Operation Beaver drug convictions in Auckland, Digi Mart USA News (Auckland, New Zealand): The crash of an Aston Martin Vanquish during a money laundering inquiry led police to investigate the owner of the supercar, Qiangqiang Chen, as a drug importer during Operation Beaver. The Aston Martin Vanquish was a write-off, but Yichuan Zhang was not worried about replacing the $400,000 vehicle.
One of Zhang’s workers had crashed the supercar, and Zhang’s only concern was to protect the identity of his client, the true owner of the vehicle. Although the white Aston Martin was registered in the name of a woman living overseas, Zhang talked about “Brother Qiang’s” car and was anxious to remove certain items from the wreckage.
Zhang rushed to the scene of the accident in Auckland, but police had already arrived. Detectives listening to Zhang’s phone calls on the day of the crash, May 13, 2021, knew they had to take a closer look.
Zhang was a target in Operation Worthington, a covert investigation into professional money laundering, and had been recorded boasting of shifting more than $700,000 in cash every week.
By following the money, detectives identified a number of previously unknown drug dealers who used the cash exchange services. One of these clients was “Brother Qiang.” Later that day, police executed a search warrant on the wrecked luxury car.
Officers found $30,000 in cash, a diary with coded notes of courier tracking numbers, three cellphones, 15 SIM cards and documents revealing the car’s true owner.
A new investigation, Operation Beaver, was underway. Despite owning a $400,000 car, Chen had no discernible legitimate income, had never filed a tax return and had no bank accounts in his name.
He was a frequent visitor to SkyCity casino, where gambling records show a total buy-in of $2.4 million.
Through analysis of messages on the seized phones, cross-referenced with courier tracking numbers and SIM cards, police linked Chen to 79 drug imports. Customs stopped 30 of the parcels at the border, and two others were seized overseas.
A total of 25kg of methamphetamine, 46kg of ephedrine and 32kg of MDMA were intercepted, although Chen had managed to distance himself until then. Another 47 drug packages were successfully delivered.
The evidence revealed that Chen was working closely with a North Shore resident, Zhe Wang. Some drug parcels were sent to addresses owned by Wang, or messages between the pair showed they were exchanging courier details for incoming imports.
To disguise the profits of his drug dealing, Chen used Zhang’s professional cash exchange services. One method used to clean the dirty money was buying expensive vehicles.
The Aston Martin Vanquish was funded through significant deposits made by shell companies purporting to operate in the construction industry. The director of those companies was a 24-year-old from Mt Roskill who drove a 2007 BMW without a Warrant of Fitness.
A police summary of the case said, “The use of young Chinese people to set up shell companies and accounts is something that was noted in the money-laundering investigation.”
With the Aston Martin a wreck, Chen purchased a replacement a few weeks later: a late-model Mercedes-Benz AMG worth $350,000. Although the Mercedes was registered in someone else’s name, police surveillance noted that Chen was the only person who drove it, with one exception.
Patched Head Hunters member Maika Gaitau was seen behind the wheel for a few weeks in February 2023.
Gaitau was a long-time friend of Wang, and the pair had lived on the same street in Glenfield for several years. Phone messages retrieved by Operation Beaver indicated they were also in the drug business together.
At some point, a deal between Gaitau and Chen soured, with Wang caught in the middle. Gaitau believed Chen owed him money, so he took the Mercedes-Benz as collateral until the perceived debt was repaid.
This was an example of “taxing,” an underworld practice in which criminals extort cash, drugs or valuables from other criminals through intimidation or violence. Taxing is rarely reported to police, as victims fear further retribution or exposure of their own criminal behavior.
A few months later, Operation Beaver ended with raids on 10 properties across Auckland. Along with methamphetamine, MDMA, ephedrine and 50kg of iodine, a key ingredient in manufacturing meth, police found a number of firearms.
Detective Inspector Tom Gollan said at the time of the arrests, “It is a major win.”
Chen and Wang eventually pleaded guilty to dozens of drug and money laundering charges instead of going to trial. Earlier this year, Chen was sentenced to nine years and nine months in prison.
Wang received a five-year term and lost several homes and high-end cars forfeited under the Criminal Proceeds law. Gaitau also admitted numerous drug charges and is due to be sentenced in February next year.
Zhang, the professional money launderer whose concern over the Aston Martin Vanquish kickstarted the investigation, was sentenced to six years and eight months in prison.
