4 ...proudly brought to you by Mazda. Good evening. Tonight on Sunday, another fatal police shooting. They shot him three times in the chest. 36-year-old Nic Marshall shot dead. GUNSHOTS His family mourning. One of the most placid people I know. He's got no tattoos. Good, straight-up, nice guy. It is always unfortunate when we have to use deadly force. We approached the police with a few questions. Could there have been another way? There's no need for them to go charging in there like Rambo and Bruce Willis joined together, firing guns. < Get ready. # ...where your baby... Are you an overnight success? There's been a lot of nights that have gone into that 'overnight'. ALL LAUGH From rock bottom... It was music that saved me. ...to the biggest show in Oz. # Life could be a dream if I could take you up to paradise. It's The Koi Boys. No, we are Kiwis. No, we are Kiwis. ALL LAUGH > It doesn't really seem like a prison at all. And inside ` the craziest prison in the world. There are shops all the way through here. ...where the really rich drug traffickers and politicians live. Everyone has to buy their own prison cell. Children roam the corridors and drugs are made and sold. The prisoners have completely free rein inside. Need to go? < Got to go. Captions by Anne Langford. Captions were made possible with funding from NZ On Air. Copyright Able 2016 Kia ora. I'm John Hudson. It was all over so fast from the time armed police smashed down the door of the Hamilton home of Nic Marshall to when he was lying in a pool of his own blood, gunned down metres away from his girlfriend. Kendyl Eadie, who says she saw it happen, calls it murder. She says if only police had knocked on the door, the couple would have come out willingly. Nic Marshall was a bit of a hooligan, according to some who knew him. But the Waikato mechanic killed at 36 was also a much-loved son and uncle. Nic's family and the police are asking questions about Nic; one of the latest deaths in a string of police shootings. Janet McIntyre investigates. GUNS COCKS They shot him three times in the chest and once in the arm. It wasn't to disable or anything ` the reasoning for them. Yeah. Murder. Yeah. You're talking about an event that's happening very very quickly in a very confined area. POLICE: Down. Police. Down. Police. I go, 'Please don't shoot me.' Shaking. Yeah. It is always unfortunate when we have to use deadly force, that has been used in this case, and now we need to find out what happened. Nic Marshall was no angel, but did he deserve to die in a hail of bullets, gunned down by members of the Armed Offenders Squad in his own home? It was all over in just minutes, but could police have done it another way, a safer way? Was the use of sudden, deadly force justified? There's no way that he would have tried to take them on. He wasn't suicidal. He wasn't confrontational like that. It happened just on nightfall at the workshop where Nic was living with his girlfriend, Kendyl Eadie, and his dog, Texas. 26 Grasslands Place. Not your typical home. Rough, dirty, full of clutter. Police believe it was used to supply methamphetamine and make firearms. But this was news to Nic's father. They were expecting, presumably, a gun-manufacturing plant and maybe a P lab. There was never a 'has been', never will be and never was a P lab here. And gun manufacturer? If anything, how can you make much on that little lathe there? But you know that he had tinkered with guns. I saw a shown-off shotgun here once and told him to get rid of it. Nelson Marshall worked next door to Nic in the same building. He visited his son just that afternoon. And where did you see him? > In the work` In the driveway and in the workshop. It was wide open. You know, just walked in. Did you happen to notice anything out of the way at all? No. He was working on` Oh, he was cleaning up at that stage, shifting stuff in and out of the workshop. He was one of the most placid people I know. He's never been, ever, up for assault. He's never had a criminal record. He's got no tattoos. He's a good, straight-up, nice guy until this happened. Nic and Nelson Marshall were not just father and son, they were best friends and business mates, self-confessed petrolheads. You name it, they drove it, rode it, burned it and fixed it. He likes hot-rodding things. Building things. Changing things. Modifying things. The side of Nic I loved the most as his sister, was the kind, intelligent, deep, thoughtful person he was. Nic and his sister, Madelyn Stanton, were both adopted as babies and raised as the Marshalls' own. ENGINE REVS Nic joined his father racing cars around the world and later was groomed to take over Nelson's highly successful Hamilton business, Marshall Transmissions. How confident were you about handing over to him? > I wouldn't have done it if I wasn't happy with it. I wasn't