Stolen credit card, cigarette ring busted

When a man tried to use multiple credit cards before finding one that worked while buying cigarettes at Sheetz on Monday, an off-duty town officer paid attention.

That led to the arrest of three out-of-state men and the seizure of stolen credit cards and a cache of cigarettes, according to Woodstock police investigator Scott Thompson.

"We've been having an issue up there [at Sheetz]," he said Tuesday. "We've received several complaints in the past of some activity going on."

The activity involves stolen credit cards being used to buy cigarettes, which are then sold outside of Virginia, Thompson said.

"Some of them are gift cards, some of them are Visa debit cards and Mastercard debit cards," he said.

The U.S. Secret Service is working with the police in determining if the stolen credit cards belonged to local residents, Thompson said.

"It could reach nationwide, as far as our victims," he said.

Three men -- two from New York and one from Maryland -- have been charged with credit card fraud, he said, but would not provide their names, citing an ongoing probe.

An affidavit for a search warrant for Storage Solutions, 1520 Commerce Way, was filed in Winchester Circuit Court. It says that when one man was being arrested Monday, a key to the Holiday Inn at 333 Front Royal Pike, Winchester, was found in his wallet. Three men checked into two rooms using a gift card, the affidavit says.

Woodstock police Sgt. Tyrone Fields took a report of credit card fraud at Sheetz on Saturday, the affidavit says. It says a man tried to buy cigarettes with a credit card that was rejected, walked away from the counter and talked on his cell phone, and then came back with a different card with which he bought five cartons of cigarettes.

The clerk in the earlier case got the customer's license plate number, and the car was found parked at the Holiday Inn, the affidavit says. Inside the car was a receipt for the Storage Solutions, but nothing was seized from the unit, according to the warrant.

At the hotel, investigators seized more than 100 credit cards, about $21,000 worth of cigarettes, and electronic equipment, Thompson said. He said two cars the men were using were also seized.

The Shenandoah County Sheriff's Office and Frederick County Sheriff's Office assisted the Woodstock Police Department and the Secret Service in executing the search warrant, according to town police.

Identification of smuggled cigarette packs: Govt considering pasting stamps

The government is working on a proposal to paste stamps on cigarette packs to identify smuggled/non-duty paid packets for checking tax evasion, counterfeiting and smuggling.

Sources told Business Recorder here that the Tax Reform Co-ordination Group (TRCG) of the Federal Board of Revenue (FBR) will discuss the issue of stamps on cigarette packs to help identify smuggled/non-excise paid cigarettes packs. The 7th meeting of the TRGC would now be convened at Regional Tax Office (RTO) Karachi on December 23, 2011. The revised agenda of the TRGC meeting circulated by the FBR on Tuesday includes proposal of tax stamping on cigarette packets.

When contacted, a tax expert explained that the government can introduce a scheme to affix quality assurance stamp on every packet of cigarettes to check illicit/counterfeit production of cigarettes. In the past, the FBR had done working on the concept of tax stamping on cigarettes during the tenure of ex-FBR Member Sales Tax Shahid Ahmed. At that time, the FBR had analysed the concept of tax stamping in Turkey, Malaysia and Bangladesh. Tax authorities worked on the concept of 'excise duty stamps' for the cigarettes units for checking tax evasion, counterfeiting and smuggling.

In the past, tax officials had studied different international tax models for controlling excise duty evasion in cigarette industry. In Bangladesh, the concept of tax stamping and band rolling of cigarettes was successful due to support of government and political will. Tax authorities of Bangladesh did not hesitate to conduct raids on shops selling smuggled or non-duty paid cigarettes. Turkey and Malaysia are not facing problems of tax evasion, but their main concern is smuggling and counterfeiting of cigarettes. Pakistani tax officials had visited these countries to examine the operations of the cigarettes industry. It was observed that tax stamping has been fully enforced in these countries, they said.

On the other hand, Pakistan is facing problems of enforcement and compliance, even if 'tax stamping' is introduced on the cigarettes packs. Leading manufacturers wanted level playing field, as the smuggled cigarettes are being sold as comparatively less price against the duty paid cigarette.

The expert said that tax stamping is the most appropriate way to check the illicit trade. It is a kind of a ticket, which could be pasted on each pack of cigarette. The idea is to differentiate between the duty paid and non-duty paid cigarettes. Under the excise laws, the board is legally empowered to restrict the cigarette and beverage manufacturers to affix 'excise duty stamp' on each item to be sold in the market.

Secondly, another option is to paste a 'tax marker' on each pack of cigarette. Tax marker is a 'dot spot' containing specialised ink. A special gun is used to paste it on cigarette pack. It is not simply a dot, as it has a special code, which could be seen through special way.

Thirdly, another option is to use band rolling on cigarette packs, as the provision is available in both sales tax and excise laws. It is a special kind of strip, which covers the whole cigarette pack. However, the project can not be implemented without approval of the Printing Corporation of Pakistan.

Fourthly, a holographic sticker could be prepared from 'fraud-proof paper' with graphic security features. The stamp, which looks like a sophisticated small size currency note, has holographic features. Just like a hologram, you can see different dimensions of the stamp, which is impossible to copy through counterfeiting. Three different types of security inks are being used in these stamps, tax expert added.

City shuts down roll-your-own cigarette shops in Chinatown and Staten Island

City lawyers have made a deal that will snuff out the city's first roll-your-own cigarette shops.

The pact will force the two shops — one in Chinatown, the other on Staten Island — to close by Feb. 1, and the owners have promised never to get in the business again. In exchange, the city will not press its lawsuit for back taxes.

“Our primary concern was to nip this practice in the bud. We were less concerned about how much taxes were evaded,” said Eric Proshansky, the city’s lead lawyer on the case.

The owners, who had a license to sell tobacco, have been selling paper tubes and loose tobacco, which are taxed at a much lower level than prepackaged cigarettes.

They allowed customers to use machines on their premises that stuffed the tobacco into the tubes.

Proshansky said the result was a “noisy, coffeehouse environment” as smokers lounged around waiting for the machines to do their work. A carton of cigarettes could take 45 minutes to make and cost $35 instead of the $100 charged for prepackaged cartons.

Shuttering the two shops, owned by Island Smokes, doesn’t solve the city’s problem. Proshansky said that since Island Smokes opened its first shop on Staten Island in April, five other “roll your own” shops have popped up: three on Staten Island and two in south Brooklyn.

The city has ordered them to close, but if they don’t, they too will be sued, he said.

Thief Caught On Camera Stealing Cigarettes

A thief was caught on camera with an armful of stolen cigarettes and authorities have asked the public for help in identifying him.
Lakeland police are looking for the man who broke into a business Nov. 23 and stole the merchandise.
Authorities said they have chosen to not release the name of the business where the crime took place.
Police said the man was driving a red or maroon pickup truck with an extended cab. If you recognize the man, please call authorities.

Dentist wants to make possession of cigarettes in Washington a felony

The health risks of cigarettes have been taught in schools and printed on the cigarette packages for decades. There is a statewide ban preventing people from lighting up in public places. Now, one dentist would like to prevent you from even holding a cigarette in the state of Washington.

"I care about people's health," said Dr. Ed Dolan, who is behind the cigarette ban initiative. "I'm hoping that this will help all of the citizens of Washington state live longer, healthier, happier lives and eliminate the diseases, pain and suffering caused by tobacco products."

Such a law, if it came in to existence, would likely illicit a lot of resistance from those who believe taking away their right to smoke is a violation of their civil liberties. So Dolan compares it to the seat belt law - a law that yes, infringes on civil liberties, but significantly increases the average life expectancy of someone living in Washington.

"I'm purely thinking about it from a health standpoint," Dolan told 97.3 KIRO FM's Dori Monson Show. He says he's sure the law will help save the lives of people who are currently smoking, and hopefully prevent future generations from shortening their lifespans.

