In the Lviv region, detectives of the Territorial Department of the Economic Security Bureau in Lviv region have halted the illegal sale of vape products without excise tax stamps. According to the investigation, the network comprised more than 70 specialised shops across Ukraine, over 40 of which operated in the region.
It was established that electronic cigarettes and liquids for them were sold in shops in Lviv, Vynnyky, Sokilnyky and Novoyavorivsk. The official tenant of the retail premises was a company which subsequently transferred them for use to controlled individual entrepreneurs. They were the ones who directly sold the products, which made it possible to disguise the illegal sales as the activities of legitimate entrepreneurs.
As part of the criminal proceedings, detectives carried out 25 searches in shops and warehouse premises used by the participants in the scheme. More than 160,000 containers with liquids for electronic cigarettes, 150,000 cartridges for Pod systems, 3,500 electronic cigarettes and over UAH 3.6 million in cash were seized. Laptops, mobile terminals, financial and business documents, rough notes and other materials that may confirm the illegal sale of products were also seized.
The estimated value of the seized vape products is UAH 55 million. The pre-trial investigation is ongoing on the grounds of criminal offences provided for in Part 1 of Article 199 of the Criminal Code of Ukraine (illegal manufacture, storage, acquisition, transportation, mailing, import into Ukraine or sale of excise tax stamps) and Part 2 of Article 204 of the Criminal Code of Ukraine (illegal manufacture, storage, sale or transportation of excisable goods).
Once expert reports have been obtained, a decision will be taken on notifying the organisers of the scheme of suspicion. Procedural guidance is being provided by prosecutors of the Lviv Regional Prosecutor’s Office, and operational support is being provided by officers of the Security Service of Ukraine Office in Lviv region.