Multiple people have been arrested and charged for importing illicit tobacco products in their luggage at Melbourne Airport.
Australian Border Force officers have been conducting Operation SILVERCHALICE, which is directed at aviation travellers working as “tobacco mules" importing illicit cigarettes in their suitcases and bags.
Over the course of the investigation, ABF officers have identified suspicious travellers who were then subjected to examination upon their arrival into Melbourne Airport's international terminal.
Officers found illicit cigarette sticks in multiple suitcases, a common method used by smugglers to bring illicit products into Australia.
A 38-year-old man was ordered to pay fines and costs of $100,000 after he was convicted of multiple offences connected to the smuggling of more than 50,000 illegal cigarettes.
A 37-year-old man was convicted and ordered to pay more than $18,000 after he was convicted of smuggling 53,200 cigarettes.
A 70-year-old man who was convicted of smuggling 32,400 illegal cigarettes was fined $7,000 and given a six-month good behaviour bond.
Illicit tobacco profits have previously been linked to organised crime and black economy activity.
Where illicit tobacco importations are linked to serious and organised crime syndicates, it will be referred to the Illicit Tobacco Taskforce (ITTF), which combines the operational, investigative, and intelligence capabilities of the ABF, Australian Taxation Office, Department of Home Affairs, Australian Criminal Intelligence Commission, AUSTRAC and Commonwealth Director of Public Prosecutions.
The ABF estimates that millions of dollars of government revenue is lost to criminals through the illicit tobacco trade every year.
In the 2021 financial year, the ABF detected and seized 827 tonnes of loose leaf tobacco and 598 million cigarettes, with an excise value of $1.92 billion AUD.
To date Operation SILVERCHALICE has resulted in 769,344 illicit cigarettes sticks being seized, nine criminal prosecutions, 15 criminal convictions, 30 months of suspended prison sentences, and $140,376 in fines.
There are currently four arrest warrants outstanding with multiple matters remaining before the courts.
ABF Superintendent Regional Investigations Uriah Turner said there was a common misconception that engaging in the illegal tobacco trade is a victimless crime.
“Organised crime groups capitalise on unwitting smokers looking for cheap cigarettes to make themselves rich and to fund other types of criminal activities that harm our community," Supt Turner said.
“The excellent work of our officers has helped prevent these illegal cigarettes from reaching our streets.
“Criminals will try to hide illicit substances in a variety of ways, however our officers have many detection methods at their disposal. Officer intuition and use of innovative technologies are often the driving forces behind these kind of discoveries.
“The ABF is working tirelessly to stop this activity both at our border and within Australia through powerful multi-agency ITTF investigations.
“Not only is it a crime, but it facilitates other illegal activity and takes away potential income from genuine retailers who abide by the law and support their local community."
The penalties for smuggling tobacco are severe and can include up to 10 years' imprisonment and/or a fine of up to five times the amount of duty evaded.
Anyone with information about the importation and export of illicit tobacco or cigarettes should contact Border Watch. By reporting suspicious activities, you help protect Australia's border and the community. Information can be provided anonymously.
Media contact: Australian Border Force (02) 6264 2211