If the sale of cigarettes is outlawed, and even the mere possession of cigarettes were to become a class C felony, as his petition proposes, Dolan does acknowledge that it treads on a slippery slope. When Dori suggested that if cigarettes are outlawed, then red meat and alcohol could be next, Dolan said he's not sure about what could happen regarding health concerns and laws.

For him, it's about the people affected by smoking related diseases and their families. He needs 300,000 signatures to get his initiative on the ballot.

Tobacco giant drops demand to see research on teenage smokers

The world's largest tobacco company has backed away from its demands to see thousands of confidential interviews with British teenagers gathered as part of a university research project into children's attitudes to smoking.

Philip Morris International, the makers of Marlboro, has quietly dropped its Freedom of Information request to see the interviews held by researchers at Stirling University, after the company was widely condemned following revelations by The Independent in September.

The tobacco company had to respond to the university's refusal to publish the interviews within 40 working days. Because Philip Morris has not responded within the required deadline, its two FoI requests have effectively lapsed – meaning that the company will now have to make a fresh application if it wants to pursue the matter.

"Over 40 days have elapsed since Philip Morris last communicated with the University of Stirling regarding research into smoking. On this basis we now regard that the correspondence on this particular request is now closed," the university said in a statement.

Philip Morris International attempted to make its first FoI request anonymously in September 2009, through the London law firm Clifford Chance. However, the Scottish information commissioner, Kevin Dunion, rejected the request on the grounds that Clifford Chance had to name its client – a legal clause not available under English law.

Under its own name, the tobacco giant then put in two further requests to Stirling's Institute for Social Marketing, led by Professor Gerard Hastings who said that Philip Morris wanted access to "everything we had ever done" on the attitudes and behaviour of children towards smoking and tobacco promotion.

"These are confidential comments about how youngsters feel about tobacco marketing. This is the sort of research that would get a tobacco company into trouble if it did it itself," Professor Hastings told The Independent this year.

The university initially refused the requests on the grounds that the claims were vexatious, which was rejected by Mr Dunion. It then claimed it would be too costly and time consuming, but Philip Morris even offered to pay for the added costs, an offer which the university refused.

Although the interviews are anonymised and the names of the children kept confidential, Professor Hastings said there was an understanding with the interviewees and their parents that the content of the interviews would remain confidential and would be shared only among university researchers.

Initiative launched to curb tobacco consumption in Gujarat

About 60 per cent males and 8.4 per cent females in Gujarat consume tobacco, according to the 2005-06 National Family Health Survey report. All indicators show that the trend of tobacco consumption across Gujarat has only gone up.

As per the Gujarat Cancer Research Institute report of 2008-09, in rural areas 36.04 per cent of the total registered cases of cancer in Ahmedabad were tobacco induced; while the same figure for urban areas was 36.67 per cent.
Considering the 22 per cent contribution of Gujarat to the national tobacco production and the increase in consumption trends, a project called Strengthening of Tobacco Control Efforts Through Innovative Partnerships and Strategies (STEPS) is being implemented by Public Health Foundation of India (PHFI), a public-private initiative. STEPS aims to reduce the health and economic burden of India, contributing to the National Tobacco Control Programme (NTCP).

Through STEPS, efforts are being made to control the use of tobacco among different age groups across six districts of Gujarat, namely Banaskantha, Rajkot, Kheda, Anand and Surat. Various activities under different modules would be taken up to keep a check and reduce tobacco consumption.

"Considering the fact that the initiation age for tobacco consumption in Gujarat is much early, one of the modules of STEPS involves intervening with the schools across the state in association with the department of education. This will help prevention of tobacco consumption at the grass-roots level. Additionally, at the rural level, STEPS plans to form a voluntary body - Community Against Tobacco (CAT) that will visit kiosks and monitor the tobacco consumption and sale," said state coordinator STEPS Mayur Trivedi.

8 Maine colleges recognized for tobacco policies

A coalition that promotes tobacco-free policies at Maine’s colleges is giving recognition to eight colleges and universities for their efforts to address tobacco use on campus.

The Maine Tobacco-Free College Network recognized the schools at an awards ceremony in Bangor earlier this month. The schools were graded on criteria such as campus tobacco policies, the availability of tobacco-cessation information, bans on tobacco distribution and divestment of tobacco investments.

The University of Maine at Orono was given the highest rating of ten stars.
Also honored were Kennebec Valley Community College, the University of Maine Hutchinson Center in Belfast, Unity College, Northern Maine Community College, University of Maine at Machias, University of Maine at Presque Isle and the University of New England.

COA questions Abra’s use of tobacco excise tax share

The Commission on Audit (COA) has found lapses in the disbursement by Abra province of its share from the tobacco excise tax, noting, among others, that tobacco farmers’ groups were not given priority in the use of the fund.
The COA said P3 million from the tobacco excise tax was intended for financial assistance to Abra farmers in 2010. Of this amount, P2.7 million was distributed to various groups.
Abra has 43 registered tobacco farmers; organizations, but only two beneficiaries of the financial assistance were registered as tobacco farmers’ groups. Under the law, these registered groups should have been the fund’s primary beneficiaries, the COA said.
The province’s share from the excise tax is meant to help farmers in tobacco-producing provinces to become more self-reliant, as provided for under Republic Act No. 7171.
“Since RA 7171 was enacted purposely to advance the self-reliance of the tobacco farmers, these tobacco farmer’s organizations should have been given priority in the utilization of the fund,” the COA said.
It also questioned the legality and propriety of transactions funded by Abra’s share from the tobacco excise tax since the implementation of projects did not conform with the rules.
It said projects were not supported by proper documentation. For instance, P17.2 million worth of projects funded by the tobacco tax had no attached list of beneficiaries signed by the recipients of the projects.
The projects involved the procurement of water pumps, construction materials, fertilizer, hand tractors and sprayers.
“As a result, we were not able to confirm receipt of items reportedly distributed to tobacco farmers and whether the objectives of RA 7171 have been attained,” it said.
The COA further said that the purpose of the P1.98 million worth of cement and construction materials purchased was not even indicated. There was also no program of work and approved budget of the contract.
“The absence of indicated purpose hampered further verification and possible validation of its implementation,” it said.
The province failed to maintain a special account and separate depository account for its share from the tobacco excise tax, as required under the law, according to the COA.
Because of this, access to financial information and effective monitoring of the implementation of the fund’s purpose was difficult, it said.
“The creation of such special account solely for the share from tobacco excise tax will provide easier access to financial information to facilitate faster and more effective monitoring of the status of implementation and utilization of such fund,” it said.
Under RA 7171, tobacco-producing provinces get 15 percent of the excise taxes on locally manufactured Virginia-type cigarettes.

Tough talk for poll to help politicians quit tobacco?

Minister of state for home, Satej Patil, may be taking on home minister R R Patil over tobacco chewing. A week ago, he declared the Congress will not consider candidates who consume tobacco for polls to the Kolhapur municipal corporation.

Ever since he took charge of the food and drug administration, he advocated a complete ban on consumption of tobacco within the premises of educational institutions. Now, he has taken it a step further, but the moot question is will he be able to implement it. He will have to start from none other than R R Patil. It is well-known that Patil consumes quite a huge quantity of tobacco on a daily basis. In fact a peon in his office has been entrusted with a task of preparing a special tobacco mix for the home minister.

After Patil's political mentor Sharad Pawar developed a serious health problem due to his tobacco habit, Patil declared he will quit tobacco. A few months later when he was still found consuming tobacco, he was warned by deputy chief minister Ajit Pawar. A close aide hoped that while a warning by the Pawars failed, his deputy's new formula will prompt Patil to quit tobacco.

UK research focus on coal, tobacco outdated

If the University of Kentucky ever hopes to become a Top 20 research institution, or even to be taken seriously as a place of higher learning, it should stop wasting millions of dollars on researching what we already know.
For decades, the UK Tobacco and Health Research Institute pretended to be creating a safer cigarette and finding new uses for the golden leaf. In reality, it was nothing more than a well-funded propaganda machine of Big Tobacco.

