Who's hiding in your business or supply chain?

On 6th June 2021, news broke that Qantas, Australia’s most popular airline, had been infiltrated by organised criminals who were using the airline to carry out criminal activity. The drug smuggling organisations involved have high-level players based in Dubai, Turkey, and Hong Kong. 

An investigation, code-named Project Brunello, has found that up to 150 Qantas staff had been linked to the criminal activities. 

A Comanchero motorcycle gang affiliate, linked to an international drug cartel has a mid-level managerial position at Qantas’ Sydney airport operations and he has recruited criminals into the airline to help import narcotics.

Another individual of particular concern includes a Hells Angels-linked figure in the Northern Territory. The individual in question is working as a Qantas contractor and had previously infiltrated Defence Department flights that were subcontracted to Qantas. Further, a Qantas freight contractor in Perth is believed to have repeatedly used his insider status to make large-scale drug deliveries. 

Project Brunello also identified a former Qantas baggage handler who pleaded guilty to importing $68.5 million worth of cocaine via Qantas, however the actual amount is believed to be around $1 billion worth of cocaine.

Qantas’s air freight division, ground crew and baggage handling divisions are thought to be most at risk. Australian intelligence agencies believed that the Qantas staff involved in these criminal activities were creating "vulnerabilities in the security of supply chains and critical infrastructure". This would risk harming public confidence in the airline and border security. 

Following the scandal, Federal Labor opposition politicians Kristina Keneally and Catherine King called for an "urgent review" of security at Australia's airports, noting that “the last comprehensive review of airport security was 15 years ago”. 

“The combination of these revelations and the challenges of COVID-19 mean that it is now time for a new independent review.”  said Keneally and King, "The untold story of COVID-19 is that organised crime syndicates have not only adapted but thrived in the Covid-era".

Qantas Group chief security officer Luke Bramah said the following on the matter, “given we follow all of the government’s vetting procedures, we find these claims disturbing. We have not been advised of any current investigations of Qantas Group employees involved in organised crime. If concerns are raised regarding any of our employees, we will actively support their investigation and take appropriate action.” 

As a business, enacting the appropriate level of due diligence within your supply chain is critical in both addressing and preventing fraud, bribery, and corruption. All businesses have a responsibility of ensuring each link of its supply chain is void of any direct or indirect involvement in dubious activities and that all goods moving through the chain are legitimate. 

Project Brunello has raised questions for Qantas, alleging gaps in business processes at Qantas that, if tightened, could complicate insider placement options for organised crime groups. These include recruitment and criminal history checks on individuals as well as businesses you trade with.