going to put him into something I thought was doomed to fail. But fail it did. With the market in decline and Nic, according to his family, struggling with depression, Marshall Transmissions eventually fell into liquidation and was sold. It was the beginning of last year when I thought things were a bit out of control, and that's when he was starting to have his mates in at work all night. And I thought, 'This isn't right.' What sort of mates were they that were staying all night? > What is generically known as 'druggie mates'. And was Nic doing drugs himself? Once I saw a broken P pipe when he was down at work. What did you say about that? I got the cops down and they had a look at it and said they'd get back to us. What did you say to him about it? Well, he denied that it was his. And I said, 'What are your mates doing here smoking P? You can get out.' But Kendyl, 26, Nic's girlfriend of a year, admits they were occasional users. To what extent was methamphetamine part of your lives? > Oh, you know, just... dabbled, you know. Yeah. And you used it together? At times. Yeah. Yeah. And was Nic actually manufacturing it`? > No, no. No way. Definitely not. I don't even know how they would have come to that conclusion. But Nelson was worried that gang members were hanging out at the workshop. Nic was working on some of their cars. I told him. I said, 'These guys are no good. You've got to watch it.' And I said, 'They'll pollute you. They'll drag you down.' And he said, 'No. I can handle them.' Coming up, what really happened? Kendyl's version,... Begging the police not to shoot me. I was terrified. Terrified. ...the police version... We believe he's tried to pull the trigger, and when he's racked it, he's then brought it back down again, and that's when he was shot. ...and the bystanders too close for comfort. If they would have killed me, what would they tell my kids and my wife about why did they kill me? I am the master of the way. I am the master of the way. ALL CHATTER, LAUGH Hey! Over here, mate. (LAUGHS) Hey! Over here, mate. (LAUGHS) Thank you so much. See ya! Hey, thanks for driving tonight. Hey, thanks for driving tonight. You owe me. Hey, thanks for driving tonight. You owe me. (LAUGHS) Fair enough. Kate was giving me the eye as well. What?! What?! She was. No. No. BOTH LAUGH What's that? What's that? Oh crap. Don't worry about it. You're well under. Don't worry about it. You're well under. Yeah, but it's a lower limit now. Good evening. Any alcohol tonight? Good evening. Any alcohol tonight? Uh, just a couple... with dinner. Good evening. Any alcohol tonight? Uh, just a couple... with dinner. Yeah. She's fine, eh. Stop. That's over 250 micrograms. I now require you to accompany me to the booze bus... Oh stink. You have the right to remain silent. Anything you do say... It's a failed result, ma'am. ...may be given in evidence in court. You could ring a taxi and pick your car up in the morning. Let's call your mum and dad. They're, like, 10 minutes away. Let's call your mum and dad. They're, like, 10 minutes away. We're not calling my parents. CHILDREN ARGUE CHILDREN ARGUE Please. Behave yourselves. No. In the car. INDISTINCT RT CHATTER 5 As night falls on 26 Grasslands Place, businesses are shutting up. At 6.01pm, Nic is seen on CCTV on his bike returning home to meet up with Kendyl. It's his last ride. 21 minutes later, four police cars pull up. GUNS COCK Yeah. The door just started being smashed in. BANG! BANG! I know that I definitely thought we were being home-invaded. How did Nic react? The look on his face was, like, um, 'Oh gosh, I've got to protect us.' Cos it was. It was very scary. The way Kendyl tells it, they'd been the victims of an attempted home invasion months earlier. They thought the same thing was happening again. If they'd of said, 'The place is surrounded. Come out,' we would have. Like, if they'd knocked on the door and said, 'It's police,' we would have answered it and come out straight away. But we believed we were being home-invaded. Was there any warning at all? No. None. Definitely not. Not a single thing. You hadn't heard people calling out? > No. Not even prior to the door being smashed in. No. Kendyl said she saw Nic go down to the back of the shop where there was a shotgun. And you'd seen it there? > Yes. Yeah. So you knew when he went back there, that's what he was going for? Yeah, yeah, yeah. And where were you? > Um, I went to go follow him out. I was just at the office door. The police gained entry then, and it was a surprise to me. 