Cigarette scam costs Sylvan man $185,000

Area resident attempted to sell hundreds of thousands of illegal cigarettes on the black market in Red Deer.

  • Aug. 31, 2010 9:04 p.m.

A Sylvan Lake man has been fined $185,000 for arranging to sell hundreds of thousands of contraband cigarettes on the black market in the Calgary and Red Deer areas.

On June 21, Scott Smith, 47, of Sylvan Lake, pleaded guilty to two charges under the federal Excise Act, specifically to sell, offer or have possession of unstamped tobacco.

Smith received a fine of $150,000 relating to an investigation in the Calgary area and a fine of $35,000 relating to a similar investigation in the Red Deer area.

He was given two years to pay these fines.

RCMP said the charges and fines bring to a close two investigations which began in December, 2008. The probes identified Smith as having arranged to have contraband cigarettes shipped to himself in order to sell these on the illicit market in the Red Deer area.

Police said a shipment of 657,800 contraband cigarettes were discovered in Calgary and another shipment of 150,000 cigarettes was discovered in the Red Deer area.

RCMP said these cigarettes, which had been seized, were destroyed under the direction of the Calgary-based RCMP Customs and Excise Section. The cigarettes were destroyed by having them crushed and buried at a landfill site.

In addition to these guilty pleas, Smith previously had pleaded guilty in March, 2010 to similar charges in Ontario where he had been apprehended transporting 3,400 cartons of cigarettes destined for Alberta.

He received four months in jail in addition to time served. During this seizure his truck and trailer were seized and ordered forfeited to the Crown.


Just Posted

Additional closures as water levels rise in the Red Deer River

Red Deer River rose by half a metre over the past twenty-four hours

City art gallery to close after 20 years in the business

Lacombe mainstay set to close at the end of April

Central Alberta dancers ‘shimmy’ for a great cause

Shimmy Mob will take place in more than 169 locations all over the world

Johnny 2 Fingers and the Deformities play The Vat April 27th

Moose Jaw band is on a 39-day national tour from Quebec City to Vancouver

Toronto van attack suspect faces 10 counts of first-degree murder

The suspect in the Toronto van attack that killed 10 people and injured 15 others on Monday is a 25-year-old man named Alek Minassian

Turning vehicles into deadly weapons is easy and cheap, expert says

Not all recent vehicle attacks have been linked to terror groups, says Candyce Kelshall

Toronto van attack accused was briefly in Canadian Armed Forces

Alek Minassian was a member of the forces from Aug. 23, 2017 until Oct. 25

Cause of plane crash that killed former Alberta premier Jim Prentice to be released

The findings of investigation into the plane crash that killed four set to be released.

High water around Pigeon Lake area Apr. 22

PHOTO STORY Lots of snow melt means lots of water running…

One suspect sought by Leduc RCMP after bank robbery

Leduc RCMP seek public assistance for robbery

‘Enough is enough’: G7 ministers agree to call Russia out

‘Enough is enough’: G7 ministers agree to call Russia out on ‘malign’ behaviour

Cosby jury to decide: Serial rapist or con artist’s mark

Bill Cosby is at the courthouse Tuesday morning ahead of closing arguments in his sexual assault retrial.

Trump: ‘Our hearts are with the grieving families in Canada’

U.S. President Donald Trump is offering his condolences to Canadians

Most Read