Victorian authorities will finally be given the power to shutter dodgy smoke shops, and landlords will be given the power to terminate the leases of illegal tobacco shops, under what the Allan government is touting as “Australia’s toughest illicit tobacco laws”.
Minister for Casino, Gaming and Liquor Regulation Enver Erdogan will detail the proposed legislation on Sunday, marking a significant escalation in the state’s efforts to extinguish a violent black-market trade linked to more than 200 firebombings.
Under the proposed changes to be introduced this year, building owners who “knowingly” lease their storefronts to illicit operators will face massive financial penalties, according to a Victorian government press release. However, they will also be granted new legal powers to kick out businesses caught selling illegal products.
The announcement follows a slow start for the newly established regulator, Tobacco Licensing Victoria (TLV). On the first day of the new licensing requirement in February, The Age found smuggled cigarettes being sold from an unlicensed shop just 100 metres from the regulator’s own headquarters.
But in the four subsequent weeks of operation, Erdogan and Victoria Police claim the state has wiped almost $5 million worth of illicit stock from shelves, including more than 3.19 million cigarettes, 2243 cigars, 40 kilograms of loose-leaf tobacco and 32 kilograms of shisha tobacco.
Under the new regime, inspectors will be authorised to destroy seized illicit tobacco pre-trial to ensure the product cannot be recirculated.
“Illicit tobacco fuels organised crime, and we’re shutting down the operators who think they can get away with it,” Erdogan said in a statement announcing the new laws.
It is estimated that up to 60 per cent of all cigarettes sold in Australia come from black-market sources.
The multibillion-dollar illicit trade has been dominated by rival crime families, including a cartel known as “The Commission” run by gangland boss Kazem “Kaz” Hamad.
While Hamad is currently in an Iraqi prison, the vacancy has sparked a renewed wave of violence across Melbourne as new players compete for a slice of the lucrative market.
Legal businesses, which have long called for stronger enforcement as they struggle to compete with $20 illegal packets, will likely welcome the announcement.
More to come.
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Rachael Dexter is a journalist in the City team at The Age. Contact her at rachael.dexter@theage.com.au, rachaeldexter@protonmail.com, or via Signal at @rachaeldexter.58Connect via Facebook or email.
