Jail inmates ran multi-million P ring - police

Rocky Pulete was a kingpin in the drug ring, police allege. Photo / Dean Purcell

Inmates of New Zealand's maximum-security prison ran a multimillion-dollar drug ring which made P with drugs smuggled from China inside toothpaste, chocolates and cakes, police say.

Evidence against 16 people arrested in Operation Spider Web was heard in the North Shore District Court this week, outlining a sophisticated criminal network that transcended traditional gang rivalries.

All 16 defendants have denied the charges, but eight have been committed for trial in the High Court at Auckland after conceding a prima facie case exists.

Police say the prisoners ran a methamphetamine importing and manufacturing ring from the Auckland Prison maximum-security wing at Paremoremo, using contraband cellphones to organise imports of cold tablets containing the pseudoephedrine used to make P.

Hidden inside toothpaste, chocolates, cakes, shoes and clothes, the class-C drug was allegedly sent from China to the homes of associates of the prisoners.

It was then turned into methamphetamine.

Enough pseudoephedrine to make P worth $5 million was seized in police raids.

Charges against the 16 people were laid in September last year. Those accused include inmates Arthur William Taylor, Ulaisi "Rocky" Pulete, Michael Anthony Laumanu, Ernest Tofaeono, Wayne John Clarke, Wanzhe Gui and Fraser Samuel Milham.

Several gangs were linked to the alleged enterprise, including Asian organised crime figures, the King Cobras, the Killer Beez, the Head Hunters and the Mongrel Mob.

A Black Power member was allegedly assaulted for trying to "rip off" the syndicate.

Police say Operation Spider Web showed how members of rival gangs worked together as businessmen in a crime syndicate.

Prosecutor Bruce Northwood told the court that the accused were "well up" the drug syndicate hierarchy.

Police allege Taylor - who represented himself at the hearing - was a leading figure in the syndicate, as were Wanzhe Gui and senior King Cobras member Pulete.

Gui was believed to have made more than $1 million profit, according to a conversation overheard by police.

Pulete is accused of directing the supply and distribution of the ingredients from inside Paremoremo, and Laumanu allegedly controlled the manufacture of methamphetamine.

Police say another of the 16 accused, Bruce Andrews, was a crucial link in the ring, organising cellphones, collecting payments and passing on orders from Taylor and Pulete.

Associates outside the prison have been charged with conspiracy to manufacture methamphetamine, by allowing packages of drugs to be sent to their homes.

They include Glenda Phillips, Kathleen Garrity and Matthew Butland.

Police said drugs were found at the home of King Cobras member Matthew Schwenke.

The depositions hearing will continue next week to determine if there is enough evidence to warrant sending the remaining accused - including Taylor and Pulete - for trial.