Manitoba Finance’s Special Investigations Unit (SIU) seized over 53 cases, the equivalent to 530,587 cigarettes of contraband cigarettes from a Winnipeg residence on Oct. 21.
A 52-year-old man from Calgary and a 46-year-old man from Winnipeg were arrested and released. They were arrested at a Bronx Avenue residence in the process of unloading cases of illegal cigarettes.
The potential tax revenue loss was $159,176 and penalties upon conviction could add up to $477,528, including a triple tax penalty.
There were multiple illegal brands such as Playfare Full Flavour, Canadian Classics, Nexus Light, Canadian Goose and Canadian Charcoal. All of these brands are considered illegal anywhere in Canada and are ineligible for a tobacco tax stamp.
The accused will face charges under Manitoba’s Tobacco Tax Act, the Tax Administration and Miscellaneous Taxes Act and the Criminal Code of Canada. For a first-time offence under the provincial tax acts, if convicted, the individuals face fines between $1,000 and $10,000 and/or up to six months imprisonment. In addition, they may face a triple tax penalty.
Possession of unstamped tobacco is illegal in Manitoba. It poses a greater health risk and hurts legitimate business in the community.
The province urges anyone who has information on contraband tobacco to contact their local police department, call Manitoba Finance’s Special Investigations Unit at 204-945-1137 or Manitoba Crime Stoppers (toll-free) at 1-800-222-TIPS (8477).