Gerry Horkan (Fianna Fail) | Oireachtas source

I move recommendation No. 13:

In page 108, between lines 3 and 4, to insert the following:

"Anti-smuggling measures

52. The Minister shall, within 3 months of the passing of this Act, prepare and lay before the Oireachtas a report on the operation of section 136 of the Finance Act 2001 and the feasibility of including members of An Garda Síochána in the definition of "officer" in order to better enable them to tackle illegal smuggling of goods.".

This recommendation is concerned with smuggling and the ability of members of An Garda Síochána to obtain a search warrant specifically to search for excisable goods. In the context of Brexit, in particular, the situation is likely to get worse for retailers struggling to compete with illicit traders' smuggled products. Solid fuel, for example, can represent up to half of turnover for some retailers, particularly in the winter months. The illegal fuel trade is booming, at a cost to the Exchequer of more than €9.7 million in lost revenue, including carbon tax. This represents a loss of €36.5 million to retail merchants and is putting many local traders out of business and more than 1,200 jobs at risk. In 2018, an illegal cigarette production factory was discovered in County Louth, confirming fears that illegal tobacco is not only being smuggled into Ireland but is also being manufactured here. An illegal tobacco products research survey by Ipsos MRBI found that approximately €453 million worth of illegal cigarettes, or 23 million packs, were consumed in Ireland in 2018, representing 13% of the market and a loss to the Exchequer of some €211 million. In March of this year, Revenue uncovered an illegal alcohol bottling plant, also in Louth, which entails a potential substantial loss of revenue to the Exchequer and to alcohol retailers. It follows the discovery of a large-scale counterfeit vodka production plant in the same county in 2017. In the course of that year, Revenue seized 95,021 litres of illicit alcohol valued at almost €1 million.

Currently, gardaí are not in a position to do the job they would like to do because the powers of entry, search and seizure, as provided for in section 136 of the Finance Act 2001, may only be exercised by an officer of the Revenue Commissioners. This needlessly restricts the resources of the State in tackling the problem of illicit smuggling. My recommendation proposes that members of the Garda be given the same powers as customs inspectors to obtain a search warrant for the specific purpose of identifying excisable goods. This requires a small amendment to the 2001 Act to redefine the term "officer" for this purpose. It would support legitimate traders, shore up Exchequer revenues and increase enforcement authority against criminality. If the Minister of State is not in a position to accept my proposal today, I hope he will at least take it on board for the future. We have a confidence and supply agreement in operation and I do not intend to try to bring down the Government. My colleague, Deputy Breathnach, is keen to see this matter addressed. He represents Louth, which is one of the areas heavily affected by smuggling. There are Senators in the Chamber today from Border areas who may agree with what I am proposing. I look forward to the Minister of State's response to this sensible recommendation.