'Oh my gosh, it's police.' All masked up. You know, bullet-proof vests and assault rifles. < And what were they saying, these guys? Oh, nothing. < Are you sure? Yeah. Positive. There was` There was no conversation between Nic and the police. < But they had loudhailers. That's what they say. There definitely wasn't. We didn't hear a thing. There was no way Nic would have got up and gone to arm himself if he thought it was police. We would have come out willingly. Kendyl says she saw Nic reaching for the gun. < What did he do with it? Um, he... Yeah. He hadn't done anything with it. He didn't even load it. He didn't have a chance to. It was so quick, you know. She says she turned away to look at the police. When my eyes returned to him, he was being shot with nothing in his hands. Three times in the chest and once in the arm. He stumbled forward and landed on his face. There was nothing in his hands. Murder. Yeah. But there's another version... Right. Come through. ...captured in this footage, filmed by the Marshall family and given to Sunday. The AOS have come in here, through that door. Nic has run out of the office. He's not armed at that point. It's a detective walking them through the scene a few days after Nic was shot. They come in. They keep on announcing through the loudhailer who they are. 'Police.' They walked in. He's been challenged as he's come in. And they've shouted 'police' at him and told him to stop. He's gone down under here. And he's pulled the pump-action shotgun out and he's presented it. We believe he's tried to pull the trigger, and when he's racked it, he's then brought it back down again, and that's when he was shot. I know for a fact that he did not point it at them. He didn't cock it. He didn't even load it. But you say your eyes were turned away, so he could have done some` > Yeah. Momentarily. But I-I` It wasn't even loaded. But what did Kendyl actually see of the shooting in the workshop? The detective had her inside the office, not in the doorway where she told Sunday she stood. She's not witnessed any of that. She talks about hearing... Well, she says she was by the door cos she had come out to see what was going on. She's further in. I believe she was further in here. I'd taken a couple of steps backwards into the office and dropped to my knees, um, and hands up, absolutely shaking in fear, begging the police not to shoot me. I was terrified. So Kendyl says she was somewhere near the office doorway while the police were shooting Nic in the workshop. At that moment, in the room right next door, Daya Singh, another mechanic, was still open, still doing business with a client. This is where we were here, and the gunshots were just behind that wall. Daya, whose business recently moved into the front part of number 26, had seen the police arrive. They were calling something which, actually, we can't hear what they were saying. < Did they have a speaker or were they just`? No. They didn't have any speaker. Nothing. They just went and bang on the door. So that was the noise we heard. < That was the door being smashed in? Yeah. And after that, as soon as` just bang! And then it go putt, putt, putt. And that was finish. They should have let us know or tell us to move out of the building before they started shooting. And you would have been happy to do that? Yeah. We would have gone by then. Especially when the bullets were flying. How many shots were fired in total? Uh, at this point, eight` eight shots. Five actual shots that made contact. Five shots that hit Nic, but what about the others that didn't hit him? A shot went into there. We recovered that. A shot glanced off down there, went through a container down there and disintegrated. Police fired two bullets that hit the car. The first one went into here, into the body, this one ricocheted off, came across here and hit a cabinet they said was up here. If it hadn't of hit the cabinet, it would have gone straight through the wall like that. How thick is that? > It's about 10mm, 12mm of Gib board. On the other side is another 12mm of Gib board, and on the other side of that is workers working in their workshop. If they would have killed me or maybe I got hurt and been admitted in the hospital, what would they tell my kids and my wife about why did they shot me or why did they kill me? But it was Nic Marshall who was shot, and quickly. Phone logs show an ambulance was called just three minutes after police arrived at the scene. The next thing I saw of him was them dragging him past me, and his head was just back like this and there was no` there was no movement, no-no` no nothing. No sound. He was taken to try and get him better access to the paramedics. Nic's sister, Madelyn, queried the police about moving Nic. Is it normal to move somebody once they've just been, like, shot? Like, would you not just leave them and work on them? This operation has been a long time in the planning. There's been a lot of intelligence and information. The raid was carried out on what police describe as 'sensitive intelligence provided by informants'. They found some gun parts, several guns and a small amount of methamphetamine, but did Nic Marshall