Yea, though I walk through the valley of death, I will fear no evil, because I am the evilest mother f***** who ever walked through the valley.
One would hardly suspect that this confrontational t-shirt message would be worn by someone raised in an affluent and caring family, who enjoyed a private school education. Peter John Hill, however, was not your typical privileged rich boy.
Hill rebelled against his ‘top end of the town’ background in 1972 when he became a founding member of the Hells Angels. Like many other bikie gang members, he enjoyed intimidating members of mainstream society, but Hill delivered more than typical bikie bluster to the gang. He developed excellent managerial skills and technical expertise, and, under his guidance, the Hells Angels became a powerful force in the business world. Money was wisely invested in property development, and the Hells Angels also promoted rock concerts.
...he was told the exact recipe for the successful manufacture of amphetamines.
Their most lucrative initiative revolved around Australia’s burgeoning illegal drug trade, and in this field Hill delivered incredible wealth to the group’s coffers. It was he who introduced amphetamines or ‘speed’ into Australia. He first learned the manufacturing process when he became familiar with the American outlaw culture during his overseas travels in the late 1970s. It was infamous USA criminal identities such as James ‘Jim Jim’ Brandes, Sergei ‘Sir Gay’ Walton, Kenny ‘KO’ Owen and Sonny Barger who educated Hill in the manufacture of speed. Walton certainly fast tracked the Australian recruit’s future success.
When Hill visited ‘Sir Gay’ in a Californian prison, he was told the exact recipe for the successful manufacture of amphetamines. Hill excitedly jotted down this precious information on three scraps of paper, and after he returned home he repaid Walton’s generosity with a highly valued export.
A chemical needed for the manufacture of speed was a prohibited substance in the USA, but could be produced legally in Australia. This chemical was often concealed in tins of Australian pineapple, and it successfully passed through American customs surveillance and into the eager hands of American crime barons.
Their amphetamines business was soon a spectacular success, with daily profits of $70,000-$80,000 often being achieved.
Hill realised that Walton had virtually presented him with a money tree when he passed on the coveted formula, and he wasted no time in profiting from his good fortune. He recruited fellow Hells Angel members Ray Hammett, John Maddon and Roger ‘Root Rat’ Biddlestone to assist him with their administrative and technical skills. Sales from stolen motorbikes provided the group with a capital outlay of approximately $15,000, and the Angels began manufacturing huge supplies of speed in Australia.
Their amphetamines business was soon a spectacular success, with daily profits of $70,000–$80,000 often being achieved. At first the Angels manufactured the drug in suburban Belgrave, but the operation soon had to be moved to the more remote outer-Mebourne area of Wattle Glen, where the pungent processing smells were not as noticeable to the general public. The group established another speed laboratory in Ballarat.
Hill’s nemesis was Bob Armstrong, a respected police officer who bore an uncanny resemblance to the late British comedian Benny Hill. He was a constant threat to Peter Hill’s drug empire, and the new drug baron decided to eliminate his persistent enemy. He hired his American friend and noted hit-man James ‘Jim Jim’ Brandes for a contract killing mission. However, Peter Hill’s mother Audrey (a woman who strongly disapproved of her son’s criminal activities), discovered details of the plot, and warned Bob Armstrong of the danger.
The resolute detective showed real initiative in the crisis situation by confronting Brandes when he first arrived at Melbourne’s Tullamarine Airport on 26 August 1982. The flustered American was surprised to meet his Benny Hill look-a-like target. He was then completely gob smacked when Armstrong calmly informed him that his visa had been cancelled because of his convictions for gun running and drug dealing in his native country. Brandes was placed in a holding cell at the airport, and flown back to America on the next available flight.
...his visa had been cancelled because of his convictions for gun running and drug dealing...
By then, Hill’s first flush of success with the amphetamines trade had begun to falter. Many of the Angels were themselves becoming drug users, and the strong leadership team began to crumble. Hill and ‘Root Rat’ Biddlestone became less influential after John Maddon was killed in a motorbike accident, and Ray Hammett was caught stealing proceeds from drug sales. The decline of their speed empire continued after the Ballarat laboratory was forced to close down, and Hill and his wife went into hiding.
