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November 3, 2012

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Customs busts home-delivery smugglers in HK

MORE than 100 people have been arrested and 3 million illicit cigarettes have been seized in an operation in which smugglers had been running home delivery services, Hong Kong authorities said yesterday.

Customs officials said they arrested 119 people.

The smuggling groups came up with the new way of evading detection after a clampdown on stores selling illicit cigarettes, which have not been taxed. Fliers sent to residents in public housing estates advertised the cheap smokes for order by phone, with delivery in one or two days.

One flier advertised Marlboro cigarettes at HK$200 (US$26) to HK$240 per carton - less than half the typical retail price in Hong Kong.

Wan Hing-chuen, a divisional commander at the Hong Kong Customs and Excise Department, said the crackdown on stores had forced smugglers to change their "mode of delivery."

"It's very easy because in Hong Kong there are so many public housing estates, they just employ a few persons to deliver the leaflets," said Wan, adding the smugglers rented warehouses or apartments to use as distribution centers.

The arrests and seizures in 96 separate cases were carried out from April to October, Wan said. Among those arrested were 61 buyers, including seven senior citizens, he said. Some 41 vehicles were also seized, including some trucks involved in smuggling the cigarettes into Hong Kong from Chinese mainland.

The seized cigarettes were worth HK$7.2 million and were liable for unpaid duties of HK$5.2 million, Wan said.

He said in the first 10 months of 2012, it seized 55 million illicit cigarettes worth HK$135 million and broke up 208 distribution centers.

Under Hong Kong law, people found guilty of buying or selling untaxed cigarettes face a fine of up to HK$1 million and up to two years in prison.






 

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