Australian Federal Police have raided homes across four states and overseas operations loom as a major crime network is busted.
Federal officers were “undertaking a significant operation across NSW, Victoria, Western Australia and South Australia”, the AFP said overnight.
It’s understood the bust revolves around an encrypted phone network called “Ghost” that has been used by underworld members to communicate in secret.
Alleged creator of ‘Ghost’ arrested in Sydney
Jay Je Yoon Jung, 32, was arrested yesterday at his parent’s home in Narwee, Sydney, accused of being the mastermind behind Ghost.
Police allege Jung owned millions in Crypto Currency and a Mercedes, which was parked outside of his parents’ house.
9News understands those assets are expected to be seized as part of the investigation.
“Operation Kraken is targeting alleged organised criminals accused of using a secret platform to import illicit drugs and plan other serious crimes in Australia and around the globe,” the AFP said.
The AFP said there was “no current or impending threat to the community”.
The AFP claims the accused Ghost mastermind was 23 when he launched the network and began building encrypted devices that prevented messages from being intercepted by authorities.
The dedicated encrypted communications devices (DECDs) are believed to be “a cut above” regular encrypted platforms like WhatsApp and Signal.
The mastermind allegedly sold his DECDs for about $2350, using a network that vetted new Ghost users before they were allowed into the system.
There are believed to be more than 600 active Ghost phones around the world, including about 400 in Australia.
Investigators said they infiltrated 125,000 messages on the platform that were allegedly discussing murder plots, drug trafficking and money laundering.
They also said the busts saved the lives of 50 individuals who allegedly had plans of murder, extortion and assaults targetting them, communicated via the encrypted platform.
Authorities are also investigating Ghost phones in Italy, Sweden, Ireland and Canada.
Drug trafficking charges laid in South Australia
A 33-year-old man from Henley Beach in Adelaide was charged by the AFP yesterday over his alleged role in a drug trafficking and money laundering ring.
During a search of his property, officers found a phone suspected to be used in encrypted criminal communications (EEC) with national and international rings, who are allegedly involved in drug trafficking.
Investigators also allegedly found three kilograms of methamphetamine and $150,000 in cash at the home.
He is expected to face multiple charges in Adelaide Magistrates Court today, including trafficking a commercial quantity of a controlled drug, money laundering and supporting a criminal organisation.
SA Police and the AFP also executed two other search warrants in Adelaide’s subrubs of North Plympton and West Lakes.
More than $250,000 in cash was seized, as well as ECC devices, 11kg of methamphetamine, 30kg of drug precursors, 40 grams of cocaine and two grams of ketamine.
Alleged drug syndicate disrupted in Victoria
Three Melbourne men are accused of using the Ghost platform to move 128kg of methamphetamine, cocaine and MDMA between January and June this year.
A 36-year-old man from Dockside, the alleged ringleader of the syndicate is accused of using the criminal platform as part of their trafficking operation, as well as a 34-year-old from Keysborough.
A 32-year-old man from Dallas was also charged.
All three were arrested at their homes and charged over their alleged involvement in trafficking the drugs.
The 36-year-old has been charged with one count of trafficking a commercial quanity of methylamphetamine, and one count of trafficking a commercial quantity of cocaine.
The 34-year-old was hit with the same charges, as well as one count of trafficking a commercial quantity of MDMA.
The 32-year-old was charged with one count of trafficking a commercial amount of methylamphetamine.
They all faced Melbourne Magistrates’ Court yesterday.
The 36 and 34-year-old men were previously arrested in June, after investigators allegedly identified them engaged in a drug transaction in Port Melbourne.
At the time, officers allegedly found two electronic devices, a scale, and 12 clip seal bags each containing about 1kg of crystalline methamphetamine.
Charges laid against man in WA
A 55-year-old man was charged by AFP officers in Perth, after allegedly refusing to give police access to a suspected Ghost ECC device.
During a search of a bedroom at his home in Heathridge, police allegedly found a phone wrapped inside a t-shirt, hidden in a chest of draws.
The man allegedly refused to give investigators access to the device, resulting in his arrest and charges being laid.
He was charged with failing to comply with police investigators and fronted Perth Magistrates Court yesterday.