Bonus Bonds suspected of taking tainted money

To mark the “drugs” issue, Critic sent a reporter into the field to delve into the student drug trade. We found that Dunedin is a relatively pricey and difficult place to obtain most drugs, with drugs like ecstasy and acid far less accessible and more expensive than in other major New Zealand centres.
To facilitate our investigations we spoke to sources knowledgeable about the drug scene in the city. It appears that most students selling drugs in Dunedin are small-scale dealers, with most selling simply to supplement their student loans or allowances in order to meet living costs.

 
Marijuana is apparently by far the most popular substance among students, although we were told that there had been a considerable increase in the popularity of tabs of acid and ecstasy for events and concerts.
 

The latter substances are, however, difficult to get hold of, with considerable gluts in supply throughout the year and large fluctuations in price. Sources told Critic that most ecstasy was sourced from Auckland dealers, with acid being brought in from Auckland and also imported from overseas.

 
These substances’ volatile supply and often poor quality meant that profits for student dealers were generally low. Critic was told that most dealers selling these products made minimal profit, with some receiving practically nothing above retaining a portion of their stock for personal use.
 

Marijuana remained the easiest drug to get hold of and the most profitable to sell. An “0-bag” of 30 grams could be bought for $300 and on-sold in one gram tinnies for $20 each, netting a profit of $300 on each bag sold. One source reported that a casual dealer might sell a bag a week if he was well known.
 

However, most small-scale student dealers were not making enough to support an extravagant lifestyle, with many simply selling instead of working a part-time job. One source did report that he had heard of one dealer who invested their profits from each sale in Bonus Bonds.

 
The fact that most students dealing drugs seemed to be doing so in order to support themselves has again called into question the level of government support available to full-time students.

 
With a maximum borrowing entitlement of only $170 a week, almost all students Critic talked to said that they had to find money from external sources simply to pay their fixed weekly living expenses.
 

One student, who requested to remain anonymous, said, “my rent, basic food and utilities add up to nearly $200 a week. This means the student loan doesn’t cover my day-to-day living costs in the best case scenario. If I have to go the doctor, or if any other unexpected costs arise, that simply adds to the weekly deficit. I have a normal part-time job but I can definitely understand why some students would be tempted to deal to get by, or put a little money away.”

 
Posted 6:49am Thursday 14th April 2011 by Staff Reporter.