Six cars are taken away after an Operation Casino raid in Flaxmere. Photo / Supplied
Hundreds of thousands of dollars seized by police from a Flaxmere gang house should be returned to the deprived community it was allegedly "pillaged" from, a councillor says.
When police raided the pad last month as part of Operation Casino they seized $400,000 in cash, as well as taking control of the house, and up to a dozen vehicles and motorbikes.
All up about $1m in assets were seized.
But that might never return to the community that needs it so desperately, Hastings District councillor and Hastings ambassador Henare O'Keefe says.
O'Keefe says an overhaul is needed of the Proceeds of Crime Act, which see cash forfeited by crooks doled out by the Government to organisations and projects it deems worthy.
He says if a community like Flaxmere has been "raped and pillaged" by criminals, it should get the final say on where their money is distributed back to.
"I don't want it to go through government agency. If they took it out of a community, put it back there.
"We've got mandated bureaucrats deciding how we should look after ourselves. Change the blimmin' model.
"My way it goes back to where the rubber meets the road. We would give them accountability, transparency, whatever they want - if we don't deliver, we'll give the money back."
When asked what crime proceeds could be used for in the community O'Keefe said, "we are spoiled for choice".
Among his ideas are university scholarships for Flaxmere teens, talented teen sport stars sponsorships, a music academy, a community garden and others.
Central Asset Recovery Unit manager Detective Senior Sergeant Brent Murray said because the investigation was ongoing the assets had been placed in a "holding" mechanism, pending a court decision.
"The forfeiture evidence is considered by the High Court and if the court grants forfeiture orders, then the official assignee sells the assets and realises the equity contained.
"Once certain costs are met ... the remaining funds forfeit are deposited into the Proceeds of Crime Fund.
"Those funds are then available for bids from government and NGO agencies for initiatives focused on addressing organised criminal groups dealing in methamphetamine and other drugs or have a well-being focus addressing crime-related harm.
"The Prime Minister, Minister of Justice and Minister of Finance determine which bids should receive money from the fund."
Police Minister Stuart Nash said the proceeds of crime fund was already open to applications from local organisations for projects that work to address the harm caused by crime, especially drug harm and alcohol-related offending, family harm, and the impact of methamphetamine.
"It also supports projects to prevent crime in the first place, such as fog cannon devices in small retail premises, and CCTV cameras in shopping areas.
"The fund has two application rounds each year and welcomes applications from groups with innovative ideas for reducing crime-related harm in our communities," he said.
Nash said with increased resourcing for police there has been an increase in activity to seize assets.
"As the additional staff are recruited into these roles the amount restrained from gangs and criminals is expected to increase significantly.
"In addition, more police are being recruited by the dedicated Asset Recovery Units. Forty new positions have been created in the police asset recovery teams since we took office.
"We have a target of restraining $500m in criminal assets by next year. Crime does not pay, and police are determined to hold organised crime networks to account for the harm they cause in our community."
Significant amounts of money and assets have been seized in recent raids most recently search warrants executed in Whakatāne, Tauranga, Waikato and Auckland on June 11 resulting in $1.5m in cash, six high-end vehicles, one high-end motorcycle seized as well as firearms and drugs.