SA: Seized pseudoephedrine had street value of $36m, say police

AAP General News (Australia)
02-10-2004
SA: Seized pseudoephedrine had street value of $36m, say police

By Lauren Ahwan

ADELAIDE, Feb 10 AAP - Police have made one of the largest ever seizures of pseudoephedrine
in Australia.

Police believe the seized drugs could have been used in the production of about $36
million worth of the designer drug Ice.

Details of the seizure were revealed today as one man charged over the drug haul appeared
in the Adelaide Magistrates Court.

The drugs were found during a South Australian police raid on an eastern Adelaide house
last week.

Inside the Blair Athol house was 80.77kg of pseudoephedrine tablets found in 37 bags,
police said.

In a freezer, police found more than 1.5kg of methylamphetamine and 125g of purified
methylamphetamine, while $336,000 was found in the ceiling.

Two men, a 36-year-old western suburbs man and 31-year-old George Katsambas, have been
arrested in relation to the seizure.

Katsambas appeared in the Adelaide Magistrates Court today and indicated he would plead
not guilty to four drug charges.

SA Police Commissioner Mal Hyde said outside the court it was "the largest seizure
in South Australia and probably one of the largest seizures in mainland Australia".

Prosecutor Sophie Downey said numerous unidentified powders had also been seized from
the house and were being tested.

"My information is this quantity of pseudoephedrine would be enough to manufacture
at least 14kg of methylamphetamine which would be around $36 million in street value,"

Ms Downey told the court.

"This is an extraordinary case due to the magnitude (of the drugs seized)."

Commissioner Hyde said the raid was conducted by the police from the Avatar outlaw
motorcycle taskforce.

He said the drugs were linked to bikie gangs, but would not elaborate.

"This is only part of a much bigger operation, as big as it is," Mr Hyde told reporters
outside the court.

"It seems clear that it (pseudoephedrine) has been imported illegally into Australia.

"There are sources, particularly within south-east Asia, but at this stage we don't
have any information which would point to any particular place."

It appeared the pseudoephedrine was being converted into methylamphetamine paste and
crystal methylamphetamine (known as Ice), Comm Hyde said.

He said the quantity of drugs represented more than a million street deals.

"The Ice, that's really something that has been growing across Australia and it concerns
us greatly to have this sort of production and these sorts of drugs coming on to the market
in South Australia," he said.

Katsambas was charged with taking part in the production of methylamphetamine, possessing
methylamphetamine for the purpose of selling it, possessing pseudoephedrine and engaging
in a transaction involving tainted property, namely possession of $336,000.

He was remanded in custody until next Friday, when he is expected to apply for bail.

Meanwhile, three men have been charged with drug offences after police discovered cannabis
cops with a potential street value of $16 million in South Australia's mid north yesterday.

About 6,000 marijuana plants were discovered growing hydroponically in sheds and buildings
on a property about 25km north of Eudunda, a police spokesman said.

Three men - a 35 year-old from Brownlow, a 41-year-old from Athol Park and a 31-year-old
from Prospect - had been charged with cultivating cannabis for sale, the spokesman said.

AAP la/sl/jv/jlw

KEYWORD: KATSAMBAS NIGHTLEAD

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