The Tobacco Research Institute, now named the Tobacco Research and Development Center, still claims to explore new uses for the plant. After 50 years of research, they still haven't figured out that the best use for tobacco is killing people.
Now the university has broken ground for a $5.7-million research facility to turn coal and biomass into transportation fuels. UK's press release says that when fully operational, the facility will produce one barrel of fuel per day.
Scientists who have already studied the issue say that developing a technology that utilizes fuels from coal is cost prohibitive. It can be done, but no one could afford it.
Safe cigarette. Clean coal. I detect a pattern here.
The price of electricity in Kentucky is increasing because we burn coal to generate electricity, and coal damages human health and the environment.
Those damages are finally being factored into coal's cost through regulations. If we want a future of affordable energy, we can do what other states are doing, and that's get more of our energy through renewables.
Because the Luddites are in control of my alma mater, may I suggest a few other 19th century research opportunities for the University of Kentucky?
Polio is a really bad disease, I hear. So is smallpox. How about finding a way to eradicate both?
But you can't use vaccines to do it. Vaccinations actually cause diseases, such as autism. And the human papillomavirus vaccine doesn't cure anything, but it does cause premarital sex. Yeah, like we need a shot for that.
However, we're positive that Dino the dinosaur really was Fred and Wilma Flintstone's pet. They're in a museum right here in Kentucky. So settled is the question of The Great Flood that the building of an amusement park, the centerpiece of which will be a genuine replica of Noah's ark, qualifies for state assistance. I can't wait for the Six Flags Over David and Goliath.
We quarrel over when life begins and ignore the very real possibility that we may be closer to its end than its beginning. Fossil fuels cause global warming, and it's getting harder to ignore.
When a company like Solyndra fails, conservatives scream, "We must stop funding solar research. It's a waste of money." But when a coal slurry impoundment pond breaks or an offshore oil well explodes, the message quickly becomes, "We must subsidize the coal and oil industry even more. It creates jobs."
Renewable energy research, that's the realm of other states. Our motto is, "We're busy developing a safe cigarette and clean coal."
We're the 99 percent, but we elect candidates who serve the one percent. In fact, to even run for office, you have to be one of the one percent or be funded by the one percent.
America is in dire straits, and one side blames big business, the other side blames government.
Maybe both sides are right. Maybe big business is our government, just as government is big business. No need to worry about it. Relax, have a smoke. Clean coal's on the way.

States could see substantial savings with tobacco control programs

States that have shifted funds away from tobacco control programs may be missing out on significant savings, according to a new study co-authored by San Francisco State University economist Sudip Chattopadhyay.

If these programs were funded at the levels recommended by the Centers for Disease Control and Prevention (CDC), states could save an astonishing 14-20 times more than the cost of implementing the programs. The costs of smoking are felt by the states, mostly through medical costs, Medicaid payments and lost productivity by workers.

The evidence is clear that state tobacco control programs have a "sustained and steadily increasing long-run impact" on the demand for cigarettes, Chattopadhyay and his colleague David R. Pieper at University of California, Berkeley write in a paper published online today in the journal Contemporary Economic Policy. Chattopadhyay is the chair of the Economics Department and professor of economics.

The study uses data from 1991 to 2007, during which time the states paid for the programs with the help of the tobacco tax, public and private initiatives and funds from the Tobacco Master Settlement Agreement between the nation's four largest tobacco companies and 46 states.

Unfortunately, says Chattopadhyay, funding for the programs has been declining steadily since about 2002. In 2010, states on average were spending 17 percent of the total investment recommended by the CDC for the programs. And in tough economic times, many states have turned to cigarette taxes to raise revenue.

Chattopadhyay said the shift in spending priorities was part of his motivation for examining the benefits and costs behind the programs. "Almost all states are facing financial crisis, and they are really diverting their funds, possibly moving funds from productive use."

Unless the benefits of fully funding the programs are shown to outweigh the costs, the researchers suggest, states may continue to divert revenue away from the programs.

After accounting for multiple factors, the researchers determined that tobacco control programs do reduce the demand for cigarettes. It's a trend that grows over time, in part because it takes smokers time to quit and because the programs become more efficient at delivering their services.

Unlike earlier studies, Chattopadhyay and Pieper even examined the effects of different state tobacco taxes, and how the differences might affect cigarette demand. Smokers in a state with a high tobacco tax could be more easily tempted to buy cigarettes if they share a border with a low-tax state, for instance. Tobacco taxes can range from less than 20 cents per pack in some states to nearly $5 in others.

In 2007, the CDC revised its recommendations on how much states should spend on tobacco control programs to make them successful. If individual states would follow the new CDC guidelines, they could realize future savings of 14-20 times what the programs cost, the study concluded. Chattopadhyay said he would like to deliver the results of the study to the states, "to convince them that they can use that money for more productive purposes" and to encourage them not to let their past investments in tobacco control programs go to waste.

Warning labels on cigarette packs

Federal health officials hoped graphic images would make the more than 40 million Americans who smoke every day think twice before purchasing their next pack of cigarettes. The warning labels were supposed to be on every pack starting next fall, but a federal judge has put that on hold pending the outcome of a lawsuit big tobacco filed challenging the requirement.
Leading health groups from the American Heart Association to the American Cancer Society are already calling the decision a major blow to public health.

“The warnings on cigarettes have been the same for 25 years now. It is imperative that people understand that smoking cigarettes is addictive and kills you and is blatantly dangerous,” said Alyzza Ozer, Regional Vice President, Manhattan, American Cancer Society.

The new warnings approved by the FDA are designed to take up half the space on a cigarette pack and at least 20 percent of any advertising space. But the judge ruled the labeling goes beyond giving just the facts on the health risks of smoking and violates the Constitution's free speech guarantees. The City's health department has led the way with graphic ads of its own. It calls the ruling a setback. And it's clear how the Mayor, who can boast half a million fewer smokers in the city since his time in office, feels about it.

“Look - smoking kills. And if you go to Europe you'd be shocked at just how graphic they are I think it saves lives but it is up to the courts to decide whether it is an impingement on freedom of speech and I'm sure it will be litigated,” said Mayor Michael Bloomberg.

New Yorkers who light up still have a mixed response on whether new labels would make any difference at all. Even if cigarette makers ultimately lose the suit, it could be a while before warning labels become a reality, with the ruling opening the door for years of litigation.

