Winnipeg police secretly watched alleged drug ring for months

WINNIPEG – Police officers snuck into homes and hotel rooms, snooped in luggage, secretly tracked vehicles and installed covert video cameras as part of the lengthy investigation known as Project Sideshow.

Global News obtained search warrants and other court documents Tuesday that detailed the investigative techniques that led to the series of raids in Winnipeg and British Columbia on Feb. 5. Fourteen people face more than 200 charges.

Police revealed some details of the investigation last week, noting that covert surveillance was used to gather evidence.

But the warrant information goes much further, describing how officers were authorized by the courts to make “covert entries into residences, hotel rooms and luggage.” There were also “General Warrants for video installations,” “tracking warrants for four separate vehicles” and a “pinging warrant for cellular telephones.”

“Private communications on this project have been intercepted continuously from January 24, 2013 to December 31, 2013, resulting in more than 300,000 intercepts,” police said.

Police also noted the suspects made use of “PGP encrypted communication devices” in an attempt to avoid police surveillance.

The police overview of Project Sideshow submitted to the courts describes “high-level drug trafficking activities of a Cooperative … who are associated to Asian organized crime.”

The documents describe a highly complex organization consisting of two “cells”: one imported drugs to Winnipeg mainly from B.C. and the other mainly from Ontario “for the purposes of further distribution.” Baljinder Singh, 33, who was arrested in a St. Anne’s Road apartment, was alleged to be the leader of the first cell. He also trafficked in firearms, “arranging supply and sale to local organized crime groups,” police said.

Oliver Banayos, 32, is alleged to be the leader of the second cell. The arrest warrant for Banayos shows a Manitoba Avenue address that was one of the homes raided Feb. 5.

“The investigation evolved to focus on Cooperative members Baljinder Singh and Oliver Banayos, who each have their own drug network that for the most part operates independently of one another,” police said.

The police documents show a continuous transport of large amounts of drugs that police were watching for months.

“Winnipeg police verified that (suspect Cara) Smith and (her boyfriend suspect Timothy) Fuller couriered multi-kilo cocaine shipments, and sometimes methamphetamine and MDMA also, into Winnipeg, concealed within their luggage as gift-wrapped parcels. Winnipeg police opened and searched checked luggage of Fuller and Smith on multiple occasions, both as they arrived in Winnipeg and as they departed Winnipeg for Vancouver.”

Officers also kept track of “couriers” who allegedly used rental cars to ship drugs from Ontario to Winnipeg.

“The Ontario courier ordinarily departed Winnipeg the same of following day … returned the rental car, and then flew back to Ontario with the proceeds of crime. Police covertly searched the courier’s checked luggage on departure on numerous occasions and observed large amounts cash received from (suspect Philip Manh) Nguyen …” police alleged. The documents show lists of dates of “covert entries into luggage” including on July 31, when officers allegedly found $400,000 in baggage checked by suspect Denny Cao.

Another of the targets raided Feb. 5, 133 Market Ave. in Winnipeg, is listed in the police documents as “the main stash location of Baljinder Singh’s cell, paid for Baljinder Singh.” Another suspect, named Rayan Dizon, lived there.

Police secretly entered Dizon’s Market Avenue home 22 times between Feb. 13, 2013, and Oct. 23. The documents list everything police saw inside, including as little as four ounces of cocaine on one occasion, to two kilograms on several other occasions.  They also observed $50,000 in “bundled cash” and on two occasions an “assault rifle.”

“Intercepted communications and video recordings verified that Dizon trafficked in firearms under the direction of Baljinder Singh,” the documents allege.

Cash obtained from the drug deals was laundered, or replaced by other legitimate cash, through a number of ATMs owned by Banayos’ sister Carol, police allege.

“Dizon had regular contact with Oliver Banayos, another member of the Cooperative, and assisted Oliver Banayos with laundering money by filling ‘White Label’ Automated Teller Machines (ATMs) with Banayos’ proceeds of crime,” the documents allege. “Under the direction of Banayos, Dizon met with Banayos’ sister at her residence, who gave him Oliver Banayos’ money to fill the ATMs,” the documents allege.

None of the suspects named in the court documents have been convicted, and all are considered innocent until proven guilty.