From ‘drug lords’ to property developers: police dismantle gang laundering millions through luxury villas in Marbella

The network apparently used commercial companies to channel millions of euros of illicit origin into the property sector. To this end, it invested in entire housing developments and high-end villas on the Costa del Sol, in Ibiza and in Madrid.

The investigation has so far led to the arrest of 27 people - two of them in the province of Malaga - and 38 simultaneous searches, four of which took place in the Malaga area.

Among those arrested is one of the network’s main ringleaders, who was located at a luxury property in the Dominican Republic following a coordinated operation with the authorities in the Caribbean country.

The investigation began in September 2023, when an analysis of encrypted messaging platforms led to the discovery of a network responsible for shipping large consignments of drugs to Europe.

The organisation is believed to be responsible, among other things, for four consignments intercepted in Panama totalling more than 1,500 kilos of cocaine, transported using techniques such as the ‘blind hook’ or ‘stowaway’ methods in shipping containers originating from Colombia.

The investigations also led the officers to uncover the network’s operational capacity to launder the proceeds of drug trafficking. Investigators found that the network had a complex web of front companies set up to acquire, build and market luxury properties in exclusive locations such as Marbella. The aim was simply to conceal the true ownership of the properties and channel the illicit proceeds into the legal system.

Such was the level of sophistication achieved in the property market that the gang began operating under the model known as ‘crime as a service’. As well as laundering its own funds, the organisation allegedly made its corporate network available to other criminal groups so that they could acquire and conceal assets in return for substantial commissions, thereby generating a dual source of income.

The operation has resulted in the freezing of 95 properties - including 16 luxury villas - and a ban on the disposal of a further 70 real estate assets. During searches carried out in Spain and the Dominican Republic - in which the Portuguese Judicial Police also collaborated - officers seized 40 high-end cars and two boats, as well as more than 270,000 euros in cash, 76,000 UAE dirhams and 1,100 US dollars, in addition to the freezing of more than 1.3 million USDT in crypto-assets.

The investigations have also led to the freezing of 200 items of movable property linked to the suspects. However, five international arrest warrants have been issued, meaning the operation remains open and further arrests cannot be ruled out.

As part of this large-scale operation, a significant arsenal of firearms has also been seized, including six handguns, one military-grade weapon, a silencer, various prohibited weapons – such as brass knuckles, Tasers, electric and extendable batons, and daggers – and more than 800 rounds of ammunition.