Illegal cigarettes confiscated

Tuesday's seizure of illegal cigarettes from the Dakota Chundee Smoke Shop finally opens the door for a legal challenge by the Dakota First Nations to be officially recognized by the provincial and federal governments.
"I think the point is that we have to have our recognition as Dakota people in Manitoba," Dakota Plains Chief Orville Smoke said shortly after 89,550 contraband cigarettes were seized by the Manitoba Finance special investigations unit with support from the RCMP.
"We have to have our turn at sitting down and negotiating our existence within the confines of a reserve in Manitoba."
The seizure came as no surprise to anyone as the province could no longer turn a blind eye to the open cigarette sales, which started last week in a makeshift store near Pipestone. Charges are pending.
But despite Tuesday's raid, organizers of the rogue smoke shop will open again today, vowed Craig Blacksmith, a Dakota Plains councillor and Great Buffalo Nation Dakota spokesman.
"It's business as usual. Full-scale operation tomorrow again," he said in an email interview on Tuesday.
While officials seized cigarettes Tuesday, Blacksmith said they have further supplies of Rainbow Tobacco hidden away.
"We're not crazy enough to keep all the inventory on site," he said.
The cigarettes seized are federally stamped under the Excise Act but are not marked or stamped for legal sale in Manitoba, provincial spokesman Mike McDonald said.
"If you go to any retail outlet in Winnipeg and look at cigarettes, you'll see the Manitoba tear-tape on them," McDonald said, adding the seized cigarettes did not have that, meaning the province was not collecting its share of taxes. "The search went without incident."
Dakota Chundee, run by Smoke and Chief Frank Brown of Canupawakpa, was selling tobacco products supplied by Mohawk distributors in Quebec for about $40 a carton.
Cartons of 200 cigarettes normally sell for about $98 in Manitoba.
Only one employee was in the store at the time of the raid.
The chiefs of the Dakota First Nations claim their status in Canada is recognized by a British treaty to protect Canadian borders from American incursions in the War of 1812.
The Canadian government rejected the claim in court and insists the Dakota don't have the same treaty rights as other First Nations in Canada.
Both Canupawakpa and Dakota Plains have lawyers lined up to fight their case to be officially recognized by government.
"I think our lawyers are in place and this should be quite the awakening for some people, including the province and the federal government," Smoke said.
In addition to selling cheap cigarettes, they have said they plan to develop a VLT gaming centre at the location.
Elizabeth Stephenson, director of communications for the Manitoba Gaming Control Commission, said the commission is monitoring the site but is not aware of any VLTs operating.
The Quebec company that supplied the cheap smokes is at the centre of a war over aboriginal sovereignty where the weapon is cigarettes.
Kahnawake First Nation-based Rainbow Tobacco manufactures and distributes six separate brands of cigarettes, including one dubbed Savage, for the American and European markets, according to its website.
In addition to court challenges in British Columbia, Alberta and Saskatchewan over the sale of its cigarettes, the company stands out as being one of two major distributors that hold federal licences.
While a federal licence allows the sale of tobacco on First Nations, authorities consider the cigarettes to be contraband if they are sold outside a certain geographical area.
Mohawk Council of Kahnawake tobacco portfolio chief Kahsennenhawe Sky-Deer said the issue over cigarette taxes boils down to who gets the tax revenue.
"The term contraband is used by the outside governments because they are not benefiting from any tax dollars levied on our products," she said in an email.
"We have always deemed our industry as legal because we believe our people have the right to our economy."

Canadian C-Store Groups Warn Manitoba Premier on 'Smoke Shacks'

Following the official opening of what the Canadian and Western Convenience Stores Associations (CCSA & WCSA) are calling the province's first illegal smoke shack by the Dakota First Nations near Pipestone, Manitoba, the groups have called upon Manitoba Premier Greg Selinger to enforce current laws and avoid setting a dangerous precedent in the province with respect to the sale of contraband tobacco.

"If the Manitoba government allows just one illegal smoke shack to open and operate, 50 will follow suit leading to increased crime, higher tobacco consumption among minors, lost revenue for the province and the closure of countless legal convenience stores as has happened in Ontario and Québec. We do not believe that this is a trend that Manitobans support," said Michel Gadbois, the CCSA's senior vice president.According to the Royal Canadian Mounted Police (RCMP), close to 300 illegal smoke shacks currently operate in Quebec and Ontario selling goods produced in 50 illegal manufacturing plants, the groups said. All plants have operated illegally for the past decade without any interference from the government, they said. These manufacturers and smoke shacks sell a large majority of their tobacco products to nonnatives who avoid the tobacco taxes and save up to 75% on the legal price sold in convenience stores.

They have also consistently disregarded tobacco control regulations by selling to minors, the groups said.

"We are certainly sympathetic to Natives rights, but not at the mercy of the hard-working and law-abiding convenience store owners who follow strict tobacco regulations and remit taxes but simply cannot compete with the illegal trade of contraband tobacco," said Doug Hartl, vice chair of WCSA.

"The government should step in immediately to either shut down the illegal smoke shack or ensure that the Dakota First Nations charge the taxes and respect all laws and regulations pertaining to tobacco," added Gadbois.

Since 2008, hundreds of c-store owners who have been in business for years have had to either close their stores or continue to struggle to survive simply because governments are not enforcing current laws, the groups said. "It is absurd that we must beg governments to enforce their own laws, but sadly, that's how little attention is given today to the issue of contraband tobacco," said Gadbois.

The CCSA represents the economic interests of more than 25,000 c-stores across Canada (with 800 in Manitoba) who serve Canadians for all their daily needs.

Snuff out the problem: MLB should ban smokeless tobacco

Four senators sent letters to baseball officials asking them to ban smokeless tobacco, and asking Fox not to show anyone chewing away. I just hope the politicians don't plan to show up in St. Louis or Texas, because players and fans might drown them in Skoal juice.

As best as I can surmise, 96.7 percent of the reaction has been negative. It's not so much that people love tobacco. They just think Congress has more important things to do than try to regulate every facet of American life.

There's not a bigger blowhard in Washington than Illinois Sen. Dick Durbin, so it pains me say this. But I'm glad he and his esteemed colleagues are sticking their noses in the dugout.

Despite some real effort, baseball has failed to eradicate smokeless tobacco. We can all agree that would be a good thing, right?

If you say no, here's the standard paragraph you'll want to skip. More than 30,000 Americans a year are diagnosed with oral cancer. It's linked to cancers of the esophagus, larynx, bladder, stomach and pancreas. It destroys gums and the senses of taste and smell.

Other than that, smokeless tobacco is harmless.

Baseball banned it in the minor leagues in 1993. The NCAA did it 1994. It hasn't seemed to help.

An estimated one-third of major leaguers load up their gums with smokeless tobacco. Most aren't proud of it. But like cigarette smokers, they can't help themselves.

Durbin & Co. think the World Series is a good place to draw a line in the snuff. They don't like the prospect of America's youth tuning in and being unduly influenced to take up the habit.
I didn't notice Fox doing anything unusual to avoid showing players spitting or dipping in Game 1. And baseball could not have suddenly told chaw-dependent players they couldn't load up in the biggest games of their career.

Any policy change will have to come with a new collective bargaining agreement. The current one expires in December, and you can count on the players' union breaking out the usual arguments. Allow me to shoot them down.

• It's a legal product.

So is Jack Daniels, but you don't see players swilling it in the dugout (except at Fenway Park, perhaps).

• Congress has no right to tell viewers what they can see.

It banned cigarette advertising on TV decades ago. A few players still smoke, but none would dare do it on camera.

• Players aren't role models.

Are we still having that argument? Whether they like it or not, they impact public opinion. If they didn't, why do they break out pink bats, gloves and wristbands every year to promote breast cancer awareness? This is a cancer they can do more than symbolically fight.

• Kids aren't that impressionable.

HSA tells app developer to remove posts on cigarettes

A local developer of smartphone applications has been told by the Health Sciences Authority (HSA) to remove all postings related to cigarettes in its LobangClub app, which lets users find the cheapest deals based on community feedback.

It is the first case involving a mobile phone application, and HSA said that anybody involved in putting up listings of tobacco products could be breaking the law.

The app was introduced a month ago and is available for iPhones. It allows the user to use the phone's camera as a barcode scanner, and add details such as pricing and location for others to view.

Last Tuesday, its developer, Mr Shen Guyi, 32, received a call from an HSA officer telling him that advertising tobacco products here was illegal, and to remove all such listings.

Seized uncustomed imported cigarettes destroyed

A large quantity of uncustomed imported cigarettes seized by the Customs Division of the Ghana Revenue Authority (GRA) in the region has been destroyed at the Dompoase Landfill site in Kumasi.

They were picked up from the various business points in the metropolis.

The items were picked up at Adum at the central market during a swoop by officials of the Customs Excise and Preventive Division of the GRA.

The largest chunk was seized at Adum-Pampaso where 92 cartons of cigarettes were found wit a business man.

The items were meant to be sold at markets in countries in the sub-region especially Mali and Burkina Faso.

The destruction was witnessed by the Police, Fire Service and the media.

Speaking in an interview, the Regional CEPS Commander, Mawusi Esi Dadjo said the items were seized in separate swoops in May and June this year.

She explained that under the Customs and Preventive Law, it is illegal for items for any kind to be imported through unapproved entry points.

Man bartered stolen cigarettes for crack

A break-in that did more than $500 worth of damage to a Rutland convenience store was allegedly carried out to obtain packs of cigarettes that were traded for crack cocaine, according to city police.

