Exclusive: The suspected mastermind behind the firebombings of a string of Australian nightclubs known as “The Ghost” is living in a concrete bunker in Iraq.

The 23-year-old is based in Kut, two hours south of Baghdad, where he has been directed the mayhem on Melbourne’s streets using encrypted messages.

The Ghost, as he has been described by some of his victims, has been in the Middle East for four years after being linked to the failed shooting of Sam “The Punisher” Abudulrahim at Fawkner cemetery.

He has become powerful there by working as the “Sergeant at Arms” for illegal tobacco billionaire Kazem Hamad.

The Ghost’s influence increased when Hamad, who has made $1 billion from selling tax-free cigarettes in Australia, was arrested in Iraq on drugs charges in January.

Sources claim that the Ghost has links to Iran, where the Islamic Revolutionary Guard was seeking to exploit his corrupt officials, or “doors”, who help move illegal cigarettes into Australia.

But his behaviour has behaviour has become erratic and its claimed that he was now acting independently of Hamad, who remains behind bars awaiting trial in Iraq.

The blazes sweeping entertainment venues in Melbourne comes after years of firebombings at tobacco shops across the city, with more than 200 torched in a battle for supremacy.

The figures behind the illegal tobacco trade were using the same tactics to take a foothold in the nightclub scene, seeking monthly “protection payments” of $10,000.

“They were trying to set up what the Italian mafia had in New York in the 1980s,” a source said.

However, sources claim that Hamad’s offsider broke ranks and started making unrealistic demands.

“The offer was $10,000 per club a month, then he started asking for $50,000, then $100,000 and then went to $1 million,” a source added.

“He doesn’t want to make a deal, he just wants to create chaos. He’s out of control, he couldn’t come to an agreement … and he’s just gone nuts.”

Victoria Police’s Eclipse Taskforce has received information about the alleged mastermind, releasing some details about their suspicions last week.

Hamad’s offsider was allegedly using cut outs in Indonesia to send messages to nightclub owners in Melbourne, while money was allegedly being moved through Dubai.

One of the messages threatened to take bar owners’ “souls” unless they “comply” with their demands.

There have been reports that some of the firebombings were linked to the sale of illegal alcohol or “bootleg liquor” in the clubs.

But sources claim that those reports were incorrect, with Hamad’s offsider blamed for the blazes.

Hamad’s offsider moved to Iraq after he was allegedly involved in the failed daylight hit on Sam “The Punisher” Abdulrahim at Fawkner cemetery in 2022.

The attacks on Abdulrahim, who was eventually gunned down in an apartment block in Preston last year, were part of a years’ long war over control of illicit tobacco trade.

There have been more than 30 firebombings across Melbourne in the past three months, with high end bars including The Emerson, La Di Da and Soho Restaurant being attacked.

Strip clubs, The Men’s Gallery and Kittens have also been targeted.

Victoria Police has so far arrested 42 people, with more than 140 charges laid. However, many of those have been young offenders who were simply hired to do the firebombings.

One was so inexperienced that he lit his pants on fire.

Police Minister Anthony Carbines this week announced a $10 million fund to pay for upgrades for CCTV and security measures at licenced venues around Melbourne.

“These attacks are driven by gutless thugs exploiting young people. Victoria Police is working tirelessly to find these criminals – and they won’t rest until they do,” he said.

“We’re backing Victoria Police with more resources and getting more of them out on the streets.”

The Australian Federal Police spent months working on Hamad’s arrest through Operation Carmen.

Hamad was making as much as $20 million a week – or $1 billion in two years – from illegal cigarettes and protection money from shops in Australia, despite being based in the Middle East.

But the flow of Manchester cigarettes, which sell for only $10 a packet becuase they do not pay excise tax, has continued despite his arrest this year.