Landlords who knowingly allow illicit tobacco sales to face up to one year in prison
Landlords in NSW who knowingly allowed tenants to sell illegal tobacco would face up to a year behind bars under proposed reforms.
It comes as the NSW government seeks to crack down on illegal tobacco sales, with enforcement operations already underway in North Sydney and Newcastle.
The proposed new offense aims to target landlords who are aware that tenants are selling illegal tobacco or vaping products in their rented properties and who continue to “knowingly permit this illegal activity” rather than reporting them to authorities or taking steps to evict them.
Health Minister Ryan Park said the majority of landlords were doing the right thing but “bad actors” were harming legitimate business and exposing communities to criminal activity.
“This bill recognizes and reinforces the important role landlords must play against the illegal sale of tobacco and e-cigarettes,” he said.
“This measure will further reduce opportunities for increased sales of illicit tobacco and e-cigarettes.”
Mr. Park said the penalties — up to a year in prison, a $165,000 fine or both — were the result of extensive consultation.
“(The penalties) will strike a fair and reasonable balance that will enable us to target landlords who knowingly allow illegal activity,” he said.
Two retailers closed in St Leonards last week; It became the first store to fall foul of sweeping new powers passed by the NSW parliament earlier this year.
These powers allow inspectors to close stores found to be selling illegal tobacco for 90 days or go to court for a longer closure order.
More than 40 NSW Health inspectors are expected to target stores across metropolitan and regional NSW in the coming weeks and months.
Between January 1 and October 27, NSW Health Inspectors inspected approximately 1260 retailers and seized more than 11.8 million cigarettes, more than 2000kg of other illicit tobacco products and approximately 170,000 illegal vaping products with a total street value of approximately $18.9 million.
During this time, 12 cases related to e-cigarette and tobacco crimes were also settled in court, with fines totaling $597,200.
There were another 27 cases pending appeal before the District Court.
The reforms come as Prime Minister Chris Minns and Mr Park renewed calls for the federal government to change tobacco tax.
Mr Minns has repeatedly blamed excise duty for contributing to a boom in illicit tobacco sales in recent years.
Despite public calls from NSW leaders, Finance Minister Jim Chalmers has stated that the Albanian government will not change the excise tax.
