10 Feb 2011

30 arrested in North Island raids

9:22 pm on 10 February 2011

Drug raids in the North Island have led to 30 arrests and the seizure of guns and more than $120,000 in cash.

Detectives say a large, highly-organised distribution network has been cracked in Palmerston North, where a finance company accused of money-laundering is now being investigated.

Police are claiming the raid has dealt a major blow to the Australian Rebels Motorcycle Club which they say is trying to establish a chapter in New Zealand.

Forty search warrants were executed on Thursday at houses in Central Districts, Bay of Plenty, Waikato, Auckland and Northland.

Twenty-nine vehicles, including BMWs and Harley Davidson motorcycles, were seized and a methamphetamine laboratory in Murupara in the Bay of Plenty shut down.

Most of those arrested are said to be beneficiaries and their crimes include supplying, manufacturing and dealing drugs.

Detective Inspector Chris Bensemann says the raids show that the Australian gang is increasing its presence in New Zealand and it will not be tolerated.

"The Rebels are involved in this; they're new to New Zealand. We saw this on the horizon that they wanted to come here and make money out of criminal business.

"I'd be optimistic to say it's the end of the Rebels in New Zealand, but we've certainly struck a blow, that's for sure."

Mr Bensemann says some of those charged have already appeared in court and more will appear on Friday.

Further arrests are likely as a result of the months of undercover work carried out, he says.

Police Minister Judith Collins says the Government's changes to the Proceeds of Crime Act have made it worthwhile for police to pick up assets as well as cash from ill-gotten gains.