The British Columbia government is pursuing the forfeiture of 12 Metro Vancouver properties, valued at over $37 million, alleging they were instrumental in a sophisticated, long-running money laundering operation orchestrated by a vanished international drug trafficker. The properties, including luxury condos and a West Vancouver mansion, are accused of facilitating criminal activity and providing safe havens for organized crime.
Key Takeaways
- The B.C. Director of Civil Forfeiture has filed lawsuits targeting 12 Metro Vancouver properties worth more than $37 million.
- These properties are alleged to be linked to Omid Mashinchi, an international drug trafficker on Canada's most-wanted list who has disappeared.
- Investigators have previously seized over 200 kilograms of illicit drugs, seven firearms, and $500,000 in cash and jewelry in connection with the case.
- The lawsuits claim Mashinchi and his associates used the properties to launder proceeds from unlawful activities, including drug trafficking.
Allegations of a Sophisticated Scheme
The civil forfeiture lawsuits detail a "long-running, large-scale scheme" allegedly orchestrated by Omid Mashinchi to launder the proceeds of crime, primarily through real estate in the Metro Vancouver area. Mashinchi, who disappeared during a Vancouver Police investigation into a major drug trafficking ring, faces charges including conspiracy and possession for the purpose of trafficking.
Investigators assert that Mashinchi and his associates, including Jemina Ortega, exercised control over dozens of properties. These properties were allegedly used not only for money laundering but also to provide a "safe" locale for members of organized crime to plan and engage in unlawful activities.
Money Laundering Tactics
One of the primary tactics employed by Mashinchi's associates, according to the lawsuits, was the rental and purported rental of properties to third parties. These rentals served as a cover to explain significant cash deposits to banks. It is alleged that substantial sums, including over $1.6 million in cash deposited into one account over a six-month period in 2021 and 2022, were actually proceeds from drug trafficking or other criminal enterprises.
Mashinchi also allegedly created corporate entities, such as Sky Residence Corp., a purported property management company, to facilitate and conceal money laundering. These entities managed the properties, handling tenancy agreements, mortgage payments, and utility bills, all while creating the appearance of legitimate transactions.
Past Convictions and International Links
This is not the first time Mashinchi has faced legal scrutiny for money laundering. In 2018, he was charged in the U.S. for laundering drug profits. He later admitted to wiring $336,000 in drug proceeds to U.S. banks through one of his company's accounts in 2017. He was arrested at Seattle-Tacoma International Airport in April 2018 while en route to visit his parents.
Prior investigations by Postmedia had already linked Mashinchi to criminal elements, including the Brothers Keeper gang and the Wolfpack gang alliance. His former company, Mashinchi Investments, also known as the Residence Club, had leased a North Vancouver condo where a gang leader was fatally shot in 2018.
Ongoing Legal Battles
The current forfeiture lawsuits were filed on January 16, 2024, and no statements of defence have yet been submitted. This action follows two previous government lawsuits filed in 2023 and 2024 seeking the forfeiture of five other properties linked to Mashinchi's alleged criminal organization, with a combined assessed value of an additional $7 million. In those earlier cases, property owners have denied the government's allegations.
The lawsuits also allege that Mashinchi and his associates participated in the activities of a criminal organization, procured sexual services, received benefits from sexual services, and failed to declare taxable income.
