Hangzhou Vendor Arrested for Selling Unlicensed Trendy Vape Pods

Recently, the new IQOS series devices and tobacco stick products have quietly gained popularity. Compared to traditional cigarettes, these new types of tobacco heat tobacco leaves or extracts instead of directly burning them, allowing for inhalation without ignition, claiming to be healthier than traditional cigarettes. As a result, some people have started to capitalize on this "trendy e-cigarette"; however, selling e-cigarette pods without the appropriate sales qualifications is actually a violation of the law.
 

Recently, the Yuhang District Procuratorate approved the arrest of a suspect, Hu, for illegal business operations related to selling e-cigarette pods.

Hu is a night market vendor who began selling e-cigarette devices and pods at the night market since April 2018, while also posting sales information on WeChat. Some customers purchased directly from Hu at the night market, while others contacted him through WeChat for orders.

"I knew this was a good way to make money, so I started doing it," Hu confessed after being apprehended. After discovering this "business opportunity," Hu began sourcing products from various places, purchasing and selling from Beijing, Heilongjiang, and other locations to customers in need.

According to staff from the Yuhang District Tobacco Monopoly Bureau, the types of e-cigarettes mainly include atomized cigarettes and heated non-combustible tobacco. Since heated non-combustible tobacco e-cigarette products contain tobacco product components, they are still classified under the monopoly category in China. Therefore, Hu's actions of selling pods without qualifications constitute illegal business operations.

In April 2019, law enforcement and the Yuhang District Tobacco Monopoly Bureau seized 356.9 cartons of cigarettes, including eight varieties such as "HEETS" and "Marlboro," worth over 70,000 RMB, from Hu's home. Preliminary investigations revealed that Hu's total sales of the aforementioned pods had exceeded 300,000 RMB.

"The 'HEETS' and 'Marlboro' brand pods sold by Hu through offline stalls or online sales are imported tobacco products and are classified as state monopoly tobacco products," said prosecutor Ding Lingmin. "Hu engaged in tobacco trading activities without permission from the tobacco monopoly administrative authority and without a tobacco retail license, which violates the criminal law and should be held criminally liable for illegal business operations."

The prosecutor stated: In this case, Hu's unauthorized operation of tobacco products violates Article 225 of the Criminal Law of the People's Republic of China, constituting illegal business operations. The prosecutor reminds everyone that operating state monopoly tobacco products must comply with national tobacco monopoly management laws and regulations and obtain a tobacco monopoly license before engaging in business.