...one juror was presented with a suitcase full of money, which may explain why the defendant was found not guilty.
More Hells Angels were now facing legal proceedings, and juries were often intimidated by the hostile stares of bikie groups when evidence was submitted in court. Hill later revealed that one juror was presented with a suitcase full of money, which may explain why the defendant was found not guilty.
After Biddlestone was badly beaten by other Hells Angels, Peter Hill realised that the glory days of his drug empire were coming to a close. He gave evidence against the group that he had originally helped form, but the intimidated ‘Root Rat’ refused to provide supporting evidence, so the case collapsed.
Hill served five years in custody, and his family and he then moved to an isolated rural area of the state where he grew oranges and drove trucks. It is rumoured that he sold his speed recipes to the Black Uhlans bikie gang for the ridiculously low price of $1,000.
After the Black Uhlans gained the recipe for amphetamines at a bargain basement price, one of the gang’s founding members became the new ‘king of speed’.
John Higgs
John Higgs had a long record of criminal convictions as a teenager, and in his early adult years he served a custodial sentence of 10 years for attempted armed robbery and manslaughter. After procuring the ‘money tree’ from Peter Hill, Higgs successfully steered the Black Uhlans into the lucrative speed distribution market, and his girlfriend’s brother, David McCulloch, became his right hand man. The pair gained enormous profits from amphetamines, heroin and cocaine trafficking, and they were also heavily involved in gun running rackets from the Philippines.
The new king of speed dealt with many Italian crime figures in plans that were of mutual benefit, and Higgs was also closely associated with Phillip Chee Ming Ng. This prominent member of a Chinese Triad gang was arrested in 1996, and jailed for a minimum period of 20 years for importing massive amounts of heroin into Australia.
The pair gained enormous profits from amphetamines, heroin and cocaine trafficking...
The devious Higgs regularly received information from crooked police about current drug squad strategies, which helped him to operate successfully for 15 years. During that time the new drug baron prospered. Over two-million-dollars worth of drug money was laundered, and Higgs also purchased a fish processing plant, an ocean going trawler, retail outlets, and a demolition business.
The staggering amount of 18 million dollars was invested in real estate interests, with an extra ten million dollars being used in Queensland land deals. Higgs ran a loose cartel of different criminal interests, and the groups cooperated with one another on projects of mutual interest. Important international connections were established, with drug and gun running gangs trading their illegal products from America, Papua New Guinea and the Philippines.
...Higgs also purchased a fish processing plant, an ocean going trawler, retail outlets, and a demolition business.
Higgs also purchased harness race horses, which David McCulloch drove at course meetings. The pair was accused of ‘fixing’ results on occasions by feeding horses performance enhancing substances. Overall, their wealth from illicit enterprises continued to grow. In 1992, police intelligence sources claimed that just one ‘cook’ of Higgs’ amphetamines netted him the stunning sum of forty-eight-million-dollars.
It was informant ‘E292’ who provided the breakthrough that law enforcement authorities needed. E292 had been a successful business man who became Higgs’ card playing friend. The drug baron made an error in judgement, however, when he attempted to recruit E292 as a drug courier. E292 was a devoted husband and family man who detested the drug trade, and he contacted police about Higgs’ illegal dealings. Over the next three years, he became an important spy for law enforcement authorities.
...60 police confiscated explosives in a raid on a country property that Higgs and McCulloch owned.
Higgs’ new ‘recruit’ was trusted within the gang, and the drug squad encouraged the Uhlans’ warmth toward E292 by providing him with $25,000 worth of chemicals for the drug syndicate. This practice of providing chemicals became known as ‘controlled deliveries’ or ‘drug diversion’. The tactic functioned efficiently for nearly a decade before corrupt police officers such as Wayne Strawhorn began selling police supplies for their own financial gain.
