Published: 1:44PM Thursday July 22, 2010

Police and fraud investigators in South Auckland have busted a major money-laundering operation.

The year-long investigation, Operation Acacia, has uncovered an Asian crime group allegedly involved in multi-million dollar criminal activity.

Operation Acacia has seized more than $400,000 cash, $5.5 million worth of methamphetamine, $750,000 worth of ContacNT, the cold medicine that can be used to make P, and 21 illegally acquired firearms.

Police executed four arrest warrants across Auckland this morning, including swooping on a financial exchange business in the central city.

They seized large amounts of cash, froze the operating accounts of the business, and restrained property owned by the company director.

Assets seized include a $2 million house, two vehicles, the firm's bank account and $40,000 in cash.

Two people have been arrested, a 26-year-old company director and 27-year-old finance manager.

They will appear in court this afternoon, jointly charged with laundering $1.9 million over the past year.

 Malcom Burgess, director of the Organised and Financial Crime Agency New Zealand (OFCANZ), said the bust follows on from last week's seizure of $5 million of methamphetamine.

"We have sent a pretty clear message to crime networks in New Zealand this week," Burgess said.

"We are coming after you and we are not done until we have taken the money, assets and any other benefit you derive from crime."

Head of the OFCANZ Taskforce Detective Inspector Steve Wood said today's actions reflect the hard line approach now being taken on organised crime.

"We are not going to rest until we have disrupted the entire network from the organisers and street dealers through to those that help launder the money".

Wood said that new powers of the Criminal Proceeds (Recovery) Act 2009 have enabled police to hit criminals where it really hurts - taking their money and assets.

"Police believe the financial firm has assisted the drug ring to launder money by transferring large amounts of drug money through various accounts and moving it internationally to disguise its origin."