A MONEY launderer caught with £8.5million of drugs and £850,000 cash has been ordered to pay back just £150,000.

A proceeds of crime hearing was told that Labib Arshid, who was linked to 333kg of amphetamine with a street value of £8.5million.

The hearing concluded the benefit amount was £11,593,785 but Arshid will have to pay back just £105,386.

The convicted drug dealer has already had more than £840,000 in cash seized by HMRC.

Investigators found Arshid had assets including a BMW X5, an Audi A3, and jewellery including Cartier and Chanel watches and a Tiffany necklace.

The true amount that Arshid benefitted from his criminal activity is unknown.

The 45-year-old, who laundered £10.8million through a series of businesses, was jailed for 10 and a half years in March 2018.

That was after he pleaded guilty at Preston Crown Court to two counts of possession of a class B drug with intent to supply and two counts of money laundering.

Surveillance began on Arshid in December 2017 after Barclays Bank became concerned about suspicious activity in business accounts, mainly for takeaways.

Following an investigation by the police and customs officials he was arrested on December 11, 2017, outside Barclays in Chorley when he was found with almost £100,000 in his car in three plastic bags.

This came straight after he had completed ‘multiple large cash deposits’ at Lloyds bank in Darwen.

A search at Arshid’s then home in Higher Springfield Barn, Belthorn Road, Guide, uncovered a large quantity of drugs along with £841,000 in notes.

Sentencing Arshid last year, Judge Mark Brown, the Recorder of Preston, said: “No doubt he was involved in real and serious organised crime.

“This is drug dealing on a truly massive scale.

“He undoubtedly had a leading role and had close links to the service and supply of the drugs.”

As part of the investigation bags of money, drugs and equipment were found hidden in the renovated barn in Guide, the court heard.

Prosecutor Nicola Daley said items were found under loft floorboards, in sports bags, behind tiles in an ensuite bathroom and in bedrooms.

She also said bank slips and notepads were found which showed just short of £11million had been banked over the previous four months.

A money-counting machine, a vacuum and sealable bags were also found.

The court heard Barclays became aware after seeing a large increase in turnover in accounts of business.

The money was deposited using the cash drop systems at various banks.

An example of this was a takeaway in Glasgow, which had a turnover in 2016 of £46,000 but from September the following year alone it had increased to £141,000.

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If Arshid doesn’t pay back the £150,000 in three months he will be given another year in prison.

Speaking after the hearing, 

Zoe Ellerbeck, Assistant Director, Fraud Investigation Service, HMRC, said: “Arshid was a leading player in serious organised crime and his fraudulent activities funded a luxury lifestyle, denying the government of funds for hospitals and schools. He is now behind bars, and we are stripping him of his assets to reinvest in UK services. If he does not pay back the proceeds of the fraud in full amount Arshid will stay in jail for another year and still owe the money.

“HMRC will not give up the pursuit of criminal funds even after conviction, ensuring all tax is protected and used as originally intended. We urge anyone with information about money laundering or fraud to contact us online or to call 0800 788 887.”