Police raids on the drug gang began in late 1994, when more than 60 police confiscated explosives in a raid on a country property that Higgs and McCulloch owned. Ultimately, between 1991 and 1998, 135 suspects were arrested, and over $750,000 in cash and a mammoth two-hundred-million-dollars worth of amphetamine chemicals were recovered. In April 1991, John Higgs was charged with conspiracy to manufacture and distribute illegal drugs.
E292’s evidence was vital for achieving prosecutions, but he was forced to provide his court room testimony via video link ups from a secret location, because of fears for his life. By then he had become a protected witness in a foreign country, and his family, who had previously known nothing about his dangerous double life, had been re-located with him.
...would have tortured and killed him if they had discovered his true identity.
The drug squad’s key witness was a hero, and did not deserve the shabby treatment he received from authorities for his outstanding community service. For years E292 lived a perilous existence among ruthless criminals who would have tortured and killed him if they had discovered his true identity. Despite these risks, E292 was reportedly not adequately compensated for $50,000 dollars in lost income, and he was forced to sell his Australian home at a financial loss. His family and he lived in constant fear.
There were other disappointing outcomes from this ambitious ‘drug bust’. In January 1997, progress in potential arrests faltered after vital written evidence supplied by E292 vanished from police premises. Also the policy of ‘controlled deliveries’ of drugs into the criminal world had to be abandoned in 2001 because corrupt members of police drug squads were reaping financial rewards from trafficking. By then, only 40% of the chemicals released had been recovered, and this paltry amount was only a little over $280,000 in value. Financial records underpinning the initiative were virtually non-existent, and in general, those convicted only received light sentences.
Tony Mokbel
Few underworld figures or high ranking police officers saw them coming. Carl Williams and Tony Mokbel slipped under everyone’s guard, and became gangland leaders before anyone realised they had arrived as major players in the world of crime.
Carl Williams in particular was underrated by established criminals and investigating detectives. Tony Mokbel was also not rated highly, and these errors of judgement came about because the new era of large scale drug trafficking overturned some entrenched attitudes.
Carl Williams in particular was underrated by established criminals and investigating detectives.
The underworld’s old guard, such as the Italian community based Carlton Crew, basically expected newcomers to prove themselves in criminal ranks before they graduated to leadership positions. Success in standover roles, armed robberies, safe breaking, prostitution rackets and protection services was the expected pathway, and the rise to power was viewed as being a gradual process.
The temptation to have a share of this almost obscene wealth proved too much for some policemen...
Williams and Mokbel flouted these perceptions with their quick entry into gangland leadership. The catalyst for their success was the almost instant wealth accumulated from drug trafficking.
The duo received more income from a weekend of manufacturing amphetamines than senior detectives earned in a year. The temptation to have a share of this almost obscene wealth proved too much for some policemen, who became criminal allies of Williams and Mokbel once they succumbed to bribery. Corrupt policemen such Ray Kelly, Fred Krahe, Don Fergusson, Roger Rogerson, Wayne Strawhorn, Stephen Paton, Malcolm Rosenes and David Miechel greatly helped the new power brokers consolidate their new leadership positions.
Rivalry tensions in Melbourne’s underworld resulted in a gangland war that claimed at least 29 lives. Ironically, this mayhem of killing was unnecessary; if common sense had prevailed over greed, there would have been enough cash available in the drug trade for all who were involved.
…he shot Carl Williams in the stomach.
Greed was the main reason the gangland war erupted between the Moran and Williams camps, but there were also other factors. Carl Williams’ wife, Roberta, had previously been married to a family friend of the Morans, and she and Jason Moran’s wife had a frosty relationship. Their children attended the same school, and truthfully, the two women were not discussing ideas for the annual fete when they engaged in shouting matches at the end of a school day.
The Morans were also irritated when Carl Williams undercut their prices in drug sales, and he allegedly sold poor quality pills to the Moran gang. Furthermore, the Morans believed they were owed a considerable sum of money for a drug pill press. These contentious issues led to a conciliation meeting being organised between the warring groups at a park in Airport West on 13 October 1999.