deserve to be shot dead? There's the police version that he threatened them with a gun, and Kendyl's, that he didn't. It's their word against hers. Can you understand that if Nic did what police said he did, rack that shotgun in front of them, can you understand why they reacted the way they did? > Yeah. Yeah, I can. Um, I wouldn't be sitting here today if I believed Nic had cocked the gun at them cos that would have justified him being shot. Um, but, yeah, there was no justification in my eyes, at all. We approached the police with a few questions. We wanted to know why they didn't try to negotiate with Nic before they forced entry. Was their use of force absolutely justified? Why didn't they warn nearby businesses, which were still open, to leave their premises? And what do they say to Kendyl's claim that Nic was murdered? SOFT GUITAR MUSIC Nic is really nice. He taught my sister and I Metallica's 'Nothing Else Matters'. The last time I saw him was at Nelson's birthday. Mourners at Nic's funeral learned about another side to Nic ` the loving brother, son and uncle. Uncle Nic was a nice and wonderful person. He never deserved to die, but at least he's in heaven with God. Will Nic's family ever know the truth about how he died? In this day and age, um, with the technology and everything, there should be cameras for every raid that they do so that, you know, they are held accountable for their actions, cos, you know, now it's my word against theirs, and it's ridiculous. Could they have done it another way? A better way? > Of course they could. I mean, there's no need for them to go charging in there like Rambo and Bruce Willis joined together, firing guns at some guy in the back of the shop. Half an hour before they came, the workshop was wide open. Nic was riding his motorbike around. Um, and all through the day they could have walked in at any time, unhindered, and seen what was happening, if anything. Police declined our request for an on-camera interview, but they released a short statement. They say they're working to keep Nic Marshall's family informed of the next steps, including investigations by the police, the Independent Police Conduct Authority and a coronial inquiry. They say based on the information available at this time, they support the actions taken by staff on that day. They say they understand the family's shock, but they won't undermine the investigations by making further comment. Later in the show, inside the craziest prison in the world where it's the prisoners who run the place. Up next, The Koi Boys and why they've been bringing down the house in Australia. Now, they chose the song. We were, like, 'Really?' 'Sh-boom'? But it worked. # Life could be a dream... # So you're rich? Rich? As in... (LAUGHS) You mean money? # Life could be a dream, sweetheart. # Sh-boom! # AUDIENCE ROARS 4 Welcome back. Sometimes it can feel like a new reality TV singing star pops up every week. They're promised the good life, record contracts, number-one hits, but how often do they deliver? How many go on to become lasting stars? The Koi Boys are three Kiwis who were a smash hit on Australia's biggest TV show, The Voice. And they've got enough life experience to know how tough things can get. Here's Mark Crysell. Are you ready? I'm ready. As long as you are ready, I'm ready. Here we go. # Don't you feel like crying... Just because The Koi Boys make it sound easy,... # ...when your baby leaves you all alone. ...doesn't mean it is. # And nobody... # Are you an overnight success? Oh, no. (LAUGHS) There's been a lot of nights that have gone into that 'overnight'. If you've been living under a social media, reality-TV rock for the past six months, this was The Koi Boys' overnight moment; # Life could be a dream if I could take you up to paradise... bringing down the house as the first-ever trio on The Voice, Australia's biggest TV show. # Life could be a dream, sweetheart. You know, it's a cool song. Everyone vibed to it. We didn't actually think that the country would be going crazy. I think we are looking at one of the contenders for the winner of the show. So, just who are these full-grown men who became Koi Boys? Well, there's Danny from Lower Hutt, Ngahere, better known as Nuz, from Rotorua and the oldest, Kevin, from Waitara. Together they're aiming for the top, but Kevin started at the bottom. It was music that saved me cos it turned into my job. He was unemployed and living in Porirua with a young family in the late '80s. I was walking home with my guitar, and I noticed a busker in the street there. 'All I need is a train fare home and a pack of smokes. 