Millions of Illegal cigarettes, a luxury car, homes and bank accounts have been seized by NSW and ACT border and police officers
The arrested are believed to be linked to a failed bid to import more than $92 million of tobacco in 91 shipping containers from China.
In the latest raid, an Australian Border Force (ABF)-led task force, with ACT Police help, broke up an illegal tobacco network across Sydney and Canberra .
The ABF says they were first notified about logistics, transport and storage companies that were owned by a partly-owned Chinese gang.
On August 25, NSW officers raided properties at Blacktown, Pennant Hills, Sydney and Barangaroo and seized over 3.4 million cigarettes worth $5.3 million.
In the ACT, officers seized a Bentley Continental, homes in Lawson and Bruce, and eight bank accounts.
Two illegal immigrants were arrested and taken to the Villawood Immigration Detention centre.
The ABF says the gang is believed to be one of several companies involved in a bid to import 112 containers of illegal tobacco worth millions that was broken up by Project SEAHORSE recently (see below) and that investigations are continuing.
TAKING MILLIONS FROM CRIMINALS
ABF Commander for Illicit Tobacco and Vape Enforcement Greg Dowse says their focus is more than just seizure; it’s about the millions in dollars.
“Our objective is to identify, disrupt and dismantle the criminal business models and the people that sit behind these importations,” he says.
“Every bank account restrained, property targeted and luxury asset seized removes the financial incentive that drives this criminal activity and increases the cost to those involved in this illicit trade.”
ACT Policing acting Inspector Drugs and Organised Crime Mark Battye says they were all too pleased to help the ABF.
“Illicit tobacco funds organised criminal networks and presents significant community harm through unregulated products and associated violence perpetrated by these groups,” he says.
“We know that organised crime groups will become involved in anything that will make money and illicit tobacco is no exception.
SEAHORSE DISRUPTION TO SHIPPING OPERATION
Under Project Seahorse, more than 60 people have been arrested in China after ABF officers in Beijing were alerted to 112 shipping containers with millions in illegal tobacco that had been sent from Shanghai.
The containers arrived in Australian ports (mostly Sydney) from January and May and were searched by ABF officers.
Of these, more than 60 million illegal cigarettes and 60kg of loose-leaf tobacco, all worth $92m, were seized.
The ABF says Chinese authorities had discovered that the illegal tobacco was believed to have been made in South-East Asia, smuggled into China, taken to logistics centres to be concealed within legal cargo like LED lamps and printers then shipped from Shang-hai.
ABF Assistant Commissioner Targeting and Intelligence Operations Penelope Spies says the seizure is one of the country’s most significant international illicit tobacco disruptions.
“This outcome demonstrates the value of working beyond (our) borders to stop illicit tobacco before it reaches Australian communities,” she says.
“This result would not have been possible without the partnership between the ABF and the Anti-Smuggling Bureau of General Administration of China Customs.”
The ABF says that since July 1, 2025, the Anti-Smuggling Bureau’s alerts to offshore ABF officers allowed them to seize more 89 million cigarettes, 11 tonnes of loose-leaf tobacco and one million vapes at Australia’s border.
Bureau Deputy Director General Wang He said the operation effectively cut off a major smuggling route into mainland China.
