Following investigations into the sale of contraband cigarettes, members of the Manitoba Finance Taxation Special Investigations Unit have seized a total of 882,800 contraband cigarettes in two separate incidents this month.
On Nov. 25, Manitoba Finance investigators stopped a Ford F350 cargo van near West Hawk Lake east of Winnipeg. The vehicle was seized and towed to a Winnipeg location where a search was conducted. Eighty-five cases of assorted contraband cigarettes, including 2,000 cartons and 2,250 ‘baggies’ (equivalent to a carton), were found in the vehicle for a total of 850,000 cigarettes. The vehicle has been impounded.
Currently, one adult male faces charges under the Manitoba Tobacco Tax Act and the Tax Administration and Miscellaneous Taxes Act including possession of non-Manitoba marked tobacco and willful evasion of paying Manitoba tobacco tax. If convicted, he faces fines between $1,000 and $10,000 and/or up to six months in jail, and mandatory tax penalties of $752,250.
The possession and importation of these products into Manitoba also violate provisions of the Excise Act (2001) and the Criminal Code of Canada. These offences remain under investigation and may lead to further charges.
On Nov. 16, an investigation by Manitoba Finance led to the search by warrant of an apartment in the south St. Vital area of Winnipeg. The apartment was found to be set up similar to a store front, complete with counter. The search resulted in the seizure of 81 baggies, 83 cartons of assorted brands and 62 individual packages totalling 32,800 cigarettes. The majority of the cigarettes bore no tax markings for the Excise Act (2001) or for Manitoba tax purposes. In addition, $200 in cash was seized.
One adult male faces charges under the Manitoba Tobacco Tax Act and the Tax Administration and Miscellaneous Taxes Act including possession of non-Manitoba marked tobacco, willful evasion of paying Manitoba tobacco tax and the sale of cigarettes without a licence. If convicted, he faces fines between $1,000 and $10,000 and/or up to six months in jail, and a mandatory tax penalty of $29,028.
Provincial officials urge anyone who has information on contraband tobacco to contact their local police department, call the Manitoba Finance Special Investigations Unit at 204-945-1137 in Winnipeg, email smuggling_manitoba@rcmp-grc.gc.ca or call ManitobaCrime Stoppers (toll-free) at 1-800-222-TIPS(8477).
