Bail for drugs accused Tyrone man held after Euro-wide raids
A CO Tyrone personal trainer is the latest to be charged in a National Crime Agency (NCA) and PSNI investigation into encrypted phone data.
Twenty-five people have now been arrested in Northern Ireland after the secretive EncroChat was successfully penetrated and searches recovered over £360,000 in cash, 15 phones and drugs, Dungannon Magistrates Court heard.
Used for trading drugs and guns, the system was decoded and intercepted by the NCA and other law enforcement agencies across Europe in June, collectively leading to more than 800 arrests.
Nolan James Scarlett (41) of
Terrenew Road, Dungannon, is charged with being concerned in the supply of cocaine and cannabis and entering into an arrangement to acquire criminal property.
There is also a charge of blackmail, in which it is alleged Scarlett conspired to make an unwarranted demand for money from an unknown victim.
A detective constable said the charges, which allegedly occurred between March 25 and June 15, could be connected.
Prosecution counsel advised: “This is large investigation after encrypted data was received from phone handsets linked to drug dealing. Some 25 people have been arrested so far, of which seven were granted High Court bail, and four in Magistrates Court.”
While opposing bail he accepted: “I can’t distinguish this accused from a series of others who have been released.
“If granted, conditions consistent with those imposed by the High Court are sought, including sureties ranging from £5,000 to £40,000, electronic tagging and a ban on mobile phone possession... in respect of one accused the surety was £40,000, as £250,000 cash was seized in his house plus drugs.”
The case against Scarlett involves multiple encrypted messages pertaining to drugs supply “linked to him by content”, including the device password being his wife’s name and partial date of birth.
The messages indicate Scarlett is “a subordinate or courier” for another person, named in court as Peter Loughran, who is currently in custody as part of the investigation. He failed in a second attempt for bail this week.
It is alleged that Scarlett “ran drugs, delivered cash and transferred money by international means”.
Defence counsel said the range of sureties “obviously reflect very different cases and antecedents. One person with alleged links to criminality in Dublin had an enhanced surety imposed. In another, it is alleged there were paramilitary links and a relevant previous conviction”.
Scarlett, said the defence, has a clear record and his elderly mother was prepared to put up a cash surety.
They added: “It’s telling when my client’s house was searched there was no phone, no money and no drugs, so this is not a case where, like many others, police found large amounts of cash.”
District Judge Oonagh Mullan agreed to bail, setting the surety at £5,000, and ordered Scarlett to be electronically tagged and refrain from possessing a mobile.
Prosecution counsel also sought a prohibition on contacting Peter Loughran by any means whatsoever. However, this was not extended in respect of any others as “the majority of people have now been arrested. However, he was in daily contact with Loughran and that’s why it is mentioned for bail terms”.
An original curfew of 9pm to 7am was amended at the request of the defence, who felt this “pinched” on Scarlett’s availability to continue work as a personal trainer.