Mr. Derek Byrne:

I welcome the opportunity to read my statement. There is no evidence available to An Garda Síochána to indicate that implementation of plain packaging for all tobacco products sold in Ireland would lead to an increase in the trade in illicit tobacco.

An Garda Síochána notes that Australia implemented similar provisions in 2013, making it the first country in the world to do so. However, it is not possible at this stage to ascertain from the Australian experience if there has been any impact on the trade in illicit tobacco because of this legislative change. It is also relevant to point out that the markets for illicit tobacco in neighbouring countries differ. Lessons learned from the Australian experience may not necessarily be directly transferable to the Irish context. It has been asserted by certain interested parties that the move to plain packaging may lead to an increase in the trade in illicit tobacco products in Ireland. However, An Garda Síochána has not been presented with evidence which supports this proposition. The quality of counterfeit goods which are readily available across international markets is so good that the identification of the authentic product is often difficult for experts in the field. Those involved in counterfeiting can counterfeit what they need and changes to plain packaging are not going to impact on this.

The growth in international markets of the sale of illicit whites is also relevant. This area is increasingly attractive for those involved in both the manufacture and distribution of these products. Those involved in the manufacture of illicit whites are not in breach of copyright legislation. This means that they do not run the risk of law enforcement action for counterfeiting offences. It also reduces the opportunity to bribe public officials.

Representatives from Her Majesty's Revenue and Customs and OLAF, the European anti-fraud office, have recently given evidence to the House of Lords Select Committee on the European Union on this issue. Both organisations have significant expertise and experience in the illicit trade in tobacco products and stated clearly that there is no evidence to indicate that the introduction of plain packaging will lead to an increase in the illicit trade in tobacco products.

An Garda Síochána is always alert to the possibility that changes in criminal legislation and other regulatory statutes can cause changes in the behaviour of criminal enterprises. The illicit tobacco environment, post-implementation of the proposed legislation, will be monitored closely by An Garda Síochána. Where new challenges are identified, An Garda Síochána, in conjunction with its national and international partners, will respond appropriately to ensure compliance with legislation.

Turning to the Garda strategy for tackling smuggling in this regard, the 2014 policing plan of An Garda Síochána sets out its commitment to proactively target groups and individuals engaged in organised criminal activity, including the illicit trade in tobacco products. To this end, An Garda Síochána is committed to the use of intelligence-led operational tactics, including those of specialist national units. The monitoring of such groups is ongoing and kept under constant review.

The smuggling of tobacco is primarily a revenue offence and as such is enforced by the Revenue Commissioners - Customs. An Garda Síochána continues to commit to working closely with the Revenue Commissioners and other agencies, both national and international, to proactively target groups and individuals involved in organised crime, including counterfeiting, laundering and smuggling goods. An Garda Síochána provides support and assistance for the Revenue Commissioners on an ongoing basis.

An Garda Síochána continues to develop and implement operations and strategies aimed at targeting, dismantling and disrupting criminal networks, utilising advanced analytical and intelligence methodologies. Multidisciplinary approaches are utilised to ensure the activities of individuals and groups involved in criminal enterprise, including those involved in the importation, sale and distribution of illicit tobacco, are effectively targeted, including the use of the proceeds of crimes legislation, money laundering legislation and the powers of the Criminal Assets Bureau. Specifically, the 2014 policing plan outlines the organisation's commitment to improved intelligence gathering and surveillance and analysis capabilities; continuing to build on partnerships to share intelligence with appropriate national bodies and international law enforcement agencies; ensuring proactive policing interventions based on intelligence and analysis; utilising regional multi-agency capabilities to target persons engaged in crime; identifying and targeting organised crime groups; and targeting criminals by maximising the use of the Proceeds of Crime Act 1996, as amended, and asset recovery opportunities at national and regional level.

