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$13m illegal cigarette smugglers cop ‘slap on the wrist’ sentence

The sentencing of two Sydney men caught smuggling a shipping container stuffed with more than $13m worth of illicit cigarettes has been slammed by an ex-federal investigator, who described the penalties as “an encouragement” to criminals.

The sentencing of two Sydney men caught smuggling a shipping container stuffed with more than $13m worth of illicit cigarettes has been labelled a “slap on the wrist” by a former federal investigator, who described the penalties as “an encouragement” to criminals.

Dusan Milanovic, 63, pleaded guilty to importing tobacco products with intent to defraud the revenue.

He was sentenced to two years and nine months in jail but he was released after 15 months on a $3000 bond and a two-year good behaviour order.

Ammar Issa, 35, also pleaded guilty to importing tobacco products while reckless as to whether there would be a defrauding of the revenue.

The Australian Border force seized 10.6 million illicit cigarettes worth $13m. Picture: ABF
The Australian Border force seized 10.6 million illicit cigarettes worth $13m. Picture: ABF

He was sentenced to an 18 months intensive correction order with 400 hours of community service.

The pair were arrested after the Australian Border Force intercepted a container declared as containing “adhesive tape” in September 2023.

Inside were more than 10 million cigarettes with a street value of $13 million.

Former federal investigator Rohan Pike said the punishments were “a slap on the wrist”.
Former federal investigator Rohan Pike said the punishments were “a slap on the wrist”.

In a statement on Wednesday, after the men were sentenced, the ABF said the men were linked to outlaw motorcycle gangs and organised crime syndicates.

It also said officers had seized cannabis, large bundles of Australian cash, several mobile phones, a safe containing US$11,100, bars of gold and silver bullion, and 10 luxury watches in raids at Bardwell Valley and Brighton-Le-Sands, during which Milanovic was present. Neither man was convicted over the seizure of these items.

The illicit tobacco found in the shipping container.
The illicit tobacco found in the shipping container.

Former federal investigator Rohan Pike, who set up the ABF’s tobacco strike team, said he thought the punishments were a “slap on the wrist”.

“That sentence is not a deterrent for criminals to smuggle illicit tobacco into the country, it’s an encouragement,” Mr Pike said.

“If more than $10m of smuggled goods ... doesn’t warrant a jail sentence, what does

“The courts are not sentencing in line with community expectations. I hope the Commonwealth Director of Public Prosecutions appeals this.”

Illicit tobacco has driven federal excise revenue into the ground. Picture: NSW Police
Illicit tobacco has driven federal excise revenue into the ground. Picture: NSW Police

ABF commander Greg Dowse said the bust showed “close collaboration with partner agencies can disrupt the business model of organised criminal networks”, while AFP acting commander Marie Andersson said illicit tobacco was “fuelling horrific violence in our communities”.

The federal government is forecast to collect only $7.4bn in tobacco excise revenue this year due to the booming illicit trade, less than half the $16.3bn raised in 2019-20.

A spokesman for Treasurer Jim Chalmers said he could not comment on the individual case but said the government was “cracking down on the trade of illegal tobacco on the black market with millions more dollars to boost enforcement and compliance work with the states and territories”.

“Our investments have made a meaningful difference in combating the black market and led to significant busts in recent weeks.”

In the past financial year, Border Force seized more than 2.5 billion cigarettes and 435 tonnes of loose-leaf tobacco, more than 2,000 tonnes in total.

Originally published as $13m illegal cigarette smugglers cop ‘slap on the wrist’ sentence

Original URL: https://www.couriermail.com.au/news/13m-illegal-cigarette-smugglers-cop-slap-on-the-wrist-sentence/news-story/b562ddd2456f58a4f87cbe0c8cf71a19