Hong Kong Customs yesterday (August 12) detected a case in which electric water heaters were used to conceal illicit cigarettes. About 1.3 million sticks of illicit cigarettes were seized from a unit in an industrial building in Kwun Tong. The total market value of the seizure was about $3.3 million with a duty potential of about $2.2 million. In the operation, two men, aged 29 and 45, were arrested.
After a series of in-depth investigations, Customs officers found that a syndicate concealed illicit cigarettes in large electric water heaters and repacked the cigarettes at a designated place for speedy distribution to various buyers in the territory.
Customs officers took action yesterday and smashed the repacking centre in an industrial building in Kwun Tong, seizing the 1.3 million sticks of illicit cigarettes and arresting the two men. Most of the seized cigarettes were still concealed inside the electric water heaters while a small portion had already been repacked.
It is believed that recent anti-illicit-cigarette enforcement action by Customs caused some syndicates to switch to a new mode of operation by using general goods such as electric water heaters to conceal illicit cigarettes in order to evade detection by Customs officers.
The Deputy Head of the Revenue and General Investigation Bureau, Ms Lai Sau-ieng, said at a press briefing today (August 13), "The operation showed the effectiveness of our enforcement strategy. The department will continue to undertake stringent enforcement action against activities involving illicit cigarettes to protect government revenue."
Under the Dutiable Commodities Ordinance, anyone involved in dealing with, possession of, selling or buying illicit cigarettes commits an offence. The maximum penalty is a fine of $1 million and imprisonment for two years.
Members of the public are urged to report suspected illicit cigarette activities by calling Customs' 24-hour hotline 2545 6182.
Ends/Tuesday, August 13 2013