'So if I can get just $13, that'll cover that.' So I just parked up down the road and just started singing. I remember the first song I ever sung was, like, 'Easy', but it was like this... (QUIETLY) # Know it sounds funny but I just can't stand... # Cos I was embarrassed by people walking by and looking down at you. The next thing, I hear the greatest voice that I've ever heard. Danny asked Kevin to join his group ` 'Temperature's Rising'. They were popular in Wellington and got to sing the national anthem at an All Blacks test. # Hear our voices we entreat. # Yeah, that was amazing. That was probably our biggest gig, you know. Highlight. > Being beamed live to the world. That was always the dream, to be an All Black, before... # Ahhhhhhh. # (LAUGHS) Problem is, temperatures really did rise between Kevin and Danny. We didn't leave on the best of terms, did we, bro? No. We didn't. Much like any brotherhood, you fight. You make up. Who won? > Of course, he did. Look at the size of him. ALL LAUGH I tried to leg-sweep him, and it didn't work. Remember that? Old Bruce Lee over here, eh? Kevin left 'Temperature's Rising' and Danny shot through for the brighter lights of Australia. My father actually just told me, 'Go, son. You'll get more opportunities over there.' Long story short, they needed a few more singers. Danny put my name forward. Takes a big man to ask someone back into a band after they tried to leg-sweep you? (LAUGHS) A very big man. Yeah, well, you know, we just had this connection, you know. In our younger years, we, you know, of course, we fight. There's egos. There's all sorts of things. You don't really see the big picture. You don't look ahead. I actually owe a lot to this man here, this man, very much so... I do. I do. Meanwhile, the third Koi Boy, Nuz, was doing his growing up in Brisbane. Whanau, however, made sure he didn't forget where he came from. My family created a kapa haka group. Started from '88, and run by my grandmother. My grandmother, (LAUGHS) she's the boss. Our most famous singer, of course, was Howard. Sir Howard. Yep, Sir Howard Morrison is Nari Ngatai's first cousin. No pressure, Nuz (!) How does he compare to his great Uncle Howard? Well, the difference is that Howard had a phenomenal voice, and, um, I wouldn't say that Ngahere has got the same phenomenal voice. He's got a little bit more because he dances as well. He is a whole act. So I think that, um, joining up with his older brothers here, they were just what the doctor ordered, and together they make beautiful music. # Because, you know, I am all about the bass. # No treble. All about the bass. # Half the time we have to really just wing it. (LAUGHS) When we're performing, it's a matter of looking at each other and using body language to find our parts. And because we've been doing it for so long now, it's comes a lot more easier and naturally now. Our eyes. Yeah. Eyebrows. Eyebrows. Points. That's what... If you go flat and then the eyes go... One will point up... And then you` Harmony. One would point straight for the melody and the other one will go down... And you do this thing with your lips if you go... LAUGHTER If you sing a good note, it's like... Yeah. So for more than 20 years they've been living the good life on the GC; built a loyal fan base and raised families. Are The Koi Boys your favourite band? Of course! He is our dad. What did you expect? (LAUGHS) Who would have thought we would be here, eh? Koi Boys. Are you ready for this? But rocking up to The Voice with an audience in the millions took them well out of their comfort zone. It was just nerves, nerves, nerves, nerves. And as confident as we are, we didn't want to jinx ourselves, so by the time we went on, and it was very late at night,... # Hey, nonny ding dong, alang, alang, alang. # Life could be a dream if I could take you up to paradise up above. They chose the song. Even then we were like, 'Really? 'Sh-boom'? But it worked. That's the thing. And buried in the studio bunker were their family ` wives, kids, Nan and Mum. And we were told to scream, and our hearts were pounding. It was so exciting; just to see our sons, fathers, you know. It was a beautiful sight. Husbands. It was a beautiful sight to see. # Sh-boom! # All right. We are going to... We are going to go Jessie J. AUDIENCE ROARS The boys had to battle for survival every week. The person I am taking through... is The Koi Boys. Congratulations, boys. The Aussies loved them so much they claimed them as one of their own. But you're not? No, we are Kiwis. No, we are Kiwis. ALL LAUGH But The Voice could also be humbling. JESSIE J: The Koi Boys actually don't think about their technique enough. They sound great singing together but I think they can probably fall short by being a little bit lazy. Pretty brutal? She's very brutal, but she has a very unique way of processing her thoughts and coming out very very helpful. And after being tipped as potential winners,... This is really hard. I want to take the person I know. If they get past this thing, they could be so great. Jack. ...it was their coach