More than a month after the side window of the Stewart’s convenience store at the corner of Grove and State streets was smashed out by someone who stole $356 worth of cigarettes and snack food, 29-year-old Christopher A. Loseby appeared in court Monday to answer to four charges related to the incident.

Loseby, who described himself as homeless in a police affidavit, pleaded innocent in Rutland criminal court to a felony charge of burglary and misdemeanor counts of unlawful mischief, petty larceny and unlawful trespass.

Loseby, who came to court on a citation, was released on court conditions.

City police said there was no one at the store when police responded to an alarm there just before 1 a.m. on Sept. 8.

But less than 12 hours later, Loseby came to the police department to turn himself in, Detective David LaChance said in an affidavit.

Loseby, who received cuts to his elbow and hands that were bleeding when he arrived at the department, allegedly told police that he decided to break into Stewart’s after a woman he was smoking crack with earlier in the evening told him he could trade packs of cigarettes for crack from a dealer she knew.

Loseby, who police said ran out of crack and money on the night of Sept. 7, told police he left the woman’s home on Church Street and walked downtown where he thought about breaking into a shop on Center Street before going to Stewart’s where he told police he threw two bricks through a side window.

Once inside he said he grabbed two cartons and about six to eight packs of cigarettes before walking back to Center Street where the woman who had suggested a trade for drugs reportedly called a dealer who took the tobacco in exchange for two rocks of crack cocaine, according to court records. A rock of crack cocaine weighing less than a gram typically sells for $30 in the Rutland area, police said.

Stewart’s reported $545 worth of damage from destruction of property and stolen items during the break-in, police said.

Two arrested in marijuana bust sentenced for illegally entering US

Two men arrested in a June marijuana bust were sentenced Monday for illegally entering the country, according to the U.S. Attorney's Office.

United States District Judge Anthony W. Ishii sentenced Jorge Garrido Mendoza, 24, and Francisco Pedraza Garcia, 24, of McFarland, to six months in custody and referred them to immigration authorities, according to the U.S. Attorney's Office for the Eastern District of California.

Assistant United States Attorney Kevin Rooney, who is prosecuting the case, said charges of conspiracy to manufacture marijuana against Mendoza and Garcia were dismissed.

"I would be shocked if they were not deported," Rooney said. The two men are from Mexico, according to court records.

Mendoza and Garcia and six others were arrested June 15 when the Kern County Sheriff's Department raided a marijuana field just off Highway 65, north of Sherwood Avenue, according to Californian archives.

Court documents said officers destroyed about 2,462 marijuana plants.

A U.S. Attorney's office news release said the plants were "ostensibly for medicinal purposes."

Mendoza and Garcia told deputies that they had entered the U.S. illegally, according to court records. They told investigators they were hired to tend the plants by Bernardino Garcia, who said he would pay them with marijuana after the site was harvested, according to court records. He is charged with conspiracy to manufacture marijuana.

Mendoza and Francisco Garcia pleaded guilty to illegally entering the U.S., a misdemeanor, on Oct. 24 as part of a plea agreement.

Rooney said he would not comment on why the agreement was reached.

Canadian cigarette maker paying up in Pennsylvania

Pennsylvania Attorney General Linda Kelly announced a settlement on Monday with a Canadian-based cigarette manufacturer for allegedly failing to make escrow payments as required by the Tobacco Settlement Agreement Act.

Grand River Enterprises Six Nations Ltd., based in Ohsweken, Ontario, will pay more than $72,000 in civil penalties and $10,000 for costs related to the case. Grand River, which sells under the brand name Seneca in the United States, agreed to make the escrow payments required by the TSAA on a quarterly basis from now on.

The TSAA requires tobacco manufacturers to make payments into an escrow account for cigarette sales within the state. According to the agreement, Grand River allegedly failed to escrow more than $88,000 for the sale of more than five million cigarettes between 2001 and 2004.

Grand River has completed the certification process to become an approved manufacturer and will now be listed in the state's Tobacco Product Directory.

The settlement was negotiated by Deputy Attorney General Sharon Rogers from Kelly's Tobacco Enforcement Section.

Grand River reached a settlement in the state of Ohio earlier this month resolving a similar allegation of failing to establish an escrow account for the sale of its cigarettes as required by law. The company paid penalties and post-judgment interest of $1,052,000 to the state's General Revenue Fund and paid attorneys fees and costs of $82,000 to Ohio Attorney General Mike DeWine's office as part of the settlement.

Unstamped cigarettes land New York man in prison

A New York man caught on a Lebanon County interstate highway with thousands of cigarette packs without tax stamps was sentenced to state prison last week.
Judge Charles T. Jones Jr. sentenced Clyde Banks Jr., 41, Bronx., N.Y., to state prison for 14 months to five years and ordered him to pay a $100 fine and restitution of $13,440 for lost tax revenue.

State police stopped the van that Banks was driving on April 14 on I-78 at mile marker 7.5 in Bethel Township. Police said they found 840 cartons of cigarettes without tax stamps, according to court records.

Bust yields 6 tons of marijuana, $93,000 in cash

Federal authorities say a drug bust in West Michigan netted more than 6 tons of marijuana along with about $93,000 in cash.

The Grand Rapids Press reports the marijuana was found Friday at a warehouse in Grand Rapids-area community of Wyoming following a tip. Court documents shows that the money includes about $85,000 from the home of one of six people charged in the case.

Each is charged with marijuana conspiracy and possession with intent to distribute the drug. Prosecutors are seeking forfeiture of the cash.

Authorities say the marijuana was found in nearly 500 bales.

World Tour Event at Neptune Cigar Superstore

On Thursday November 3rd, 2011 from 5-9 PM, Neptune Cigar Superstore will be hosting one of the last stops of the Studio Tobac 2011 World Tour, and the only event of this kind in Miami, Florida. The tour, which began February 2011 across the nation, will end in November 2011 with the giveaway of a one of a kind Cain Daytona Corvette valued at $70,000!
Studio Tobac is an enterprise of Miami’s Oliva Cigar Company reuniting their most innovative minds to conceive new cigar concepts such as the very successful NUB, a cigar which introduced a complete new format in premium handmade cigars to the industry, and CAIN, the only STRAIGHT LIGERO cigar in the world. Studio Ambassador Bryan Scholle will bring to Neptune Cigar’s Superstore the Special Edition 2011 Touring Corvette Convertible. Scholle will also be bringing the Studio’s latest projects with him.
The STUDIO TOBAC Limited Edition Sampler will be available for Free to any customer who purchases a box of STUDIO TOBAC products (Nub, Cain...) at the event. This unique and rare sampler of unreleased cigars will not be available for sale online, and will not be sold separately.
Each sampler will contain one of each of the following cigars.
1. Cain F Lancero – Cain F blend in a Lancero format, presented in an aluminum tube.
2. Cain FF Torpedo – 6x54 Torpedo; a stronger blend of the Cain F.
3. Cain Daytona Short Robusto – Daytona blend in a sampler exclusive 4.5x50 short Robusto size.
4. Nub Habano Perfecto – the first Nub Perfecto ever created. 4.5x60.
5. Nub San Andreas Maduro – 4x64. A new size and a wrapper never before used on Nubs.
6. "ST/DS-100," an unnamed, full bodied, all Maduro prototype cigar.
There will also be a drawing at the event for a custom made scrimshaw Studio Tobac cutter among other things. These are very unique cutters that will not be for sale anywhere. Bryan Scholle will roll cigars at the event and talk about the new Cain Daytona cigar.

Boise smoking ban proposal proving to be a heated issue

It was standing room only Tuesday night inside Boise City Hall where dozens of residents gathered to sound off on the City of Trees proposed smoke-free air ordinances.

Boise City Council is considering two smoke-free ordinaces. The first would ban smoking in all Boise bars, private clubs and within 20 feet of city-owned buildings. The second proposal would ban smoking in public parks including within 20 feet of the Boise Greenbelt. There would be designated smoking areas at both Julia Davis and Ann Morrison parks.