Owing to the transnational nature of counterfeit products, An Garda Síochána works with other State and private agencies to monitor new innovations in this type of criminal activity. This includes liaising with other policing and customs agencies in neighbouring jurisdictions. Cigarette smuggling has been identified as a low risk high profit enterprise for organised crime groupings within the European Union. An Garda Síochána continue to liaise with other national police forces, Interpol and Europol to keep abreast of developing transnational crime trends. Ireland, like the rest of the European Union, is dealing with three main types of illicit tobacco: first, genuine tobacco which has been smuggled or diverted owing to discrepancies in price between proximal jurisdictions; second, the smuggling of "cheap whites", non-counterfeit cigarettes that are often produced legitimately and then smuggled, avoiding tax; and, third, counterfeit tobacco which has been manufactured covertly and smuggled into Ireland.

An Garda Síochána approaches the policing of illicit tobacco at both national and local level. On national operations, the intellectual property crime unit at the National Bureau of Criminal Investigation is responsible for the protection of intellectual property rights and ensuring a structured and co-ordinated approach in tackling the problem of counterfeit products and illicit tobacco. It liaises on a national basis with investigating gardaí and assist in all aspects of this criminality. It works closely with other police forces and agencies in the discharge of its functions. Members of the intellectual property crime unit are trained in the area of international intellectual property crime and actively involved in the provision of this training for members of An Garda Síochána in outside districts.

Also working at a national level to tackle the trade in illicit tobacco is the Criminal Assets Bureau which is a member of the Cross Border Tobacco Fraud Enforcement Group, CBTFEG. The group was set up to deal with the issue of cross-border cigarette smuggling. It was convened arising from a workshop recommendation made at the organised crime cross-border conference in Dundalk in 2009 and is operated under the inter-agency law enforcement cross-border initiative. Its meetings are attended by representatives from the PSNI, HMRC, SOCA, Revenue - Customs, An Garda Síochána and the Criminal Assets Bureau. The group is chaired by the Revenue Commissioners - Customs.

Arising from meetings of the group, a number of organised crime groups involved in the sale and distribution of tobacco products operating in both jurisdictions have been identified and targeted. Two organised crime gangs involved in the trading of illicit tobacco products have been successfully targeted to date as a result of this initiative. The Criminal Assets Bureau has been successful in seizing assets and raising revenue assessments against the persons involved in this criminal enterprise. Matters arising from these meetings are the subject of ongoing investigation at national crime units in An Garda Síochána. A recent intelligence-led operation, against an organised crime gang involved in the importation of illicit cigarettes into Ireland, conducted in conjunction with Europol and other international police agencies, is a great example of success in this area of operations. Operation Bonanza culminated on 17 September 2013 in the recovery of approximately 10 million contraband cigarettes, cash and a stolen agricultural vehicle. Four suspects were arrested and a file is being prepared for the Director of Public Prosecutions.

Operation Decipher relates to local, regional and district operations enforced by members of An Garda Síochána. In conjunction with co-operation at national level and high profile intelligence led initiatives, An Garda Síochána continues to target street level offenders and the distribution networks surrounding these criminal activities. Operation Decipher, led by the intellectual property crime unit, was established in 2013 to tackle across Garda divisions the sale of illicit tobacco products. The focus of the operation is directed towards the sale of illicit tobacco products through local markets, fairs, shops and by individuals.

A national day of action was held on 12 September 2013 under the auspices of Operation Decipher. A total of 16 searches were carried out, 13 of which resulted in the seizure of illicit tobacco products. There is a nominated Garda inspector in each division to co-ordinate activities and liaise with the national point of contact at the intellectual property crime unit at the National Bureau of Criminal Investigation. The operation is increasing awareness of the illegal trade among operational gardaí. It is hoped that throughout 2014 there will be an increase in seizures of illicit tobacco products and a resulting increase in prosecutions of offenders. At a strategic level, building the policing of illicit tobacco sales through divisional policing plans will make this issue an ongoing priority for An Garda Síochána.