The only outcome of note was entirely predictable. Disagreements led to Jason Moran’s violent temper erupting out of control, and he shot Carl Williams in the stomach. In hindsight, future victims of the underworld war might have been spared if Jason had taken Mark Moran’s advice and ended the life of their hated rival. Sparing Carl Williams life soon resulted in three members of the Moran family being slain, as well as many of their associates.
Williams and Mokbel are now both in custody, and are likely to serve long jail terms for drug trafficking and murder. Allegations about the involvement of arrested hit-men and corrupt police in other drug related crimes, were still being investigated when this book went to print.
Carl Williams with friends in his younger days
Williams being arrested by police.
Australia is unfortunately one of the worst nations for drug dependency. A commissioned report published in 2004 noted that 38% of Australians aged 14 years and over had used drugs on at least one occasion, with 15% indulging in the previous 12 months. The number of people using the dangerous party drug ecstasy had reached an all time high.
In that same year, there were over 1,700 deaths resulting from illicit drug use, with over 60% of syringe users contracted Hepatitis C. By 2004, 46% of injecting drug users had overdosed at some point in their lives, and in Victoria, 42% of drug injections were conducted in a public place. In 2005, 19% of injecting drug users died from AIDS.
On a more optimistic note, the number of dependent heroin users committing armed robberies fell by close to 10%. This was largely attributed to the increased legal availability of methadone for heroin addicts.
Many street dwellers have died in recent years in the toilets of fast food outlets around the central business district. Public toilets are also popular for ‘shooting up’, and paramedics usually treat about five overdose emergencies every week.
At any time of the year, in the early hours of morning, a significant number of sleeping bodies can be seen sprawled in laneways, or stretched out on footpaths.
An increasing number of beggars congregate near fast food outlets, but not all the people in the streets are poor. A watchful observer on the opposite corner could well be a rich drug dealer.
‘Greg’ is one of the beggars. The young man from a country town has been begging around the city now for four years. Alcohol was the problem at first, and then he drifted into the drug scene. At times he shop-lifts to help finance his habit.
A busy paramedic says that ‘Greg’ is not one of the hard core addicts. One of this paramedic’s regular clients is a young female, who has dangerously overdosed on 30 occasions in the previous two months. Once she was an attractive young woman. Now she presents like a dirty rag doll. Her future is bleak; her drug addiction could potentially cause massive brain damage.
If the ‘Mr Bigs’ of the drug world vacated their penthouses in the early hours of the day, and cruised the inner city streets in their flash cars, they could also observe the human toll of their activities.
Then again, they might be too busy counting their ill-gotten money to bother.
Criminals are significant substance abuse victims. Statistically, nearly 90% of prison inmates have a drug related background; Freddy Caco is a depressing example of what leading a completely drug dominated life will do to a person.
Caco became an exceedingly dangerous criminal. He had a conviction for kidnapping, he committed at least 12 armed robberies, and all of his proceeds from crime were used to feed his heroin addiction. His tragic dependency resulted in an outlay of $4,000-$5,000 per week. Over 20 years of his life were spent in custody.
Graham Alford is a rare example of the ways in which a dependency on drugs can force a person to turn their life around. Alford was a high profile Melbourne barrister who unexpectedly turned to armed robbery, and served seven years in jail for his crimes.
Alcohol was the main reason for his rapid decline, and he regularly consumed around 30 beers a day when he wasn’t involved in court cases. Alford also became a gambling addict.
He first served two years in custody after embezzling $100,000. Alford was then deregistered by legal authorities, and on 15 October 1982 he committed an armed robbery. After Alford was arrested and returned to jail, his wife divorced him.
Alford then took stock of his free-falling life. In prison he joined Alcoholics Anonymous (AA), and discovered that his excessive drinking had caused brain damage. Alford’s rehabilitation included the completion of crosswords to stimulate his mind, and he gradually made a full recovery.
After returning to mainstream life, Alford remarried and became the stepfather of two children. He also wrote a book titled ‘Never Give Up’. In the book, Alford states he’d ‘rather see a sermon than hear one any day’. He also shares a philosophical message that he gleaned from his turbulent life:
‘Happiness is wanting what you have, not what you haven’t got [and]… You can only be happy in the present.’