that let them go. This time we weren't the right fit, I suppose, for Jessie. Hi, fellas. You know, it's just a platform. Even if you're not the winner, it's all about the exposure for yourself. # When your hot line... Exposure that got them a record deal with Universal, and they've just finished their first album. We're really excited. Not many get to do their first album and get to release it to a really massive audience, especially in NZ and Australia. So you're rich? (LAUGHS) Rich as in, uh,... you mean, money? (LAUGHS) Well, hopefully that's coming further down the pipeline. Yeah. # ...that could only mean one thing... So for now, The Koi Boys' beat goes on. Right now is the time for The Koi Boys, and, you know, right now we're probably at... This is the strongest we've ever been. And I can only see us going forward from here. We are now a unit. # Hot line bling. # Will success change them? Yeah. Nah. Terrible. A bit more in the cans next time. That was terrible. Another one. Do another one. The Koi Boys' first album will be released in late October. Up next, our cameras go inside the most bizarre prison in the world where entire families are on the inside, and if you want a cell to call your own, you have to buy it. Like real estate in a prison? Everyone has to buy their own prison cell. Depending on how much money you have, anything from zero stars up to five and a half stars, where the really rich drug traffickers and politicians live. There are people who have died of exposure just because they couldn't afford a prison cell. Hi again. It's the strangest prison on Earth; an overcrowded jail in the heart of the South American city where the prisoners run the show. Inside Bolivia's San Pedro prison, there are no guards and a hard-core population of violent and dangerous criminals, many of whom live with their wives and kids. There are drug factories and a brutal code of justice. There are also restaurants, schools, barbershops and a booming real-estate trade. Denham Hitchcock goes inside the jail they can't shut down. This is an incredible city. I mean, it's one of the highest cities in the world. It's 3600m above sea level. It's been 12 years since Rusty Young was in Bolivia. I've got a lot of good memories here. I mean, this is obviously the point... This is the city and the point where my life changed. He's giving us a tour of La Paz, the city that sits in the peaks of the Andes. The funny thing about La Paz is that the wealthy people live down in the bottom of the bowl and the poorer people live in the slums up in the mountains with what we could consider to be million-dollar views. It's unique for many reasons, but the main one is this ` San Pedro Prison. Like any jail, cameras are not welcome. We are shooting from inside a hotel room across the street. The prison occupies an entire block in the dead centre of La Paz. So, it's quite surreal that a prison would be in the middle of a city. Yeah. It doesn't really seem like a prison at all. Not at all. And during the day, it's quite peaceful. But it's at night-time that the prison really becomes a lot more dangerous. Dangerous because the prison is run by the inmates: prison rules, prison justice. There are no guards inside the prison at all. The prisoners have completely free rein inside. ALL SHOUT They throw them in there and they beat them, drown them, electrocute them, stab them and then just kick them until they're dead. The prison itself is awash with drugs. MEN LAUGH Got some of the country's best cocaine cooks. My name's Rusty Young. I'm 28 years old. And I was travelling through Bolivia on a backpacking holiday when I heard about San Pedro Prison. Back in 2000, Rusty bribed his way into the prison. So amazed by what he saw, Rusty lived inside San Pedro for four months to write a book. The book, called Marching Powder, was a bestseller, but it exposed the prison and the children, the corruption, the drugs, and he had to flee Bolivia. Rusty has enemies. So, we're planning for you to step back inside those walls. I'm a little bit nervous that someone might want to take some kind of revenge, but I'm also excited, because, I mean, it's been a while since I've been inside there, and it'll be interesting to see how it's changed. If I was in there on my own, I would be very very scared. We plan to enter San Pedro Prison with a pocket-sized camera. Helping us is Martin, who knows the guards at the front gate. OK. I have to go up first, and then I'll come back down. SIREN WAILS A second camera team will secretly shoot through the hotel window. We have no idea how the prisoners will react to us or to Rusty. His book could have made things better, but they could also be worse. Rusty wants to find out, but he knows once we pass through these gates, the guards can't help us. This way? MAN SPEAKS SPANISH It's like being in an apartment