NewsBite

Dr Octopus cocaine case: Drug ring traced back to US by Aussie cops

AN extraordinary police sting on a mysterious drug dealer known only as “Dr Octopus 88” has pulled apart an Australian drug-smuggling operation.

Accused cocaine smuggler Bennet Schwartz and fiancee Sarah Wakefield at their engagement party in 2015.
Accused cocaine smuggler Bennet Schwartz and fiancee Sarah Wakefield at their engagement party in 2015.

AN extraordinary police sting on a mysterious drug dealer known only as “Dr Octopus 88” pulled apart an Australian drug-smuggling operation.

And its tentacles led all the way to a massive international crime syndicate run by a former US college football star.

This US crime kingpin, Owen Hanson, recently pleaded guilty in a Californian court to running a drug smuggling and gambling empire.

Owen Hanson. Picture: Twitter
Owen Hanson. Picture: Twitter
Double Bay man Jonathan Fagan. Picture: Facebook
Double Bay man Jonathan Fagan. Picture: Facebook

Last Monday the NSW ­Supreme Court heard the amazing details of the Australian sting. It began when police pulled Rio Tinto executive Bennet Schwartz off the flight he was about to take with his innocent fiancee Sarah Wakefield at Sydney Airport.

Schwartz had landed on the police radar when his computer IP address was allegedly used to monitor the delivery status of two cocaine shipments, totalling 25kg, being smuggled from the US in the post.

Police took his BlackBerry Phantom and adopted his identity.

Black­Berry Phantoms are a favourite for crime syndicates because they operate on a closed loop network that features unbreakable military grade encryption.

The day after his September 2 arrest, investigators began mimicking Schwartz’s texting style as they communicated with “Dr Octopus”.

Police claim the tactic revealed Dr Octopus to be Potts Point man Roberto Zalapa, 31.

Police arranged a rendezvous at the Eastgate Shopping Centre, where Zalapa allegedly dropped $40,000 cash in the back of an unmarked police car he thought belonged to Schwartz, police documents said.

Cocaine seized by the AFP which resulted in charges against Bennet Schwartz.
Cocaine seized by the AFP which resulted in charges against Bennet Schwartz.

Police didn’t arrest Zalapa and continued with the sting.

On September 8, police allege that Zalapa sent a text to Schwartz’s phone asking him to “pack as (a) sausage maker”, police documents tendered in court said.

Police claim this text was significant because on September 11 a 16kg shipment of cocaine was seized from a Newcastle home. It was found labelled as a “food sausage stuffer”, the documents said.

Undercover investigators had delivered the shipment and arrested fitness expert Craig Phelps at the home, court documents said.

Soon after, Zalapa allegedly texted police on the Schwartz phone and wrote: “We have a massive problem here. Guy waiting at address was picked up by police”. Soon after, police arrived and arrested Zalapa in Potts Point.

He was refused bail last Monday. Zalapa’s lawyer Paul McGirr declined to comment, other than to say his client intended to fight the charges.

Police documents tendered in court revealed one of the earlier cocaine shipments Schwartz has been charged over was allegedly linked to Double Bay man Jonathan Fagan, who police have accused of smuggling up to 160kg of cocaine into Australia in 16 shipments.

Police outlining the case against Fagan said they had evidence from US authorities that the 16 shipments were sent by US drug baron Hanson.

Mr McGirr, who also acts for Fagan, said the evidence had not yet been produced and the charges would be contested.

Schwartz, Zalapa, Phelps and Fagan are listed to face Central Local Court on Wednesday.

Original URL: https://www.dailytelegraph.com.au/news/nsw/dr-octopus-cocaine-case-drug-ring-traced-back-to-us-by-aussie-cops/news-story/f833198054456d6d70f58dd55e7b1938