Nearly 30 South Island commercial fish dealers are being investigated for alleged illegal trading.
Ministry of Fisheries regional services national manager Dean Baigent said 27 businesses from the West Coast to Invercargill were involved.
"For this operation we used covert agents who were able to establish contact with both sellers and buyers of fish," Mr Baigent said.
"Purchases and sales were made through these contacts. Fish species involved were paua, blue cod, elephant fish and other finfish used in the fish and chip and restaurant trade."
Most sales were made at unusual times or in odd places, and there was no paper trail as required under fisheries legislation.
"The rules relating to buying and selling fish are clear," Mr Baigent said.
"Only fish from a commercial source can be sold and there must be a clear audit trail of documents to support the transactions."
Charges against some of the businesses would be laid, possibly within the next few weeks.
- NZPA
South Island fish dealers investigated
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