Hong Kong authorities seize HK$130 million worth of illegal cigarettes and arrest 3 in biggest bust for 20 years
- Customs’ seizure of 405 million cigarettes this year, worth HK$1.1 billion in total, is now double the 2020 figure
- Officials have stepped up operations over festive period to target cigarette smugglers trying to avoid paying duty
Hong Kong customs has arrested three men and confiscated HK$130 million (US$17 million) worth of illegal cigarettes – the largest seizure of its kind in two decades – as part of a seasonal crackdown on the black market trade.
The haul pushes the number of illicit tobacco products seized this year to 405 million with an estimated street value totalling more than HK$1.1 billion, doubling the amount officials found in the whole of 2020. This year’s figure is nearly eight times the 55 million cigarettes seized in 2019.
In the latest seizure, customs officers on Friday found about 47 million illegal cigarettes hidden in five shipping containers in a Tsing Yi yard.
A law enforcement source said officers had been tailing a suspected member of a local smuggling syndicate who led them to the container yard that was used as a storage centre for the contraband.
“The five containers were stored in the different corners of the site in an apparent move to reduce the risk of being uncovered by law enforcers all together,” he said.
The source said the yard was placed under round-the-clock surveillance following intelligence suggesting the containers would be moved to other sites in the New Territories to avoid detection.
Three truck drivers arrived at the Tsing Yi site on Friday night to collect three of the containers. As they were about to drive away, customs officers intercepted the vehicles and arrested the drivers.
The three men, aged 46 to 55, were detained on suspicion of dealing with illicit cigarettes – an offence punishable by up to two years in jail and a HK$1 million fine.
Superintendent Lee Hoi-man, of customs’ revenue crimes investigation bureau, said on Monday that the haul of 47 million illegal cigarettes had an estimated street value of HK$130 million. If legally imported, the contraband would have generated HK$89 million in tax revenue.
“It is the largest cigarette smuggling case detected by Hong Kong customs in the past two decades,” he said, adding that part of the haul was destined for overseas while the rest was for local consumption.
Lee said the investigation suggested that the illegal cigarettes were being stored in the city while the syndicate tried to find buyers in Hong Kong and abroad.
He said his officers were working to determine the exact origin and final destination of the illegal tobacco products and investigating if the five containers were smuggled separately into the city.
The three suspects had been released on bail pending further investigation. According to the Customs and Excise Department, the investigation was continuing and further arrests were possible.
The superintendent said the agency had stepped up enforcement operations against smugglers who were taking advantage of the busy logistics trade in the run-up to the Christmas and New Year holidays to ship illegal cigarettes into the city. The latest seizure was a product of those enhanced measures, he added.
About three weeks ago, customs officers raided two industrial units in Tuen Mun and seized HK$76 million worth of illegal tobacco products.
Lee said officials would continue with their enforcement strategy of targeting the smuggling, storage and peddling of illicit cigarettes ahead of the festive season.
Members of the public can report any suspected illicit cigarette activities by calling its 24-hour hotline at 2545 6182.
