The South East Antrim UVF is being linked to a £100,000 cash and drugs haul seized in Carrickfergus.
The PSNI revealed on Thursday that Class B and Class C drugs were found along with £100,000 in cash following searches at two houses in the Co Antrim town.
A local source said: “The UVF have been pressurising people who are not members to store drugs for them. This will be deeply embarrassing for the UVF’s Shankill Road leadership as they had only moved to try to stand down members involved with drugs in the area late last year.
"Questions are now being asked about what difference there really is if members there are still involved in drug rackets.”
The seizure comes months after the UVF leadership expelled three leading loyalists from the organisation following an internal investigation over links to drug dealing.
The trio, which included the gang's overall South East Antrim 'brigadier', his second-in-command and its chief in the Mount Vernon estate, were found to be stealing money and demanding protection cash from drug dealers.
The UVF probe was led by its provost marshal Jackie Anderson, a convicted bomb-maker who is in charge of internal discipline, and instigated by chief-of-staff John 'Bunter' Graham.
It came after the UVF asked for £5m of government funding in return for abandoning criminality and morphing into an old boys' network.
One of those stood down, the terror gang’s former Newtownabbey-based second-in-command in South East Antrim, is now facing several charges of beating up his wife in one of the most serious cases of domestic violence to come before the courts in recent times.