Grocery store shopkeeper convicted and jailed for dealing with duty-not-paid cigarettes
A grocery store shopkeeper was sentenced to eight weeks' imprisonment by the Fanling Magistrates' Courts yesterday (September 2) for dealing with duty-not-paid cigarettes, in contravention of the Dutiable Commodities Ordinance (DCO) (Cap. 109).
During a Customs' anti-illicit cigarette operation on San Shing Avenue in Sheung Shui on January 30, 2026, a grocery store was found to offer cigarettes for sale at a price less than the statutory duty imposed thereon. Customs officers thus took prompt enforcement actions to arrest a 62-year-old female shopkeeper, and seized a total of 8 560 illicit cigarettes, with an estimated market value of about $39,000 and a duty potential of about $28,000.
Customs welcomes the sentence. The custodial sentence has imposed a considerable deterrent effect and reflects the seriousness of the offences.
After the amended DCO took effect on September 19, 2025, cigarettes sold or offered for sale at a price lower than the tobacco duty must be proven to be duty-paid, otherwise the cigarettes are presumed to be duty-not-paid. Customs also keeps a close eye on the market, patrols frequently and takes prompt enforcement actions.
Customs reminds cigarette retailers not to sell cigarettes of unknown source and stay alert to cigarettes supplied at a price less than the statutory duty. Under the DCO, if a cigarette is offered for sale or supply at a consideration the value of which is less than the rate of duty imposed on the cigarette, the cigarette is dutiable goods. In addition, anyone involved in dealing with, possession of, selling or buying duty-not-paid cigarettes commits an offence. The maximum penalty upon conviction is a fine of $2 million and imprisonment for seven years.
Members of the public may report any suspected illicit cigarette activities to Customs' 24-hour hotline 182 8080, its dedicated crime-reporting email account(crimereport@customs.gov.hk) or online form (eform.cefs.gov.hk/form/ced002).
Grocery store shopkeeper convicted and jailed for dealing with duty-not-paid cigarettes Source: HKSAR Government Press Releases