complex, isn't it? In one of the other prisons in Bolivia last week, there was a massacre. Seven people were killed in one particular incident. So things can be... It seems pretty peaceful during the day, but things can turn very volatile, very quickly, inside here. It's been more than a decade, but Rusty is spotted within minutes. (SPEAKS SPANISH) Hey, James. How are you? You OK? I'm fine. Yeah, I'm good, man. How are you? Been a while. James was a relatively new inmate when I was there, and at that time, he was reasonably well-spoken, fit, healthy. He used to go to the gym, and he was a happy, friendly guy. 12 years later, he's obviously become addicted to cocaine and he... his speech is incoherent. He looks completely unhealthy and he's... It's just not the same person. In San Pedro, the locks are on the inside. Let's be honest, it's a risk for you to come here. Absolutely, and I'm still a little bit nervous about being seen. You know, everyone knows about the book, and so I'm just worried about how the prisoners will take it, and then if word gets back to the authorities that I'm in here, what they'll do. I mean, there could be repercussions. We'll leave you here and keep going, and we'll come back and get you. Sure. James and Martin then take us on a bizarre tour ` the world of San Pedro Prison, the city within a city. One of the most remarkable things about this place is that entire families are living here. If the husband gets sentenced, he comes to prison. The family's on the outside without an income, so the family comes in. This place, um, is owned by Eric, and he has a wife and two children here. The children are 8 years old and 13 years old. Does Eric worry about having his family in here? < No, he's really happy to have his family here. So he thinks they're safer in here than they would be outside without him? (SPEAKS SPANISH) Not only are entire families here, but if you want a place to call your own, just like in the real world, you have to buy it. And how much does he pay for this place? 8400. US$8400? US dollar. Yeah. And he owns it? He owns it. OK, so, when he leaves, he will sell this place? That's correct. Like property? Like real estate ` in a prison? In a prison. (LAUGHS) OK. I can't believe I'm saying this, but there are sections in the prison just like a hotel, from one-star to five-star. That's right. There are eight different sections inside the prison. Maybe be careful with the, um... Out this one, yep. Everyone has to buy their own prison cell, and they're obviously of varying quality, so depending on how much money you have, that will determine which particular section you go into. So, they're almost like small suburbs. And the inmates have invented a rating system. So, you have anything from zero stars up to five and a half stars, where the really rich drug traffickers and politicians live. KEYS JANGLE There are people who have died of exposure just because they couldn't afford a prison cell. Literally died in the corridors? > Literally died in the corridors. One of the sad things about this place is that it was built to house 250 people. There are now more than 3000. If you've got money, you're in an apartment, but if you don't, you're on the concrete. In here, it all comes down to one thing ` (SPEAKS SPANISH) MAN: Dos. Dos. ...money. OK. I am buying food inside the prison. There are shops all the way through here. The government does provide watery soup, and... but basically, often the money goes missing, so the actual quality of the food and the amount of nutrition in the soup is so poor that the inmates decide to feed themselves. If you're in here as a prisoner, you get one meal a day, but if you don't like the prison food, you can go to the restaurants! There's dozens of them. Once prisoners go into the prison, they need to support themselves financially. There are messengers earning one or two bolivianos in order to call visitors to the gate. There are people shining shoes. There are cooks. There are people doing woodworks. It's beautiful. Bueno. There's a dentist in there. A doctor in there, who'd been imprisoned for stabbing his wife 52 times. I didn't want to go and get any antibiotic injections from him! Forget everything you know about prisons, this system, as inconceivable as it is, has been endorsed by the government. The cost may have something to do with it. The inmates look after themselves, so it's cheap to run. One of the things that amazes me the most is the amount of children here. Yeah. They're everywhere. Yeah. When you get a father and a mother, and quite often they put both of them in jail at the same time, who looks after the kids? So many kids. So should there be children inside a prison, and when it comes to inmates, how do they deal with the worst of the worst? One of the sections, there's a well, and they fill it with water and they just throw them in there and they beat them, drown them, electrocute them, stab them. This is the way out, is it? I've got no idea. You OK? This is not a place for little children. 