Sixteen people have been arrested as part of a sting on a "well organised, significant and well-resourced grow operation" across 14 properties in Rotorua all linked to the same criminal network.
Bay of Plenty Field Crime Manager Detective Inspector Lindsay Pilbrow said the operation shut down 14 grow houses in Rotorua, removing up to $6.5 million worth of cannabis from the black market, and resulting in the arrest of 16 people.
Five residential properties, 21 bank accounts and two vehicles have been restrained under the Criminal Proceeds (Recovery) Act.
"Of the 16 Vietnamese nationals arrested, 14 are facing charges relating to the cannabis growing setup and associated offences. Two were arrested in relation to Immigration Act Offences," said Pilbrow.
Operation Harvey — a joint investigation between police and Immigration New Zealand officers from the Ministry of Business, Innovation and Employment (MBIE) — targeted residential rental properties being used to house large-scale commercial cannabis growing operations involving Vietnamese organised crime groups.
On Tuesday, 25 warrants were executed across Rotorua and Auckland involving more than 220 staff from across Bay of Plenty, Waikato and Auckland districts, as well as support from electrical companies to make the properties safe and assist with the investigation phase.
Of the 21 residential properties searched across Rotorua, 14 had active and significant cannabis grow houses operating in them and 10 were rental properties located in residential areas.
Police allege all the houses had been using stolen power illegally diverted by the offenders from nearby power boxes – with conservative estimates noting they had been illegally diverting about $30,000 worth of power per week to run the grow houses.
"This was a well organised, significant and well-resourced grow operation with all the properties linked to the same criminal network," said Pilbrow.
"Police believe the drugs were destined for sale to other organised criminal groups to on sell.
"Over 3500 high value plants were seized along with 97 pounds of dried cannabis head packaged and ready for the wholesale market.
"The cannabis seized has a bulk sale value of $1.8 million, but has a potential street market value well in excess of $6.5 million depending on how it is sold," said Pilbrow.
Alongside cannabis, tens of thousands of dollars of cash were seized, along with cannabis growing equipment.
"The scale of this operation is one I've not seen before. It is a multimillion-dollar business used to fund other organised criminal activities. We believe the equipment located and seized at the grow houses is worth more than $1 million alone.
"Many of these houses were packed to the brim with cannabis plants at various stages of growth. Houses had been altered to allow maximum use of space, with specialised timing and ventilation systems fitted to assist in the growing and to also avoid detection.
"This will deal a significant blow to those involved. These organised criminal groups have embedded themselves within communities simply to cause harm. Not only does the drug use put people at harm, but the associated offending such as the theft of electricity is a significant risk to households and members of the public," said Pilbrow.
He said the operation remains ongoing, with further search activity planned in Auckland and the Bay of Plenty. Further arrests and charges have not been ruled out.
Police said it continued to see an increase in rental properties in suburban areas being converted into large-scale cannabis growing operations funded and controlled by organised criminal groups.
Landlords were urged to remain vigilant and look out for signs that a property may be being used for illegal drug cultivation. It can cause significant damage, pose a fire risk and may jeopardise insurance payouts.
Warning signs include blacked-out or permanently covered windows, extractor fans, ventilation systems or unauthorised structural changes to the exterior of the property or signs that an electricity meter has been tampered with or bypassed.
Police recommend landlords carry out checks before signing up tenants, including:
- Carry out reference checks.
- Meet tenants face-to-face and check IDs
- Credit and income verifications.
"Always ensure you carry out regular inspections of your properties. If tenants have a preference to pay rent in cash or offer to pay more to avoid inspections, that should be a red flag."
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