City Council heard more than three hours of public testimony, Tuesday night. Many residents believe a smoking ban would promote a healthier city by minimizing secondhand smoke. "Everyone deserves the right to breathe clean air, period," Adrian Casper said.

Other Boiseians argue a smoking ban would cause storefronts to close and the local economy to suffer. "I don't think the City should have the right to put people out of business and that's what they're doing," Mona Lindeen said.

City leaders say if the ordinaces pass, there will be a waiting period before the legislation goes into effect to ensure bar owners the necessary time to educate their customers. If City Council approves the smoke-free proposals, the legislation will be enforced beginning in January 2012.

Smoking out villains of Wall Street

As I begin this column, on Oct. 10, the “Occupy Wall Street” movement has spread to dozens of American cities. By the time this sees print, on Oct. 20, the wave of discontent may have dissipated. Or it could grow into something much larger.

It’s good to see citizens take part in a peaceful uproar. It means that apathy and despair have not yet won the day. It’s also rewarding to see slogans and placards lofted by the protesters rather than smoke from gunfire and explosions. Violence can bring change, but usually the chief victims are the poor and powerless.

Right now the OWS people have few, if any, leaders. I haven’t seen evidence of precise goals. This augurs poorly for the assemblage. Whether it’s cleaning out the garage or forging a different government, knowing exactly what you’re aiming for is important. Otherwise things tend to fall apart, with little achieved.

And that’s what happens to most street protests: with time, they fade away. The Establishment – whether it’s Wall Street, Congress, the Pentagon or the White House – knows this. Patience tends to prevail over passion.

I hope this won’t happen with OWS. The peaceful protesters who have gathered in the downtowns of American cities are merely harbingers – indicators that (along with other problems) something is radically wrong with how our country’s financial institutions operate. If all the protesters were asked, “Exactly what are you angry about?” I’d bet that 60 percent would reply, “I’m mad because the crooks on Wall Street are still at large. They should be identified, tried and punished.”

Cape May Council Votes to Ban Smoking

Cape May continues to move forward with plans to ban smoking on its beaches, oceanfront Promenade and public parks.

On Tuesday, an ordinance banning smoking in these areas was introduced with a 5-0 vote. The AC Press reports that all five members of the Cape May City council are nonsmokers.

While Deputy Mayor Jack Wichterman first proposed the idea earlier this year, his plan only included banning smoking from beaches. The ordinance now includes the Promenade, Rotary Park, Sunset Pavilion, Kiwanis Park, Wise-Anderson Park, Harborview Park and the city’s dog park, according to the AC Press.

The ordinance sets a minimum fine of $100 for violations. The Press reports that the maximum fine, which could follow repeat offenses, is as much as $1250 along with community service or prison terms not exceeding 90 days.

The proposed ordinance says that a nonsmoker’s right to breath smoke-free air is a priority over a person’s desire to smoke. It also cites studies that say second-hand smoke outdoors poses hazards.

A public hearing and final vote on the ordinance will be held at 7 p.m. on Monday, November 14.

Quit Smoking, Spurn Alcohol to Improve Sleep Quality, Study Says

Quitting cigarettes and spurning alcohol before bed may help remedy poor sleep quality, according to a study in Japan.

Pack-a-day smokers get 10 minutes less sleep a night than non-smokers, researchers at Kyoto’s Doshisha University found. The study of adult men also found that those who consumed at least 60 grams of alcohol a day, or the equivalent of 1.5 liters of beer, were likely to wake 1.5 times more during the night than those who limited intake to less than 20 grams.

The research suggests simple lifestyle changes could yield longer, more restful sleep, said Atsuko Nakazawa, head of Doshisha University’s health center. The stimulating effects of nicotine, tobacco’s addictive component, may delay sleep and cause nightmares and problems waking, according to the U.S. National Sleep Foundation.

“Smokers just have to quit smoking” to improve sleep, said Nakazawa, who led the study, which was presented at a scientific meeting Kyoto today. “It’s easier than changing diet, for example.”

A quarter of Japanese adults smoked in 2009, according to Japan Tobacco Inc., the world’s third-biggest publicly traded cigarette-maker. The average price of a pack of 20 cigarettes in Japan is 400 yen ($5.20), compared with $10.80 in New York.

Alcohol is a poor sleep aid, according to the sleep foundation in Arlington, Virginia. The chemical disrupts one’s ability to enter the deeper, more restful stages of sleep, it says.

The Doshisha University study involved a survey of 3,256 males ages 30 to 59 years, who slept an average of 6.9 hours in 2007. The data was presented at the Sixth World Congress of the World Sleep Federation, which runs Oct. 16 to 20.

Philip Morris International Inc. (PM): Today's Featured Tobacco Winner

The tobacco industry closed the day down 0.3%. Alliance One International Inc (AOI) were all winners today within the tobacco industry with Philip Morris International Inc (PM) being today's featured tobacco winner. Philip Morris International Inc rose $1.01 (1.6%) to $66.31 on average volume. Throughout the day, 7.9 million shares of Philip Morris International Inc exchanged hands as compared to its average daily volume of 9.4 million shares.

Philip Morris International Inc., through its subsidiaries, manufactures and sells cigarettes and other tobacco products. Philip Morris International Inc has a market cap of $116 billion and is part of the consumer goods sector. The company has a P/E ratio of 15.1, equal to the average tobacco industry P/E ratio and below the S&P 500 P/E ratio of 17.7. Shares are up 11.6% year to date as of the close of trading on Tuesday.

TheStreet Ratings rates Philip Morris International as a buy. The company's strengths can be seen in multiple areas, such as its revenue growth, notable return on equity, expanding profit margins, solid stock price performance and impressive record of earnings per share growth. We feel these strengths outweigh the fact that the company has had generally poor debt management on most measures that we evaluated.

Health Coalition Lobbies for Tobacco Tax Increase

The Maryland Citizens' Health Initiative has launched a campaign to raise taxes on all tobacco products in Maryland. Cigarette prices would increase by $1 per pack, and other tobacco taxes would increase at a corresponding rate.

More than 150 faith, community and health organizations have already endorsed the proposed tax, including the AARP, the NAACP of Maryland and the American Cancer Society.

The tobacco tax revenue would fund various state health-related programs, including tobacco control programs and improved healthcare access for Maryland families.

"Not only is this good policy, it's good politics," said Vincent DeMarco, president of the Maryland Citizens' Health Initiative. "We all will benefit."

Tobacco lobbyist Bruce Bereano disagrees, and said the tax hike on tobacco is discriminatory and unwarranted.

"Smoking is legal and lawful among adults in Maryland. If that's going to continue and be left as a personal decision among adults, then let's stop hassling and intimidating and jerking around adult smokers," Bereano said. "Enough is enough."

Maryland last raised taxes on non-cigarette tobacco in 1999. Cigarette taxes have been raised several times since then, most recently by $1 in January 2008.

The tobacco tax campaign comes only a few months after the Health Initiative successfully lobbied to raise the tax on alcohol in April.

DeMarco said that raising the cost of tobacco saves both lives and money. Smoking rates in Maryland declined by 32.6 percent between 1998 and 2009, which was double the national average. DeMarco said the decrease in smoking saved more than 70,000 lives and hundreds of millions of dollars in health care costs.

The current tax increase would not be the end of the campaign. Tobacco tax advocates would like Maryland to become a smoke-free state.

Bereano contends that raising the tobacco tax actually costs the state money because smokers leave the state to buy tobacco.

"It's not going to stop smoking in Maryland ... [The smokers] are just going to be driven further from the state of Maryland to buy their smokes, and they'll buy their bread and butter and other things there. Maryland will lose revenue, it makes no sense fiscally," Bereano said.

Bereano said the people who may get hit hardest by the tax are people in cities who don't have personal transportation and cannot go elsewhere to buy tobacco.