5 MEN SHOUT This is, quite simply, an extraordinary place. There are no guards here. This place is run by the inmates. No guards means no protection, and we are on a tour like no other. Ooh. CHILDREN CHATTER Is it right that there are children inside a prison? No and yes. (CHUCKLES) Dan Moriarty worked in San Pedro as a missionary for five years. He heard their confessions, provided comfort. He knew the inmates better than anyone. The inmates are overwhelmingly from impoverished backgrounds. The kids are seeing nothing in the prison that they don't see in the neighbourhoods they came from. Having both the children be near their parents and the parents continue to nurture and care for their children, I think, is the best thing for both of them. There is a dark side to it, and particularly in the poorer sections, when they take drugs at night-time. This is not a place for little children. (SNORTS) Like, I do drugs in prison to kill time. How big an issue is cocaine in San Pedro? It's a huge issue for two reasons. It's the reason most people are there, and then it's readily available inside. This is one of the paradoxes of this place. 80% of the people that are in here, they're in here for drug offences. Got to be careful about, uh,... who's listening. But even so, this place at times has produced a lot of cocaine from inside the prison. You've got some of the country's best cocaine cooks living inside there. You've got people who export cocaine. So, pretty much all they talk about and all... (CHUCKLES) all that they know is drug trafficking. So, that's one of the main industries inside the prison. How is it that drugs are allowed inside that prison? Look, I mean, let's be honest, there are drugs in every prison around the world and the guards are usually complicit in allowing them in, but in this case, it's absolutely rampant. You know, in all the sections, you can buy drugs very very cheaply; cheaper than on the outside. When you have people not sleeping and strung out on cocaine base for three or four days, drinking, things can turn violent very quickly. Drugs are, in most cases, the first problem and the last. Prison guards are at the gate and on the walls, but not on the inside, so the inmates determine the punishment, and it can be severe. It takes place in a small pool called The Well. The greatest violence is perpetrated against sex offenders. Rapists and child molesters, who are brought in, are not segregated from the main population. For this community to function, the innocent must be protected. As a warning, rapists and paedophiles are beaten on arrival. There is no second chance. A big lynch mob forms. They carry them through the corridors. And in one of the sections, there's a sort of a well, and they fill it with water and they just throw them in there and they beat them, drown them, electrocute them, stab them, and then just kick them until they're dead. This prison code is uncompromising, but it's not perfect. It's a strange sight. While we are there, children return from school, flooding the corridors of the jail. Women and children can come and go as they please. As light begins to fade, we are told our visit has some of the inmates agitated. We need to go? Uh-huh. OK. We're good. We're following you. Both James and Martin insist we need to leave immediately. Si. Got to go. We're coming up here first. You OK? Yeah, yeah, fine, man. This is how it works here. This is the way out, is it? I've got no idea. Is this prison something that needs to be shut down? If it were better supervised, I would say that potentially it would be a very progressive prison model, but the way that it's executed at present, it's actually extremely damaging. And it's worth knowing too that there's a charity that works in the prison to provide children with food and clothing. Finally, tonight, an update. Remember our story earlier this year with Nung, the girl rescued by Destiny Rescue during a raid on a Thai brothel? We had been following her for years, and we had tried to rescue her before, but that raid was compromised and we couldn't get her out. Then she disappeared. Destiny Rescue lost contact with Nung after the raid when she was taken into a government care facility. Well, she's recently resurfaced. Nung is now 16, at school, and wants to study hospitality at university. She explained that she was so caught up in the sex industry that she lost her sense of identify and self-worth. She says she's now happy, has made new friends and is learning what it means to be a normal teenager. Destiny Rescue was trying to get her into its jewellery-making programme so that she can earn some money while she finishes school.