AFP freezes over $1 million in bank accounts linked to illicit vape sales in Sydney, as joint investigation targets criminal assets

More than $1 million linked to the illegal sale of vaping products has been frozen following a joint investigation in Sydney, with authorities targeting the financial networks behind the illicit trade.

The bank accounts of two companies, suspected to have more than $1 million in funds from the illegal sale of vapes have been frozen, as part of a major crackdown on Sydney’s tobacco black market.

It comes after a joint investigation between the AFP and the TGA, labelled Operation Smokestorm, which began in May 2025 after Australian banks ANZ and Westpac highlighted suspicious transactions linked to the sale of illicit vapes.

On June 27, AFP and TGA officers executed search warrants at storage units in Waterloo and Auburn and served a restraining order on a Rosebery man believed to be controlling the bank accounts.

During the raids, authorities seized small quantities of branded vapes and handwritten inventory documents detailing vape flavours and quantities.

It is believed the seized vapes were sold online to Australian consumers and supplied to tobacco outlets in Sydney.

The AFP is set to receive $33.5 million in funding over the next two years to boost its efforts. Picture: David Crosling

The funds in the two frozen bank accounts could potentially be forfeited to the Commonwealth.

AFP Commander Jason Kennedy emphasised the importance of targeting the financial aspect of criminal operations.

“The AFP and its partners will use every tool in our arsenal to ensure that crime does not receive a payday,” he said.

“If these funds are forfeited to the Commonwealth, they will be redirected to crime prevention and diversionary programs which benefit the community.”

TGA Acting Head Chris Bedford praised the collaborative effort.

“By targeting both the illicit products and the financial infrastructure behind these unlawful operations, we’re protecting the health of Australians and sending a clear message that we are focused on stamping out illicit vaping operations,” he said.

The AFP is set to receive $33.5 million in funding over the next two years to boost its efforts targeting the profits and proceeds of illicit tobacco.

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Originally published as AFP freezes over $1 million in bank accounts linked to illicit vape sales in Sydney, as joint investigation targets criminal assets