EX-SMUGGLER IN WITNESS PROTECTION TESTIFIES AT COCAINE SMUGGLING TRIAL

A former marijuana smuggler now in witness protection testified
Thursday how he met two men now on trial for their alleged role in a
12-kilogram shipment of cocaine by boat from Washington State to Canada.

U.S. police intercepted the shipment on Oct. 25, 2001, on Orcas
Island and arrested Tony Craig.

Craig, who received a 30-month sentence in the U.S., now is
testifying against Sal Ciancio, 43, and Allan Christopher Lees, 30,
who are accused of conspiring to import cocaine.

Ciancio was acquitted at trial last November of the first-degree
murders of Eugene and Michelle Uyeyama, who were killed in their
Burnaby home by two hit men before Christmas 1995 because a criminal
organization believed the Uyeyamas had become police informers.

Ciancio also had been charged with five murders that occurred at an
Abbotsford farmhouse in 1996, but those charges were stayed.

Craig, now in his 30s, testified Thursday that he got involved in the
marijuana smuggling business in 1998 after losing his job in the
parts department of a car dealership that closed.

Then living in Maple Ridge, he recalled using two boats to smuggle
shipments of B.C.-grown marijuana to Blaine, Wash., where the pot
fetched about $2,800 US a pound.

Things were going smoothly until the fall of 2000, when he was
driving a drug dealer buddy's rental car in Vancouver and was stopped
in a roadblock on the Cambie Street Bridge. He failed a roadside
breathalyser and police checked the trunk of the car, finding about
12 kilos of pot destined for the U.S., he said.

Craig recalled he was shipping the pot for Mark Glover, who was a
friend of another smuggling buddy, Reggie Purdom. After he was
released on bail, he gave his arrest papers to Purdom to give to
Glover, in order to show that he hadn't stolen or ripped off the pot.

Later, he said, he was contacted by Sal Ciancio and Tony Terezakis.
He had been previously introduced to Ciancio by another drug trade
associate, Johnny Bogdanich, he said. He went to Purdom's apartment
in downtown Vancouver after the pot bust and Ciancio and Terezakis
were there. They began discussing drug deals gone bad, he added.

"Tony pulled out a gun and put it on the table," Craig recalled.
"There was a discussion about ways to repay."

He took this to mean he had to repay a drug debt for the 12 kilos of
pot seized by police.

"He said I had to work things out -- do some work," Craig told B.C.
Supreme Court Justice Barry Davies, who is hearing the case without a jury.

Ciancio also discussed planning a smuggling route from the U.S. into
Canada and introduced Craig to Lees, the witness added.

Craig said one of his jobs was to drive around Terezakis, who didn't
have a licence but was a debt collector for the drug trade.

Last year, Terezakis was sentenced to an 11-year prison term for his
role in an organized crime ring that sold heroin and cocaine out of
the American Hotel, feeding the drug addicts of Vancouver's Downtown Eastside.

A videotape played in court at Terezakis' trial showed him carrying a
Bible and beating people while shouting "Praise the Lord."

The trial of Ciancio and Lees continues today at the Vancouver Law Courts.

On Trial

- - Sal Ciancio was acquitted at trial last November of the
first-degree murders of Eugene and Michelle Uyeyama, who were killed
in their Burnaby home by two hit men before Christmas 1995.

- - Ciancio also had been charged with five murders that occurred at an
Abbotsford farmhouse in 1996, but those charges were stayed.