Tough new laws to crack down on illegal tobacco ‘thugs’
Proposed strict new laws could give government authorities the power to shut down businesses found to be selling illegal tobacco and vaping products for up to three months.
Criminals found in possession of large quantities of merchandise could face multimillion-dollar fines and spend more than a decade behind bars under legislation to be passed in the Western Australian parliament on Tuesday.
Prime Minister Roger Cook said the changes would help crush the dangerous illicit tobacco and vape trade and remove criminal “thugs” from the market.
“Make no mistake about this, organized crime is at the heart of our illicit tobacco trade,” he told reporters on Monday.
“This is a scourge in our society and needs to be stopped.”
Under amendments to the Tobacco Products Control Act 2006, store closure orders for up to 90 days will also be introduced to ensure businesses supplying illegal products cannot operate while investigations are ongoing.
The maximum penalty for possession of large commercial quantities of illegal tobacco and e-cigarette products would be $4.2 million for an individual, $21 million for a company, and 15 years in prison.
“These changes will ensure WA receives some of the strongest penalties in Australia,” Mr Cook said.
“I will crush this illegal trade.”
More than one in two cigarettes sold in Australia are purchased on the black market; The federal government’s illicit tobacco czar recently noted that the black market share of cigarettes had risen to 55 percent, but could have been as high as 60 percent last fiscal year.
Rising tobacco taxes fueled illegal trade; The average price of a pack of over-the-counter cigarettes was about $50, while the price of black market cigarettes was about $15.
Authorities across the country are trying to crack down on the illegal tobacco trade, which has at times triggered violent turf wars.
NSW and Queensland have introduced laws to penalize commercial property owners who knowingly allow illegal tobacco and vape shops to operate on their premises.
Homeowners in Queensland who ignore the crackdown and knowingly allow traders to operate face a maximum fine of $161,300 and up to a year in prison.
Businesses operating in the states without a tobacco license or selling illegal tobacco or e-cigarette products may also be closed immediately for 90 days.
If a violation is confirmed, these stores may be forced to close for up to 12 months.
People caught selling illegal tobacco and e-cigarettes in Victoria face fines of more than $355,000 or up to 15 years in prison, while businesses could be fined more than $1.7 million.
