FOR FURTHER INFORMATION CONTACT

AUSA VICKIE E. LEDUC at 410-209-4885  

July 28, 2006

FOR IMMEDIATE RELEASE                  

http://www.usdoj.gov/usao/md                                       

TOBACCO SHOP OWNER SENTENCED FOR
TRAFFICKING IN CONTRABAND CIGARETTES

Maryland Tax Loss of $427,000

BALTIMORE, Maryland - Enoch Moon, age 39, of Elkridge, Maryland was sentenced today to 6 months in prison, followed by 3 years of supervised release, for selling and distributing contraband cigarettes, announced United States Attorney for the District of Maryland Rod J. Rosenstein. U.S. District Judge Catherine C. Blake also ordered Moon to pay restitution of $427,000 and to forfeit $740,000.

According to the statement of facts provided to the court as part of the plea agreement, Moon owned and operated the Ben Lex Tobacco Shop in the Lexington Market, Baltimore, and the Discount Tobacco Outlet in Towson, Maryland. From March 2001 to 2004, Moon purchased huge quantities of cigarettes over the internet, many from wholesalers operating on Indian reservations. These cigarette purchases were typically much cheaper because the wholesalers did not pay state excise taxes. The cigarettes bore no evidence that the applicable state taxes were paid and the wholesalers did not report these cigarette purchases to the Comptroller of Maryland. Through his retail tobacco businesses, Moon purchased and resold substantially more than 60,000 cigarettes that he knew did not bear evidence of the payment of Maryland cigarette taxes. The amount of state tax loss on the sale of these contraband cigarettes was about $427,000.

United States Attorney Rod J. Rosenstein praised the investigative work performed by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Maryland Comptroller’s Office. Mr. Rosenstein also thanked Assistant U.S. Attorney Christopher Gramiccioni, who prosecuted the case.

This page last modified—July 28, 2006