Five arrested over alleged massive money laundering operation

Five people living quiet lives in Melbourne’s suburbs have been accused of being involved in one of the biggest money laundering operations in Australia.

Five people living “quiet and unremarkable” lives in Melbourne’s suburbs have been accused of being involved in one of Australia’s biggest money laundering operations.

Specialist squads, including the anti-gangland Purana Taskforce, have spent the past 12 months investigating a sophisticated criminal syndicate alleged to have laundered $62m through various bank accounts.

On Thursday police raided nine homes and businesses in Burwood, Box Hill, Blackburn, Caulfield North, Oakleigh and Endeavour Hills.

Several million dollars in cash, a Porsche, BMW X5, Toyota Landcruiser and Mercedes Coupe C200 were allegedly seized.

Police also allegedly seized a cash counter, electrical equipment, jewellery, illicit tobacco and high-end clothing and sporting memorabilia.

Five people were arrested including a 32-year-old Burwood man, 38-year-old Box Hill man, 32-year-old Blackburn man, 36-year-old Endeavour Hills man and 31-year-old Caulfield North woman.

The Burwood, Box Hill and Blackburn men were all charged with Commonwealth money laundering and structuring charges as well as state proceeds of crime charges.

All three were remanded in custody to face Melbourne Magistrates’ Court on Friday morning.

The Endeavour Hills man and Caulfield North woman were both released and expected to be charged on summons.

A BMW is allegedly seized by police. Picture: Victoria Police

The investigation into the alleged criminal syndicate began in October 2020 when AUSTRAC identified suspicious third party deposits and alerted Victoria Police.

AUSTRAC is responsible for monitoring financial transactions to identify money laundering, organised crime, tax evasion, welfare fraud and terrorism financing.

Police will allege numerous third party accounts had been sold by their holders to the criminal syndicate for the purpose of money laundering.

It’s alleged the syndicate controlled over 250 accounts used to transfer more than $62m over the past year.

The syndicate allegedly used a wide range of ATMS across Melbourne to launder the money.

Assistant Commissioner Bob Hill of Victoria Police Crime Command alleged it was the largest ever money laundering operation using this methodology in Australia.

“This is a significant national result,” he said.

Victoria Police alleges “This syndicate has conducted a highly mobile and agile operation, moving away from those traditional venues and outlets associated with money laundering.

“These were people living a quiet and unremarkable life in the Melbourne suburbs, all the while operating a sophisticated criminal enterprise,” Victoria Police alleges.

A Toyota Landcruiser is allegedly seized by police. Picture: Victoria Police

“Money laundering is not a victimless crime – these funds are used to operate criminal networks involved in a variety of crime types including the trafficking of drugs and illicit firearms.

“Yesterday’s results demonstrate law enforcement and investigation methodology adapts accordingly.

“Victoria Police and its partners will do everything they can to hold offenders to account while ensuring those involved in serious and organised crime do not retain any advantage, financial or otherwise, from their nefarious criminal ways.”

AUSTRAC National Manager Jon Brewer said expert financial intelligence provided by major banks helped uncover the alleged criminal operation.

“Yesterday’s outcome has demonstrated the importance of collaboration between AUSTRAC, financial industry partners and law enforcement,” he said.

The operation was carried out by Victoria Police units including the Criminal Proceeds Squad, Purana Taskforce and the Financial Crime Squad, as well as AUSTRAC and the Australian Criminal Intelligence Commission.

The Purana Taskforce ceased operation in July this year.