Brazil Seizes 500,000 Illegal E-Cigarettes, Company to Lose License

Nov.08.2024

According to previous reports, Brazil's Federal Revenue Service seized 500,000 illegal e-cigarettes of the "IGNITE" brand along the coast of São Paulo state. Authorities have stated that they will revoke the involved company's CNPJ registration and will continue to combat smuggling activities.

According to a report by G1 on November 7th, the Brazilian Federal Revenue Agency recently seized 500,000 illegal e-cigarettes at the Santos port on the coast of the state of São Paulo. Minister Robinson Barreirinhas stated on Thursday (7) that companies involved in smuggling dangerous products such as tobacco, e-cigarettes, and weapons will lose their national corporate registration (CNPJ), meaning their operating permits.

Last year, approximately 1.5 million e-cigarettes were confiscated at the Brazil border. Barreirinhas predicts that by 2024, the number of confiscations could exceed 3 million. He stated that merely suspending the company registration number (CNPJ) of businesses involved in such smuggling activities is not enough. Tax auditors need to provide guidance first, as some business owners may not be fully aware of the legal status of e-cigarettes in Brazil.

Last week, the official explained that many non-compliant products leaving Brazilian ports would eventually flow back into the country through smuggling. This smuggling chain involves organized crime and money laundering activities. The packaging of the products bears Portuguese instructions, providing strong evidence that criminals are attempting to reintroduce them into Brazil.

These products pass through ports in Brazil, are then exported to other countries, and ultimately flow back in the form of smuggling. Such actions must not be allowed.

He added that there are signs indicating that criminals may be importing smuggled e-cigarettes while exporting drugs, suggesting the possibility of a trade exchange. Those who purchase these smuggled products are essentially funding such criminal activities.

We have found that many people are carrying large amounts of cash at the border, sometimes totaling several million reais.

He emphasized that authorities will conduct more thorough investigations through customs and domestic and foreign tax inspections to trace the flow of funds, in order to identify the owners of the funds and the masterminds behind transferring the funds overseas.

References:

[1] Secretário da Receita defende suspender CNPJ de empresas envolvidas com contrabando de cigarros e 'vapes'

Also Read:

[1] Brazil police seize 500,000 illegal e-cigarettes, including "IGNITE" brand

[2] Brazil police seize nearly 2,000 illegal e-cigarettes from brands including "ELFBAR" and "IGNITE"

[3] Brazilian police seize 421 illegal e-cigarettes, including OXBAR and Lost Mary

[4] Brazil Suspends Operations of Non-Compliant Companies Starting October 26

[5] Brazilian Federal Highway Police seize illegal electronic devices on highway

[6] Brazilian Federal Police Seize 7000 Illegal E-Cigarettes in Highway Check

[7] Brazilian Federal Police seize illegal e-cigarettes worth millions

#E-cigarettes #Regulation #South America #Brazil

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