000 in a five-year illegal tobacco importation racket have been told they will lose it all to one of the biggest fines imposed in state history.

But a hefty fine is not the only price the two men will pay for selling pouches of tobacco for as little as $8, with a judge saying they will likely serve up to three years’ jail as well.

This week the duo, who cannot be named, hung their heads in the dock and were visibly emotional as they appeared before Judge Simon Stretton.

They have been awaiting sentencing since August in order for His Honour to determine whether or not he would impose a fine, prison time, or both.

“I’ve carefully considered whether a substantial fine should be part of my sentencing matrix,” he told them.

“In my view, a substantial fine is a large part of the sentencing in this matter – and, in my view, that fine should be in the total sum of $500,000.

“I now raise with your counsel – how long will it take for that total sum to be either placed into their solicitors’ trust fund, or paid into court, ahead of sentencing?”

The duo made $500,000 through their crimes – and will pay all of it as a fine, in addition to serving prison sentences. Picture: Supplied

The men pleaded guilty to counts of illegally importing and possessing tobacco, as well as possession of cash that was the proceeds of crime.

Between 2015 and 2020, they smuggled hundreds of kilograms of cigarettes and chewing tobacco into Australia, avoiding $400,000 in import duties.

The duo successfully smuggled 49 shipping containers’ worth into the country – disguised among household goods – selling their illegal wares for between $8 and $10 a pouch.

Australian Border Force caught them after their 50th delivery, containing 320kg of tobacco, and found $500,000 cash at one of their homes.

A string of text messages, dating back to 2015 concerning tobacco brands, prices and invoices, allowed ABF officers to trace their previous concealed shipments.

The ABF found 25 of the 50 shipments came from the same overseas supplier – prosecutors told the court that “greed is an apt description for the offending here”.

This week, Jane Abby KC, for one of the men, said her client was ready to pay his portion of the fine.

“I’m instructed by my client that Your Honour’s order can be executed, and will be executed, today,” she said.

“We seek a six-week adjournment to enable that money to be deposited into the solicitors’ trust account.”

Sam Abbott KC, for the other man, said his client would pay his share of the fine within that time also.

Judge Stretton remanded the duo on continuing bail for sentencing next month.