How Is Illegal E-Cigarette Operation Punished?

How is illegal e-cigarette operation punished? Recently, e-cigarettes have become popular, and we often see news about illegal e-cigarette operations, as the profits from e-cigarettes are indeed very high. However, operating e-cigarettes illegally is against the law, so the state is strict about this. Today, the Heated Not Burned Information Network will educate everyone about the punishment for illegal e-cigarette operations.

How is illegal e-cigarette operation punished? Let's look at some cases.
 
Case 1 of illegal e-cigarette operation

Defendant Lu, during the period from December 2017 to March 2018, purchased IQOS-type heated tobacco products (commonly known as "tobacco sticks") from others without obtaining a tobacco retail license, and sold them at a markup through WeChat or Taobao stores to make a profit. It was found that the total sales of "tobacco sticks" amounted to over 70,000 yuan. The Shanghai Baoshan Tobacco Monopoly Bureau and the Baoshan Branch of the Shanghai Public Security Bureau seized 226 boxes of Heets, Marlboro, and other brands of "tobacco sticks" worth over 60,000 yuan that had not been sold at the defendant Lu's home and at the express company. The court sentenced defendant Lu to one year and two months in prison and fined him 50,000 yuan.

Case 2 of illegal e-cigarette operation

On January 25, 2019, the Donghai County People's Court in Jiangsu Province broadcasted the case of Wang Jiangtao and others illegally operating e-cigarettes on CCTV news. The defendants Wang Jiangtao and five others were sentenced to criminal penalties for illegally operating e-cigarette products. Wang Jiangtao and five others were sentenced to fixed-term imprisonment ranging from seven years and six months to five years and two months, and fines ranging from 150,000 to 70,000 yuan. Defendant Fu Moujuan was sentenced to ten months in prison, with a one-year probation and a fine of 20,000 yuan. This case was a major case supervised by the Ministry of Public Security and the State Tobacco Monopoly Administration since August 24, 2018, involving over 100 million yuan.

Case 3 of illegal e-cigarette operation

According to media reports, recently, a 26-year-old young man in Beijing was sentenced to one year in prison with a one-year probation for illegally selling e-cigarette tobacco sticks by the Changping Court.

The young man, surnamed Li, came to work in Beijing after graduation and worked as an online supervisor in a technology company with a monthly salary of 20,000 yuan. To earn extra money, Li started reselling tobacco sticks online. The judge handling the case stated that Li had never obtained a tobacco business license, and the cigarettes he sold were not imported through normal channels, and his sales behavior disrupted the order of the tobacco market. The court sentenced him to one year in prison, with a one-year probation, and fined him 10,000 yuan.

How is illegal e-cigarette operation punished? Let's look at the legal provisions.

Illegal business operations refer to engaging in the sale of specialized or restricted items without permission, buying and selling import and export licenses, certificates of origin, and other legal or administrative regulations that require business licenses or approval documents, as well as engaging in other illegal business activities that disrupt market order and are serious in nature. Individuals or units engaging in other illegal business activities that fall under any of the following circumstances shall be prosecuted:

1. Individuals engaging in illegal business operations amounting to over 50,000 yuan, or illegal gains exceeding 10,000 yuan;

2. Units engaging in illegal business operations amounting to over 500,000 yuan, or illegal gains exceeding 100,000 yuan.

Illegal business activities that do not meet the prosecution standards can only be treated as general illegal acts.

Violating national regulations, engaging in any of the following illegal business activities that disrupt market order and are serious in nature, shall be sentenced to fixed-term imprisonment of less than five years or criminal detention, and shall be fined or have their illegal gains confiscated, with fines ranging from one to five times the illegal gains; if the circumstances are particularly serious, they shall be sentenced to fixed-term imprisonment of five years or more and shall be fined or have their illegal gains confiscated or property confiscated:

1. Engaging in the sale of specialized or restricted items without permission as stipulated by laws and administrative regulations;

2. Buying and selling import and export licenses, certificates of origin, and other legal or administrative regulations that require business licenses or approval documents;

3. Illegally engaging in securities, futures, or insurance business without approval from the relevant state authorities;

4. Other illegal business activities that seriously disrupt market order.

How is illegal e-cigarette operation punished? Based on the above cases, the court looks at the size of the illegal operation amount when sentencing. Generally speaking, it will impose fixed-term imprisonment and fines. The state is also strict about illegal e-cigarette operations, so everyone must not engage in illegal e-cigarette operations without a business license.