
Scott Miller, 45, and an accomplice were arrested in police raids in two Sydney suburbs.
They were charged with the alleged supply of some A$2 million worth of methylamphetamine, also known as ice, concealed inside candles, they said.
Police also seized a kilogramme of heroin, other drugs and cash in the raids.
A spokesman described Miller as the head of a “criminal syndicate” that sold ice across New South Wales state, and said investigations were continuing and further charges expected.
Miller won a silver medal in the 100m butterfly event in the 1996 Atlanta Olympics, and a bronze medal as part of Australia’s 4x100m medley squad.