The nation’s largest independent petrol station chain had multiple Sydney stores forcibly shut down yesterday amid a major investigation into the alleged supply and distribution of illegal tobacco.
But the fuel industry has warned the action against discount petrol retailer Metro Petroleum could impact prices at the bowser for all motorists.
The co-ordinated search warrants executed under Operation Shorthand by federal law enforcement agencies at Metro servos in NSW, Victoria, Queensland, South Australia, Western Australia and the ACT are understood to be part of a significant probe into the discount fuel giant, which is owned by the Sydney-based Dib family.
Started more than 40 years ago by brothers John and George Dib, Metro Petroleum now operates more than 300 sites nationwide and is a major sponsor of the Sydney Roosters in the NRL, with the Dib family having an estimated wealth of nearly $1bn.
The brothers are not accused of any wrongdoing.
The raids began just after 10am yesterday, led by the Australian Border Force (ABF) with assistance from Australian Federal Police (AFP) and state agencies, including NSW Police, NSW Health and the NSW Crime Commission in Sydney.
Multiple servos were shut on Tuesday after being slapped with closure orders by NSW Health. They included the Metro outlets on Blacktown Rd at Blacktown, Addison Rd at Marrickville, Milperra Rd at Revesby, Hill End Rd at Doonside and on Cumberland Rd at Ingleburn.
A statement from Metro Petroleum last night said: “Metro Petroleum has a zero-tolerance approach to the sale of illicit tobacco and vaping products. We are deeply disappointed to have been informed that nine stores have been issued with closure orders.
“Metro Petroleum can confirm that it has taken immediate steps to terminate its arrangements with these operators.
“Metro Petroleum is a petroleum brand and fuel supplier. We do not operate, staff or manage the retail businesses … Those businesses are run by independent operators, who are responsible for complying with all laws relating to what is sold.”
Last week, George Dib Jr – the son of John Dib and the nephew of George Dib – was arrested in Lebanon (see story below). It is understood his detention was not linked to the action carried out in Australia yesterday.
NSW Health Minister Ryan Park said the raids on Metro stations were an “extraordinary compliance operation”.
“It’s a reminder to bad actors out there that we work across agencies as well as across levels of government to counter the prevalence of illicit tobacco or vaping in our communities,” Mr Park said.
No Metro employees have been arrested or are alleged to be involved in illegal activity, with officers seizing paperwork and devices to be examined by forensic accountants.
“Because of the number of transactions, it doesn’t seem just a case of a few rogue individuals trying to make some money on the side,” a source close to the investigation told The Daily Telegraph yesterday. “It suggests something that is organised, sophisticated and resilient, that encompasses the entire illicit tobacco supply chain.”
In a statement, the ABF said Operation Shorthand was put together after intelligence linked Metro servos to the illegal tobacco and vape trade.
“The illicit tobacco National Disruption Group (NDG) has today co-ordinated a large-scale, multi-jurisdictional operation … targeting the sale of illicit tobacco and vapes,” the statement read. “Titled Operation Shorthand, more than 100 service stations were simultaneously targeted.”
Metro Petroleum has become renowned with drivers for its cheaper petrol, with an analysis of price data showing that the servos shut by NSW Health as part of the raids yesterday had the lowest prices in those areas.
Rob Scarf, who operated an independent petrol station for 25 years in Sydney, said the closures could hurt competition in the suburbs.
“The Metro servos really do ‘keep the bastards honest’ and push down the prices,” Mr Scarf said. “The moment they shut down an independent, up go the prices.
“Everyone appreciates that people shouldn’t be selling dodgy smokes, but don’t kill the petrol station side of the business as well. The winner won’t be the consumer.
“They’ve got to be careful because any over-the-top crackdowns, even if well-intentioned, could damage the local discounting battle. People think these little guys make s. tloads – they make a few cents a litre to compete with the big companies.”
Federal Assistant Customs Minister Julian Hill said authorities would continue pursuing any business selling illegal tobacco.
“My message to anyone involved in the illegal tobacco trade is clear – we’re coming after you,” he said. “Australians wouldn’t put up with a meth lab in the middle of their local strip shopping centre and neither should they put up with crooks trying to sell tobacco and nicotine products.”
Extracted in full from: https://www.dailytelegraph.com.au/truecrimeaustralia/police-courts-nsw/metro-petrol-stations-raided-across-australia-in-major-illicit-tobacco-probe/news-story/c96d3d5ee73a018354c506181c0cde13
