Sydney identity Fadi Ibrahim changes plea ahead of trial

Sydney identity Fadi Ibrahim has effectively admitted to having a financial stake in a major international drug ring, five years after his sensational arrest in Dubai.

The 48-year-old pleaded guilty to one charge of dealing with property reasonably suspected of being proceeds of crime to the value of more than $100,000.

He was due to stand trial on Monday before a shock change in his plea.

Fadi Ibrahim is the brother of Kings Cross identity John Ibrahim, who has not been accused of any offences or connection to the conspiracy.

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It was back in 2017 when Ibrahim left Australia for the United Arab Emirates on a business class ticket.

The trip was cut short, when he, his brother Michael and two others were arrested as part of an international investigation called Operation Veyda.

Dubbed the "Dubai Four", they spent six weeks in prison before being extradited back to Sydney.

Police facts from the case of a co-accused allege Fadi redrew $800,000 from his home loan with the money being passed onto others before ultimately funding a haul of illegal cigarettes.

Detectives also alleged he doubled his money in a lucrative cut from the deal.

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However, the Dover Heights man disputes some of the allegations and will challenge them when he faces a sentencing hearing next year.

He remains on bail after fronting up more than $2 million to secure his freedom five years ago. He faces up to three years in jail.

Brother Michael Ibrahim is serving a 30-year sentence for the tobacco bust, as well as a plot to smuggle MDMA.