Casey Costello has described organised crime as "an increasing threat." Photo: RNZ / Samuel Rillstone
An advisory group has told the associate police minister New Zealand is "losing the fight" against organised crime.
The Ministerial Advisory Group on transnational and organised crime was set up in February, to provide independent advice and recommendations to improve the cross-government response to what Casey Costello described as "an increasing threat."
It had since met with a number of agencies, including Ministry of Business, Innovation and Employment, Inland Revenue, Customs, Police and the Serious Fraud Office, as well as non-governmental stakeholders like banks, NZ Post, Auckland Airport, and with gang members.
Costello - also customs minister - has received the group's first report, which identified a range of challenges the government immediately needed to address.
Further reports would focus on the improvements needed.
The group, chaired by Meredith Connell senior partner Steve Symon, said successive governments had set ambitious strategies, with endless reports, committees, sub-committees, and working groups, but organised crime was worse than ever and continued to grow.
"New Zealand's response has not adapted to the sophistication of modern organised crime groups. This, in turn, makes the country increasingly vulnerable to the influence of organised crime which will impact on the lives and businesses of all New Zealanders," it said.
Meth seized by Customs in March 2025. Photo: Supplied/NZ Customs
Ten years ago, Customs seized nearly 55 kilograms of methamphetamine over the entire year. Last year, Customs stopped close to twice that, every week.
It was also reflected in meth consumption, with wastewater testing showing around 36 kilograms was consumed every week in the December 2024 quarter, compared to 15 kilograms per week in the March 2019 quarter.
"The numbers, however you look at them, are dire," the report said.
"The size of the drug problem is overwhelming. A huge amount of the resources of the police and Customs are expended on the drug problem, whether that is trying to prevent drugs reaching the public or the downstream problems caused by drug consumption. Incredible work is being done, but they are swimming against the tide."
There was also growth in cyber fraud, migrant exploitation and human trafficking, transnational money laundering and black market tobacco.
Overseas influence
The group found while New Zealand had previously been a "remote and small" market for global organised crime groups, there was now an increasing presence from major syndicates from China and Southeast Asia, Latin American cartels and Australian gangs (the latter of which had been exacerbated by the arrival of 501 deportees).
Despite the crime being "orchestrated" offshore, the report said New Zealanders were left to pay the price.
"Most organised crime originates from overseas. Disruption of onshore activities, through seizures and arrests of domestic participants is not solving that problem. For this reason, it is critical to target the profits before they leave New Zealand.
"Targeting domestic distributors along with increasing the focus on reducing the demand for drugs can make New Zealand a less attractive market for foreign organised crime groups."
The group said Costello, a former detective, was seeking a "step change" in the way government law enforcement and regulatory agencies worked individually and together to detect, deter and dismantle organised crime groups.
While most government agencies felt they were making a contribution to countering organised crime, they recognised they could do more.
"Everyone said that information sharing is a critical problem," it said. "Information sharing between government agencies is deficient. In some cases, that is because there are specific legislative barriers. In others, the willingness to share information proactively is due to the culture of organisations."
The group said it was time for a "mature conversation" about privacy settings, which balanced the need to combat organised crime effectively without compromising individual privacy interests.
Organised crime's biggest vulnerability was money, and the group said the focus had to be on the financing of organised crime to prevent offenders from enjoying the benefits.
While New Zealand had a "pretty good" anti-money laundering system, there were ways to make it more effective and "courageous."
The group also said agencies' performance measures focused on objective measures within their sphere of control, which meant there was no clear understanding of the overall system performance.
The group has been commissioned until September, and it would spend the next six months providing more reports with practical advice.
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