An Auckland restaurant owner has been given the longest ever prison sentence in New Zealand for Class-B drugs.
Hui Zhang disguised 402kg of pseudoephedrine, the drug needed to make methamphetamine, as "breadcrumbs" from China destined for an Auckland restaurant, which he used as a hub for distribution through his network across the city.
At the beginning of his trial in June in the High Court at Auckland, the 44-year-old admitted 34 pseudoephedrine supply charges as "simply a link in the chain" but denied the three more serious charges of importation.
But after deliberating for two weeks, the jury found him guilty of smuggling two shipments of Class-B drugs - totalling 402kg - although it acquitted him of a third importation of 91kg hidden inside a water cylinder despite his fingerprints being found inside the sealed container.
Zhang was today sentenced to 20 years in prison - a jail term longer than most murderers or the worst P dealers - and must serve at least 10 years.
Justice Kit Toogood said Zhang was the largest ever smuggler of pseudoephedrine into New Zealand, which was enough to make up to $116 million of methamphetamine.
"The massive scale of your offending has no precedent...the misery and harm of such a pernicious and highly destructive drug is incalculable."
Despite little evidence of drug-derived wealth, Justice Toogood said Zhang was driven by greed and believed he was an astute businessman who had managed to conceal his earnings.
He pointed to the $2.1 million Zhang gambled at SkyCity casino in the 14 months leading to his arrest in December 2013, overall losing $340,000 in that time, as proof.
The massive scale of your offending has no precedent...the misery and harm of such a pernicious and highly destructive drug is incalculable.
The 20 year prison sentence dwarfs the 13 years and eight months recently given to Van Thanh Tran, who pleaded guilty to smuggling a 250kg shipment after being targeted in Operation Ghost.
Tran and Zhang were at the top of their respective syndicates dealing pseudoephedrine, once the active ingredient in cold and flu medicines available over the counter in New Zealand, but which are now available only on prescription.
Despite running their own networks independently, and with no evidence of any contact between them, Zhang and Tran shared the services of a "delivery man", Ziyang Ma, who would courier parcels on their instructions.
Pseudoephedrine is extracted from a medicine widely available in China called ContacNT - with 223g of the pink, yellow and red granules from 1000 capsules sold as a "set" for $8000 to $12,000 on the black market.
Fingerprints belonging to Zhang led police to the restaurant in downtown Auckland, which cannot be named, where a covert camera captured drug deals in the carpark behind the building.
Surveillance photographs show Lulu Zhang, who worked at the restaurant, passing a bag holding newspaper-wrapped parcels to Guo Pei Chen sitting inside a silver Lexus.
The Crown case was that Lulu Zhang controlled the supply on Hui Zhang's behalf, when he was out of the country, while Chen was a dealer who purchased drugs from the syndicate. Bugged phone conversations revealed a code, according to the Crown. If Chen called to book a table for 12 people, this meant he was actually asking for 12 sets of pseudoephedrine.
Lulu Zhang was acquitted of four supply charges but convicted on six, for which Justice Toogood sentenced her to three years and six months in prison.
She was naive and vulnerable person who was at first an unwitting accomplice, said Justice Toogood, then "trapped" once she realised the true nature of the business by a manipulative and domineering Zhang - who was her boss and lover.
Her two daughters, the youngest just four months, will now be cared for by family in China.
Chen was convicted of 13 charges and will serve at least half of his sentence of eight years and six months.
Another of Zhang's customers, Desmond Sharp, admitted 13 pseudoephedrine charges, but denied making methamphetamine with his brother Desmond Loke.
Desmond Sharp. Photo / Brett Phibbs
The brothers were living at Sharp's home in Flat Bush, where police found methamphetamine and $82,000 in cash, as well as equipment which can be used to cook P. Sharp also supplied 22 sets of pseudoephedrine to Michael Geoffrey Neems, who was sentenced to four years in prison for possession of a Class-B drug for supply.
The jury found both Desmonds guilty of the serious methamphetamine charge.
Two of Sharp's young children were living in the house, where traces of P were found on the walls and even a cot, and were taken by CYF after the raid.
"Your greed put your own children's lives at risk," said Justice Toogood.
Who's who
Hui Zhang - 20 years. Minimum of 10 before being eligible for parole. Guo Pei Chen - 8 years, 6 months. Minimum of 4 years, 3 months. Lulu Zhang - 3 years, 6 months. Desmond Sharp - 9 years, 9 months. Minimum of 4 years. Desmond Loke - 7 years, 3 months. Minimum of 4 years. Michael Geoffrey Neems - 4 years.
