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Police uncover hundreds of millions in money laundering through NZ construction industry

Police have identified what Savage describes as a “marriage of convenience” between gangs seeking to launder criminal proceeds and construction contractors looking for cash to pay workers under the table.

Summarised by Centrist

Police have identified what Savage describes as a “marriage of convenience” between gangs seeking to launder criminal proceeds and construction contractors looking for cash to pay workers under the table.

“It’s a money-go-round,” Savage told Newsroom’s The Detail, explaining how criminal proceeds pass through construction businesses and emerge as apparently legitimate funds that can be used to purchase property or transferred overseas.

Operation Scuba led to the conviction of Auckland accountant Khieng Chiv, who pleaded not guilty to laundering nearly $7.8 million in drug money. Investigators uncovered shell companies, the purchase of a $3.8 million home for a senior Comanchero member and two businesses in Ōrewa.

Chiv received a prison sentence exceeding 10 years, described by Savage as the longest money-laundering sentence in New Zealand.

The extent of the problem remains uncertain. “We don’t actually know the full scale,” Savage said.

Industry organisations, including Master Builders, are promoting stronger contract auditing, worker verification and greater transparency around cash payments.

Savage said the consequences extend beyond organised crime.

“This is a huge economic problem as well.”

Source: Newsroom, Amanda Gillies, The Detail, 15 October 2026.

Read more at Newsroom

Re-published from the Centrist with permission

Original article at The Centrist

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