Written answers

Tuesday, 16 October 2012

Department of Finance

Customs and Excise Controls

Photo of Simon HarrisSimon Harris (Wicklow, Fine Gael)
Link to this: Individually | In context | Oireachtas source

To ask the Minister for Finance the number of customs enforcement officers allocated to combat illegal cigarette smuggling here; the locations at which they are based; the number in each location; and if he will make a statement on the matter. [44154/12]

Photo of Michael NoonanMichael Noonan (Limerick City, Fine Gael)
Link to this: Individually | In context | Oireachtas source

I am informed by the Revenue Commissioners, who are responsible for the collection of tobacco products tax, and for tackling the illicit trade in cigarettes and tobacco products, that they are a fully integrated tax and customs administration and that it is not possible to disaggregate resources deployed exclusively at any given time on policing illegal cigarette smuggling. Revenue currently has over 2,000 staff engaged on activities that are dedicated to target and confront non-compliance. These front-line activities include anti-smuggling and anti-evasion, investigation and prosecution, audit, assurance checks, anti-avoidance and debt collection. Revenue has an enforcement presence at all key airports and ports and at other strategic locations throughout the State. Enforcement strength at particular locations is regularly augmented with additional personnel on a risk-assessment basis, or when particular operations are taking place. Revenue enforcement officers also target the illicit tobacco trade at the post-importation level at inland locations.

The Deputy will appreciate that for reasons of operational sensitivity the Commissioners are not in a position to provide details of enforcement deployment at any given location. The Deputy will be aware that Revenue’s overall staff numbers have been reduced over the past two years in the context of Government policy on civil service numbers. However, the Revenue Commissioners assure me that their enforcement resources have been prioritised and are reinforced as necessary for particular operations.

Revenue employs a broadly based strategy in order to intercept illegal tobacco product and to prosecute those involved in the trade. This involves the optimal deployment of enforcement resources at points of importation and inland through the use of risk analysis and profiling methods and the employment of modern detection technologies. A key element in this strategy is the development and sharing of intelligence between enforcement agencies at a national, EU and international level. Revenue enforcement officers target this illicit trade at the post-importation level by carrying out intelligence-based operations and random checks at retail outlets, markets and private and commercial premises, in order to disrupt the internal distribution network for illicit tobacco.

In 2011, a total of 109.08m cigarettes and 11,158 kgs of tobacco, with a retail value of €49.95m, was seized by Revenue. There were 160 court convictions for cigarette smuggling and illegal selling of tobacco products, resulting in 45 custodial sentences, some of which were suspended, 10 community service orders and €254,650 in fines imposed.

In 2012 to date, a total of 89.8m cigarettes and 3,402 kgs of tobacco, with a retail value of €41.76m, have been seized. There have been 101 court convictions for cigarette smuggling and illegal selling of tobacco products, resulting in 41 custodial sentences, some of which were suspended, 3 community service orders and €174,550 in fines imposed.

Revenue avails of media reporting of major illegal tobacco seizures to remind persons tempted to buy cheap cigarettes from an irregular source of supply that there is a high possibility they are buying counterfeit goods, which provide an unknown set of health risks as the product is not the subject of quality control. The illegal tobacco trade also takes much needed funds from the exchequer, hurts legitimate trade and funds criminal activity.

Comments

No comments

Log in or join to post a public comment.