One of the money laundering syndicates linked with the Commonwealth Bank compliance scandal worked with drug smugglers who imported methamphetamine worth $315 million, the largest ice seizure in West n history.
The Hong Kong-linked syndicate used the CBA to launder more than $21 million, according to the statement of claim filed by financial regulatory agency Austrac against CommBank.
It is believed Westpac was also used by the syndicate to wash drug money, but it is unclear what methods were used, and whether these have also drawn the attention of Austrac.
In September 2015, WA Police seized 321 kilograms of ice and more than $1.4 million in cash from the syndicate after a series of raids around Perth.
Most of the ice – enough for 3.2 million hits – was found in Chinese tea packaging inside 10 suitcases.
The launderers linked to the ice dealers are identified as “syndicate four” by Austrac.
One of the eight people charged in the syndicate is Wai Ki “Vicky” Fung.
The syndicate was used by the drug traffickers to wash its money.
Fung was one of the first caught, carrying cash given to her via a middleman from Cheng Fatt Chow, who was near the head of the smuggling ring, the West n reported.
Another of the syndicate members listed by Austrac as convicted over their role in money laundering, Yeuk Tung Kong, was on a student visa in Perth studying English.
Details of her case outlined during sentencing show the syndicate used underlings who needed money to make the deposits.
Yeuk was found to have made deposits totalling almost $2.5 million, being paid $200-$300 a day for nine days, in 2015.
She was also posted tins of Chinese tea containing almost two kilograms of ice.
“Your financial hardship was the main cause of your offending,” Justice Jeremy Allanson, who sentenced her to 7?? years’ prison in the WA Supreme Court last August, said.
“You have no known criminal history, you have no physical or mental health problems and, as I understand it, you do not use illicit drugs … the present offences are out of character.
“You needed money and you allowed yourself to be used.”
The Austrac claim outlines that about 20 people have been charged with criminal offences relating to money laundering which were enabled by CommBank.
Among those jailed for these offences were Arslan Shaffi and Salman Khan, who were sentenced last December and last March respectively.
One of the 10 accounts linked to the men was recorded as belonging to an unregistered charity with alleged links to radicalised figures.
Almost $2.9 million was deposited by the company, Austrac claims.