Feds prosecuting $43M tobacco smuggling case
Federal prosecutors allege a Connecticut man defrauded taxpayers in that state and in Massachusetts of $43 million in a tobacco smuggling case. According to U.S. Attorney Carmen Ortiz, Syed Bokhari, 50, of Middletown, Conn., appeared in federal court Friday in connection with a 32-count indictment alleging conspiracy to commit wire fraud, wire fraud, trafficking in contraband smokeless tobacco, money laundering, and violation of the Prevent All Cigarette Trafficking Act.
http://www.wbjournal.com/article/20141020/NEWS01/141029992
Lear MoreFake cigarettes cause OMR3.5m loss to country
Smuggling of counterfeit cigarettes leads to a revenue loss of nearly OMR3.5 million to the country and they constitute 21 per cent of illegal products being brought into the Omani market by smugglers. Further, the majority of consumers who buy smuggled goods are between the age group of 18 and 45, according to a study conducted by the Euromonitor Research Associate. The study revealed that illegally smuggled goods are in high demand among low-income expatriates due to their crave for less expensive products.
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Tobacco firms rue weak anti-smuggling campaign
The domestic tobacco industry hopes that the Government can be more effective in fighting an impending surge in smuggling that causes losses amounting to trillions of dong to the State Budget. A report in the Cong Thuong (Industry and Trade) Newspaper last week quoted Pham Kien Nghiep, the General Secretary of the Viet Nam Tobacco Association’s (VTA), as saying: “Current legal sanctions are ineffective to deal with tobacco smugglers, who include both local residents and carriers from elsewhere.” Nghiep said he was aware that the law enforcement agencies faced a difficult task since the smugglers were fighting back to protect their goods and also managing to escape when stopped.
Under current rules, smugglers will face criminal charges if they are caught transporting 1,500 cigarette packets or more. However, they spilt their goods into smaller portions, making it difficult to charge them with the crime.
http://english.vietnamnet.vn/fms/business/114179/tobacco-firms-rue-weak-anti-smuggling-campaign.html
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US nuclear agency seeks comment on counterfeits
The Nuclear Regulatory Commission in the US is examining measures designed to stop counterfeit, fraudulent and suspect items (CFSI) entering the supply chain.
The agency has just published a new regulatory issue summary (RIS) to draw attention to existing
NRC regulations encouraging stakeholders in the supply chain to prevent CFSIs being acquired or used in nuclear facilities, and also check that its safeguards are still up to scratch.
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UK High Court orders ISPs to block trademark-infringing sites
A landmark ruling has been handed down in the UK that establishes the right of trademark owners to secure court orders blocking websites that sell counterfeit products.
The case against several Internet service Providers (ISPs) – including BT, BskyB, EE, Talk Talk and Virgin Media – was filed last month by Richemont, which owns several of the world’s leading luxury goods firms including Cartier, IWC and Montblanc.
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Dentists warned of counterfeit equipment following huge haul
Medical regulator launches investigations after thousands of pieces of poor quality imported dental equipment seized. The dental equipment was imported into the UK from China and Pakistan and sold on eBay, Amazon and Alibaba. Photograph: Medicines And Healthcare Product/PA
Dentists have been warned about the potential danger of buying and using counterfeit and unapproved dental equipment, a regulator has said.
It follows the seizure of over 12,000 different pieces of poor quality dental equipment imported into the UK from China and Pakistan and sold on auction websites such as eBay, Amazon and Alibaba in the past six months.
http://www.theguardian.com/society/2014/oct/17/dentists-warn-counterfeit-equipment-seized-haul
Lear MoreTobacco wholesaler with ties to Springfield accused of defrauding Massachusetts and Connecticut out of $43 million in tobacco tax revenue
A tobacco wholesaler with ties to Springfield is accused of robbing Connecticut and Massachusetts of $43 million in tobacco tax revenue. Syed I. Bokhari, 50, of Middletown, Connecticut, is the subject of a 32-count indictment involving charges of conspiracy, wire fraud, money laundering, trafficking in contraband smokeless tobacco, and violating the Prevent All Cigarette Trafficking Act, according to U.S. Attorney Carmen Ortiz.
PACT, as the federal act is commonly known, took effect in 2010 and prohibits the U.S. Postal Service from carrying cigarettes in the mail. PACT aims to prevent tobacco smuggling by collecting all tobacco taxes. According to the indictment, Bokhari defrauded Massachusetts and Connecticut of millions by failing to pay excise taxes on cigars and smokeless products that were owed by businesses he owned and controlled. The illicit activity began in about 2008 and lasted through June 2012, according to federal prosecutors.
http://www.masslive.com/news/boston/index.ssf/2014/10/tobacco_wholesaler_accused_in.html
Lear MoreBattling Fake Auto Parts, Used Car Buying Tips & Latest Vehicle Accessories
This week on CNB Bazaar Buzz, we look at the growing problem of counterfeit auto parts in the market and how to avoid buying a fake spare part. We also show you how to know the exact condition of the used car you are planning to buy. Furthermore, we explore the world of vehicle accessories and bring you the latest from the riding gear market.
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Tobacco Tax Gaps: Small Rise Shows Need for New Government Action
Official figures released today show that the level of tobacco smuggling in the UK in 2013/14 has risen slightly since last year. According to HM Revenue & Customs, in 2013/14 an estimated 10% of cigarettes consumed in the UK were illicit compared to 9% in 2012/13. The figures for hand rolled tobacco were 39% in 2013/14 compared to 36% in 2012/13 (all figures mid-range estimates).
The figures show the need for the Government to act on recommendations on tobacco smuggling from the National Audit Office and the House of Commons Public Accounts Committee. The PAC reported that “HMRC has not yet found the right balance in its enforcement action, which can range from prosecutions of organised criminal gangs to imposing fines or referring offenders to licensing authorities for those involved in local, small-scale operations”. The House of Commons Home Affairs Select Committee has also sharply criticised the Government and enforcement authorities for failing to prosecute any of the major tobacco firms in cases where they have over-supplied tobacco to particular countries with low tobacco taxes, knowing that it will be smuggled back into the UK.
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Canada’s anti-fake legislation moves closer
Canada’s Combating Counterfeit Products Act is finally moving forward after months of debate, passing a third reading in Parliament.
The CCPA was first introduced in March 2013 and re-introduced the following November with identical wording, and is designed to provide rights owners and enforcement authorities with a framework for combating counterfeiting, including new civil and criminal penalties for trademark and copyright infringements.
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