The cigarettes they were selling were real. But the 50 people accused in a multi-million-dollar crime ring weren't paying taxes on the goods, state officials said Wednesday.
By 5 p.m., 40 of the 50 suspects had been arrested, following a nearly four-year statewide investigation, according to Scott Sweetow, Special Agent in Charge with ATF. More suspects could be added to the list, he said.
"This is pure and simple, organized crime," Sweetow said. "When you have millions of dollars at stake, we get very concerned with those millions of dollars."
The crime ring includes both retailers and wholesalers who were practicing tax evasion on a large scale by purchasing counterfeit tax stamps, officials said Wednesday at an afternoon news conference in Gwinnett County.
"They gave the appearance that they were following the law, but in fact they didn't realize they were conspiring with agents," Sweetow said.
The crime ring has cost the state of Georgia millions of dollars worth of tax money. By selling non-tax paid cigarettes, criminals are able to net a substantial profit, officials said.
The investigation involved numerous agencies in the metro area and statewide, Sam Olens, state attorney general, said from the Lawrenceville Police Department headquarters. The sheriff's office and the district attorney in Gwinnett County were involved with the investigation, along with the state department of revenue, Olens said.
"When the agencies all work together, we can get the bad guys, we can take care of the swindlers and our office will prosecute the individuals to the fullest extent of the law," Olens said.
The suspects are not located only in Gwinnett County, but also in the Macon area and in outlying metro counties. Those involved in the crime ring are expected to face charges under the RICO Act, Racketeer Influenced and Corrupt Organizations, and for possession of tobacco with counterfeit stamps, Olens said.
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