Victoria to shutter dodgy shops under new laws
Victorian authorities will finally be given the power to close dangerous tobacco shops and landlords will be given the power to terminate leases of illegal tobacco shops under legislation the Allan government is touting as “Australia’s toughest illegal tobacco laws”.
Casino, Gambling and Liquor Regulation Minister Enver Erdogan will announce details of the proposed law on Sunday, marking a significant escalation in the state’s efforts to extinguish a violent black market trade linked to more than 200 firebombs.
Building owners who “knowingly” rent their storefronts to illegal operators will face huge financial penalties under changes proposed to be introduced this year, according to a Victorian government press release. But they will also be given new legal powers to close down businesses caught selling illegal products.
The announcement follows a slow start for newly formed regulator Tobacco Licensing Victoria (TLV). On the first day of the new licensing requirement in February, Age It found that smuggled cigarettes were being sold in an unlicensed shop just 100 meters from the regulator’s headquarters.
But Erdogan and Victoria Police allege that in the subsequent four-week operation the state wiped almost $5 million worth of illegal stock off the shelves, including more than 3.19 million cigarettes, 2243 cigars, 40 kilograms of loose leaf tobacco and 32 kilograms of shisha tobacco.
Under the new regime, inspectors will have the power to destroy illegal tobacco seized before pre-trial, to ensure that the product is not put back into circulation.
In his statement announcing the new laws, Erdoğan said, “Illegal tobacco fuels organized crime, and we are closing down operators who think they can get away with it.”
It is estimated that 60 percent of cigarettes sold in Australia come from black market sources.
The multibillion-dollar illegal trade is dominated by rival crime families, including a cartel known as “The Commission” led by gang boss Kazem “Kaz” Hamad.
Although Hamad is now in a prison in Iraq, the vacancy has sparked a new wave of violence across Melbourne as new players compete for a slice of the lucrative market.
Legitimate businesses that have struggled to compete with illegal $20 packs and have long called for stronger enforcement will likely welcome this announcement.
More to come.
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Rachael Dexter is a journalist working on The Age’s City team. Contact her at rachael.dexter@theage.com.au, rachaeldexter@protonmail.com or via Signal at @rachaeldexter.58.Connect with: Facebook or email.
