Pubdate: Mon, 29 Dec 2003
Source: Courier-Mail, The (Australia)
Copyright: 2003 News Limited
Contact:  http://www.thecouriermail.com.au/
Details: http://www.mapinc.org/media/98
Author: Rory Callinan

CRIMINAL GIVEN DRUGS APPROVAL

QUEENSLAND - Health gave a criminal facing two fraud charges approval
to possess key ingredients of amphetamines which he then used to set
up one of the state's largest illegal drug laboratories.

Erik William Zagata, 39, was given the approvals to possess the
ingredients - known as precursors - despite failing to complete a key
section on a Queensland Health licence application form which required
him to detail his academic credentials or work history.

And the loophole which allowed the fraudster to obtain the drugs has
been only partially closed, the department has admitted.

Zagata's activities were revealed after police raided a massive
amphetamines production operation alleged to have supplied millions of
dollars of amphetamines to syndicates around Australia.

Amphetamines have been judged the drug posing the most risk to
Queensland and have been linked to criminals involved in some of the
state's most violent crimes, including the shooting of Caboolture
policeman Perry Irwin.

The illegal laboratory was found to have relied on ingredients such as
pseudoephedrine which Zagata was legally able to obtain thanks to the
Queensland Health approvals.

Zagata applied for the approvals as quality controller at Denlin
Laboratories at Loganholme, south of Brisbane, in 1999.

But the company was a front for convicted criminal and former painter
and docker Dennis "Buster" James Lowe, whose cover story was that the
company was experimenting with the production of a horse cough medicine.

The medicine required ingredients such as pseudoephedrine, which was
later transported to a remote illegal laboratory in the Gold Coast
hinterland where it was processed into amphetamines.

Zagata twice successfully applied to Queensland Health for an
authority to possess chemicals that were key ingredients in the
methamphetamines, or speed.

At the time of his application he was facing two fraud charges in
relation to misusing funds at a former workplace in 1995 and 1997.

Yet under Queensland Health's then vetting procedures, no checks were
made in relation to Zagata's criminal associates.

Zagata was also not questioned as to whether he was facing criminal
charges at the time of applying for authorities to possess
pseudoephedrine and phenylpropanolamine.

This week, Queensland Health's principal adviser on drugs Chris Healey
said procedures had been tightened since the incident.

Zagata was jailed for seven years last month for his role in the
operation.

In 1999, he was given a wholly suspended two year sentence for an
unrelated fraud, but the day after, began his major role in Lowe's
drug ring.

Lowe was jailed for 18 years for trafficking amphetamines. He has
lodged an appeal against his conviction and sentence.
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MAP posted-by: Richard Lake