DeMarco said the Health Initiative will continue to advocate for the tobacco tax if the legislature does not pass the increase in next year's session.

"If the legislature doesn't pass it, we are ready to make this a top issue in the 2014 election," DeMarco said.

36 brands of imitation cigarettes confiscated

The Health Department scored the biggest success in its operation against illegal cigarettes with the confiscation of 36 brands of imitation cigarettes here yesterday.

The department’s Inspectorate and Enforcement Unit headed by assistant director (Legal Affairs & Prosecution) Samuil-Ashton Satu in the one-day operation also found six outlets selling the illegal fags far below the minimal price and without pictorial health warnings as stipulated under the Control of Tobacco Products Regulations 2004.

These illicit fags are sold as low as RM1.80 to RM3.20 per packet, depending on its brand. This is very much below the minimal price of RM7 per packet approved by Ministry of Health, Malaysia.

“It’s the biggest ever success on illicit cigarettes. All this while we conduct our operation for other offences too but we don’t find much illicit cigarettes. From reliable sources, cigarettes are sold below the minimal price without pictorial health warnings at a lot of retail shops and even public toilets,’ he told The Borneo Post yesterday.

He said the one-day operation on illicit fags in Miri City in response to the Oct 9, 2011 article in thesundaypost headlined ‘Losses to illicit cigarettes far outweigh any potential monetary gains’. One of the questions posted was ‘Are health authorities and other relevant agencies doing their part in checking and penalising premises that sell these types of cigarettes?’

Samuil said his eight-member team of officers from Miri Divisional Health Office made surprise visits to various locations around the city such as the Bus Terminal, E-mart Permyjaya, Boulevard Commercial Centre, Krokop Market, Pujut Corner and Miri Market.

The sellers were given notice under Section 32B of the Food Act 1983 to appear in the magistrate’s court, Miri. They could opt to be compounded, especially for minimally-priced cigarettes.

But the offence of selling cigarettes without pictorial health warnings was not compoundable and any offender convicted could be fined not exceeding RM10,000, jailed two years or both.

Samuil reminded buyers that there was a great possibility that the content of tar and nicotine in illicit cigarettes far exceeded the limit approved by the Ministry of Health, Malaysia.

Furthermore, illicit fags might contain more chemicals poisonous to health, and have more negative effects on health including cancer.

Similar operations on an ad hoc basis would be carried out throughout the state.

New Mexico woman sought marijuana via Craigslist

A New Mexico woman was arrested this week after she sought out marijuana on Craigslist in a notice that said she was "new in town" and "looking for Mary Jane," police said on Wednesday.

Anamicka Dave, 29, of Roswell was released from the Chavez County jail on a $5,000 bond, and faces one felony count of criminal solicitation of marijuana, authorities said.

Roswell police spokesman Travis Holley said Dave was arrested by undercover officers on Monday evening in the parking lot of a local business after a narcotics officer surfing the Web on his own time spotted her posting.

Holley said the officer confirmed through an exchange of e-mails that it was marijuana she was looking to buy, and arranged a meeting place to complete the transaction.

"He was shocked when he stumbled upon (Dave's posting)," Holley said. "He thought it might have been a sting operation by another law enforcement agency."

After ensuring it was not, the officer began his communication with Dave and the sale was arranged, Holley said. The undercover buy was necessary for an arrest because seeking marijuana on the Internet was not a crime, he added.

"They might just be joking around," he said.

The person "must show intent to carry out that plan," Holley said. The officer "responded to the ad, and she took the bait."

Medical marijuana must face stricter regulations

When 55.6 percent of voters approved the California Compassionate Use Act in 1996, it was heralded by supporters as a humane act to bring relief to people in pain by the tightly controlled marijuana prescriptions.

In the 15 years since, debate has continued to simmer. Most California cities have banned medical marijuana collectives. In Riverside County, Palm Springs is the only city that allows them, largely because of the concentration of AIDS patients. Up to three licensed collectives are allowed here.

The trouble in Palm Springs is that unlicensed dispensaries continue to exist — so much so that Stacy Hochanadel was forced to close CannaHelp, one of the three legal collectives, because he couldn't pay his rent and his electric bill.

This tells us either controls are too loose or enforcement is too lax. Palm Springs has shut down six unlicensed dispensaries. All desert cities and the county should remain diligent.

However, the court system is sending mixed signals. A state appellate court struck down Long Beach's law, which allows a limited number of collectives like Palm Springs, because it conflicts with federal law.

A day before that ruling, a Riverside County Superior Court ruled against Rancho Mirage's ban on medical marijuana collectives because it conflicts with California's 1996 initiative.

Meanwhile, the federal Department of Justice launched a crackdown on dozens of medical marijuana dispensaries, claiming they are using the cover of the Compassionate Use Act to act as storefront drug dealers.

This is a major turnaround for the Obama administration, which earlier said it wouldn't aggressively raid medical marijuana operations.

“Our federal agents have better things to do, like catching criminals and preventing terrorism,” the president said early in his term.

In a perfect world, medical marijuana would be treated like any other doctor-prescribed medicine — such as Vicodin or OxyContin — dispensed by pharmacists at CVS, Sav-On, Rite Aid, Walgreens and so on. But pharmacists operate under the Federal Drug Administration and as long as the federal government considers marijuana illegal, that can't happen.

Medical marijuana laws have been enacted in 16 states and the District of Columbia. Another six states are considering such laws.

It's time for Congress to consider a nationwide medical marijuana initiative. It wouldn't be unprecedented. From 1978 to 1992, the federal government ran a medical marijuana program called the IND Compassionate Access Program. Three patients grandfathered into the program still get treatment via the federal government.

The Desert Sun believes providing relief for people in pain is the right thing to do, but it shouldn't be just a way to make it easy for scofflaws to get high and for growers to pocket easy profits. States should have the right to enact these laws, but cities should have the right to ban collectives.

The programs must be tightly controlled and illegal dispensaries must be thwarted.

Revenue officials unplug cigarette-rolling machines

Holy Smokes doesn't make cigarettes, co-owner Josh Winrich said. His customers do. "We are in the rental business," Winrich said of his roll-your-own cigarette machines.
"The customer buys the tobacco. They rent the machine. The customer does all the work."
Not so, according to the Wisconsin Department of Revenue, which informed machine owners like Winrich that they need manufacturing and distribution permits and other approvals for selling cigarettes.
The state considers roll-your-own stores as cigarette manufacturers and distributors under a long-standing state law.
State agents arrived last week at Holy Smokes, 1103 Rose St., and unplugged the machines.
Winrich has 30 days to remove the machines from the store, which he and co-owner Craig Squires opened in April.
For smokers, the advantage of the roll-your-own cigarette machines come down to cost, Winrich said. Customers pay $29.95 for tobacco, tubes, paper and filters they feed into machines that churn out about 200 cigarettes in 10 minutes.
"They're either going to continue to roll their own at home or go back over to Minnesota and buy cheaper cigarettes," Winrich said. "People are not going to stop smoking because of this."
Anti-smoking advocates disagree, saying that when the cost of smoking increases, it provides an incentive for people to quit.
"Cheap cigarettes are dangerous to the health of our state," said Judi Zabel, La Crosse County Health educator and coordinator. "It makes it easier for young people to start smoking and harder for adults to quit."
Tobacco use costs Wisconsin $2.8 billion in health care costs each year, Zabel said, $500 million alone in taxpayer-funded Medicare.
"This is an opportunity to call the Quit Line, to seek help," Zabel said. "The cost is one good reason not to smoke."
The state estimates there are 50 to 100 roll-your-own machines in Wisconsin. Retailers could face fines, penalties, permit revocation, imprisonment, and/or seizure of the tobacco and other personal property used in this activity.
Stephanie Marquis, a spokeswoman for the Department of Revenue, told the Milwaukee Journal Sentinel that the agency was simply enforcing laws that 8,000 traditional cigarette retailers follow.
"There are thousands of other businesses around the state who are providing jobs and following the law," Marquis said. "What this is about is making sure these (roll-your-own) businesses follow the law and fairly compete with other retailers."
Each of the three machines Winrich owns cost $32,500. He worries that it would be too difficult or costly to get any necessary permits to keep his machines operable.
He said lawyers are reviewing the law and a lawsuit could be filed by roll-your-own retailers.
In September, Winrich signed a year lease to open a second location on Mormon Coulee Road. He planned to open it last week but isn't sure what will happen now.
"Our business plan doesn't make sense without those machines," Winrich said.

