News from New York State Department of Taxation and Finance

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Tax Agents Bust Six In Cattaraugus County For Possession Of Unstamped Cigarettes

ALBANY, NY (05/21/2008; 1645)(readMedia)-- New York State Department of Taxation and Finance Commissioner Robert L. Megna today announced that six people were recently arrested in three separate cases for possessing 315 cartons of illegal cigarettes purchased from local smoke shops in Salamanca and Irving.

Five of the six people arrested live in New Jersey, Pennsylvania and Rhode Island.

In the first case, Eugene Cabral, 45, of 20 Yeaton Street, Coventry, Rhode Island, and John Gelsomino, 46, of 510 Davisville Rd., North Kingston, Rhode Island, were arrested in Cattaraugus County on May 11 and found to be in possession of 123 cartons of unstamped cigarettes and $8,779 in cash.

They were arrested after Salamanca Police stopped Cabral for speeding and a large quantity of cigarettes were seen in the rear of the vehicle. Tax Department investigators were called and determined that the unstamped cigarettes were purchased from an Indian reservation smoke shop in Irving.

As neither Cabral nor Gelsomino are licensed to possess unstamped cigarettes in New York, they were each charged with felony attempt to evade and defeat tax and felony possession of unstamped cigarettes. They were taken to Cattaraugus County Jail and later released on bail.

In the second case, William L. Patton, 58, of 132 Campbell St., Kittanning, Pennsylvania, and David J. Bemish, 54, of 1469 Butler Rd., Worthington, Pennsylvania, were arrested in Cattaraugus County on May 6, and found to be in possession of 116 cartons of various brands of unstamped cigarettes.

Tax Department investigators working in Salamanca observed the men at an Indian reservation smoke shop, loading several half cases of cigarettes into their vehicle. They were later stopped by the tax agents and Cattaraugus County sheriff’s deputies.

It is alleged that Patton and Bemish traveled to New York to purchase the unstamped cigarettes. They are each charged with felony attempt to evade and defeat tax and felony possession of unstamped cigarettes. They are scheduled to appear in Town of Carrollton Court on June 9.

Barbara Hurley, 50, of 3637 Church Hill Rd., Dundee, New York, and Joyce Jones, 72, of 1509 Tenth Ave., Tom’s River, New Jersey, were arrested in Cattaraugus County on May 5 and found to be in possession of 75.9 cartons of various brands of unstamped cigarettes.

Tax Department investigators working in Salamanca observed the women making multiple trips between their vehicle and an Indian reservation smoke shop, loading the unstamped cigarettes into their car. The tax agents and Cattaraugus County sheriff’s deputies later stopped the vehicle and gathered evidence showing that the unstamped cigarettes were destined for New Jersey and Dundee.

Hurley and Jones are charged with felony attempt to evade and defeat tax and felony possession of unstamped cigarettes. The women are to appear in Allegany Town Court on June 2.

Commissioner Megna said, “The law is specific as to who may possess unstamped cigarettes. Individuals who purchase and transport bulk quantities of unstamped cigarettes for redistribution to others violate the law. The Tax Department takes cigarette bootlegging seriously and will aggressively prosecute those who traffic in this illegal trade.”

In all three cases, tax agents confiscated the unstamped cigarettes.

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