Strip bars, sex dolls, jacuzzi and methamphetamines –that's the scene discovered inside Philippines' biggest jail when police officers conducted a raid on Monday.

Drug lords were allegedly seen "living like kings" and operating drug rings from luxurious cells at the Bilibid prison complex when police commandos with tracker dogs conducted the raid just before dawn, reported AFP News.

"They are here to serve jail time but instead, they're living like kings," Justice Secretary Leila de Lima told reporters following the police raid.

De Lima said police found £25,000 (1.4 million pesos) in cash, a strip bar, a jacuzzi, and inflatable sex dolls spread across 20 air-conditioned villas.

In one of the villas, an inflated sex doll was found on the bed while strobe lights, a mirror ball and an elevated platform for strippers were seen in an adjacent bed, confirmed police.

The strippers were allegedly smuggled into the compound with the assistance of officers at the jail.

A small concert stage along with a flat screen television and several musical instruments were amongst other findings confirmed by the police.

It was a scene out of a five-star hotel with marble-lined bathroom floors and walls, hot water showers and a flat screen television found attached to the bathtub.

A safe in one of the rooms was also found stocked with Rolex and Patek Philippe watches, Louis Vuitton wallets and several dollars.

De Lima expressed his shock upon finding the luxury villas inside Bilibid, housing some 23,000 powerful inmates above its capacity of 8,900 inmates.

Several prison officers are facing "outright dismissal" after conspiring with the inmates.