Cigarette dealer charged, feds say he conspired to avoid $2 million in KY tobacco taxes

A tobacco distributor closely watched by federal agents for a decade has been charged in Kentucky with using phony invoices to avoid paying taxes on millions of dollars’ worth of cigarettes that he sold in several states.

As far back as 2002, prosecutors in Texas sought to secretly listen to cell phone conversations involving 41-year-old Pedro “Peter” Bello of Miami, Fla. He was linked to several large-scale investigations and named in a civil lawsuit brought by the city of New York over untaxed cigarettes, but never charged until now.
Bello was arrested Tuesday on a charge of conspiracy to commit wire fraud. Authorities say he bought massive amounts of cigarettes in Kentucky but used invoices written by a company he owned in Missouri to avoid paying sales taxes. He then sold the cigarettes around the country while pocketing bigger profits by avoiding the Kentucky tax.

The indictment against him says that his Louisville-based company GT Northeast avoided paying $2 million in taxes on $12 million worth of cigarettes it sold. But details of previous investigations indicate the scope of his operations were much larger.

A woman answering the phone at a number in Miami listed for Bello said he no longer lived at that house. The woman declined to give her name before hanging up. Bello is scheduled for arraignment Oct. 18 at 9:30 a.m. in Louisville.

The Bureau of Alcohol, Tobacco, Firearms and Explosives in Miami, which took custody of Bello, did not immediately return a call Wednesday morning.

The federal government has cracked down in recent years on contraband cigarettes — smokes sold by people and businesses through illegitimate channels to avoid paying taxes. The Department of Justice estimates that federal, state and local governments lose out on $5 billion annually in tax revenue from the cigarette schemes.

Bello’s name has surfaced in several investigations at the heart of the ATF’s crackdown. Federal court records from Kentucky, New York and Texas depict Bello as a man involved in moving millions of cigarettes around the country without paying taxes to various states.

Bello was a subject of the Texas investigation in 2002 in which federal prosecutors sought to secretly listen in on the cell phones of dozens of people suspected of trafficking in contraband cigarettes. He avoided indictment, but 15 others were charged, with 13 people pleading guilty or being convicted. Prison sentences ranged from a year to six years behind bars.

Counterfeit cigarettes go up in smoke

THOUSANDS of counterfeit cigarettes and illegal tobacco products have been seized in a series of raids in Grimsby.

A total of 5,280 illegal Richman cigarettes, 40 counterfeit Lambert & Butler cigarettes and 950 grammes of counterfeit Gold Leaf hand-rolling tobacco were recovered during the latest swoop at a house in Hainton Avenue, which followed several months of investigation and a number of successful raids over the summer.

Nearly 2,000 illegal cigarettes, 5.7 grammes of illegal tobacco and £375 in cash was seized from a house in Coventry Avenue, including a brand called Avalon which was believed to be new to the area.

Another significant haul was recovered from a property in Heneage Road, while illegal cigarettes were found being sold in a shop in the Freeman Street area of the town.

The raids bring the total number of illegal smoking products seized by North East Lincolnshire Council since December 2009 to 77,398 cigarettes and 46 kilogrammes of tobacco.

Mick Burnett, deputy council leader and portfolio holder for health and wellbeing, said: “The availability of this cheap, illegal tobacco keeps smoking rates high amongst adults and children in North East Lincolnshire, which has clear and devastating impact on the health of our community.

“These seizures send a clear message to those operating illegally that this will not be tolerated.”

David Bolton, the council’s portfolio holder for community safety and neighbourhoods, added: “Illegal cigarettes are dangerous – they are untested and untaxed.

“Those who trade in them are only interested in making a profit; they don’t care what’s in these products, or what effect they have on those who smoke them. We all need to join together to stop this illegal trade.”

Apartment fire suspect known for drug use

Most of Shannon Marie Mills’ neighbors said they knew little about the woman accused of starting a fire at their apartment complex Sunday morning, but those who spoke to her said Mills lived in another world — a medicated one.

Police arrested Mills on Monday in connection with a blaze that displaced nearly 100 of her neighbors after she confessed to taking sedatives and sparking a cigarette before dozing off early Sunday morning.

Police believe her actions caused the blaze that gutted an apartment complex at 1212 E. Dallas Ave. The fire destroyed one building and damaged another, leaving dozens homeless.

Mills told investigators she took two Ambien pills, two Tylenol PM capsules and some Nyquil before going to bed, court documents state. She awoke only after gagging from the heavy black smoke in her apartment.

But instead of calling police or fire departments, Mills left the door to her apartment open and simply walked away, police said. An officer later found her covered in soot near the 500 block of East Business 83.

“She suffered from insomnia,” said Eloy Lucio, who lived across from Mills. “She would take a lot of pills.”

Lucio said his wife and he were one of the few residents who spoke to Mills. Their conversations were often impersonal and she mostly talked to him about the landlord and being behind on her rent, he said.

But there was another side of Mills that bothered Lucio.

“It seemed like she was always in another world and that scared me,” the 42-year-old said.

He recalled several occasions in which Mills appeared to be hallucinating.

“She told me she saw men hanging from the moon, trees levitating and that her dashboard and tires were melting,” he said. “There was one occasion where she was really high and she thought someone had killed (her boyfriend) and chopped him up into little pieces. And she started crying and crying.

“‘I don’t know what you’re talking about, but you need to go rest,’” Lucio recalled telling her that time. “‘You might get hurt. Go inside and rest and sleep it off.’”

Tenant Rick Liscano, 31, said he often heard neighbors complain about Mills, who allegedly knocked on their doors at odd hours of the night in search of cigarettes.

“She did a lot of drugs,” Liscano said. “I just find it weird that everyone in the building knew she was on sleeping pills.”

A McAllen municipal judge arraigned Shannon Mills, 26, on two counts of deadly conduct, a class A misdemeanor, Monday. Her bond was set at $10,000.

If convicted, she could face up to a year in jail and a fine not to exceed $4,000.

Gang ringleader from Islington jailed for cigarette fraud

Michael Pitt, 47, from Duncan Street, Islington, was sentenced along with five other accomplices following an investigation by HM Revenue and Customs (HMRC) which found that some members of the gang were purchasing the cigarettes in duty free shops at airports across the UK using fake boarding cards or one-way open tickets.

They would either exit the airport through domestic arrival channels or travel internally on a domestic flight to continue the fraud at other duty free shops. Pitt was also charged with fraud for producing and supplying the counterfeit boarding cards used in the scam.

Two other gang members would then distribute the duty free Hilton cigarettes and were observed leaving Pitt’s house with bags suspected to contain the goods, while a woman facilitated the fraud by selling the majority of the cigarettes to gang members in her role as a sales assistant at Manchester Airport’s duty free shop.

The duty evaded between February 2009 and May 2010 was £545,933.

Martin Brown, assistant director of criminal investigation for HMRC, said: “Our officers uncovered a sophisticated and highly organised fraud by this gang led by Michael Pitt, whose motivation was pure greed.

“The effect of this type of criminal activity on legitimate retailers can be devastating and billions of pounds are lost in duty each year, money which should be available for public services.”

Pitt pleaded guilty to being knowingly concerned in the fraudulent evasion or attempted evasion of duty on tobacco as well as fraud. He has previously served a custodial sentence for other duty evasion and fraud charges.

He was sentenced at the Hove Trial Centre last week along with five others. Two other gang members are due to appear in October.