Ibrahim son bailed over drug money: court

Sarah Budge, the girlfriend of Sydney identity John Ibrahim, has been granted bail on a gun charge.

The son of "King of the Cross" John Ibrahim has been granted bail over his alleged involvement in handing over $2.25 million to buy smuggled tobacco.

Daniel Taylor, 26, was charged with dealing with money intended as an instrument of crime after police raided homes across Sydney in relation to a multi-million dollar international drug-smuggling crime syndicate.

The deal is alleged to have occurred in July with his uncle Michael Ibrahim - the alleged mastermind behind the plot.

John Ibrahim's model girlfriend, Sarah Budge, 27, is not involved in the drug-smuggling syndicate but faced court on firearms and ammunition charges.

Court documents suggest she was in possession of a Glock 26 pistol that had its identifying serial numbers removed when she was arrested at Double Bay on Tuesday.

The pair was granted strict conditional bail by Magistrate Clare Farnan at Central Local Court on Wednesday.

Four other men allegedly involved in the crime syndicate were refused bail.

They are all due to appear at the same court on November 1.