A corner shop made around £1m from selling counterfeit cigarettes, a court has heard. More than 100,000 cigarettes and eight kilos of tobacco were seized during the investigation into the store and its bosses as well as tens of thousands of pounds in cash. Swansea Crown Crown heard the shop was a largely cash-based operation and was run “primarily for the purposes of selling illicit tobacco”. Sending the two directors of the business to prison a judge said the men had been “overtaken” by greed.
Lee Reynolds, prosecuting for Carmarthenshire Council, said a series of test purchases were carried out at the Groszek shop on Cowell Street in Llanelli town centre in 2021 and 2022 during which illicit cigarettes were bought. Searches were then carried out of the home addresses of the directors of the business, Shoresh Mhmood and Aran Baker. The court heard 89,000 counterfeit cigarettes including brands such as Mayfair were found at Baker’s home and another 9,500 cigarettes along with 170 pouches of Amber Leaf tobacco were found at Mhmood’s. Also at Mhmood’s home was a safe containing £32,699 in cash. Read about a criminal gang which was running a multi-million-pound operation selling counterfeit cigarettes and nitrous oxide canisters through a network of corner shops in south Wales
A financial investigation into the defendants revealed that banks accounts in the name of Mhmood had received cash credits totalling more than £139,300 between July 2020 and October 2022 while over the same period accounts in the name of Baker received cash credits totalling £9,050. Another account linked to the business received cash credits totalling £34,115.
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Mr Reynolds said it was the prosecution case that the Cowell Street premises was a largely cash-based operation and was a “very busy and successful shop run primarily for the purposes of selling illicit tobacco”. He said handwritten records discovered during the investigation suggested that on the quietest day of the week – usually Sundays – the shop was taking £615 from the sale of illicit tobacco while on busy days it was up to £2,225. The prosecutor said the average daily figure was more than £1,200 and that across the the 817-day span of the indictment that would result in a value of just under £1m. Read about a Swansea corner shop that was making £1,200 a day selling counterfeit cigarettes here
The UK government has made cracking down on illegal tobacco a priority. It says the trade involves a range of products sold illegally without paying taxes and providing a cheap, unregulated supply of tobacco to those who would otherwise be deterred by the cost.
Aran Baker, aged 48, of Penciliogi, Llanelli, and 35-year-old Shoresh Salih Mhmood, of Dillwyn Street, Llanelli, had both previously pleaded guilty to engaging in fraudulent business practices when they appeared in the dock for sentencing. The court heard Baker has previous convictions for trademark offences and tobacco supply offences.
Barrister Huw Davies represented both defendants. Mitigating for Baker he said his client was a married father-of-two whose motivation for the offending had been to provide financially for his family and to pay off personal debts. He said Baker was a hard-working individual and said immediate custody would have a “devastating” effect on the family. Mitigating for Mhmood, the barrister said the defendant had two young sons and had always worked hard after arriving in the UK from Iraq.
Judge Huw Rees said he had heard that both men were hard-working individuals with family responsibilities and said it was clear that had been “overtaken by greed”. With one-quarter discounts for their guilty pleas Baker was sentenced to 52 months in prison and Mhmood to 41 months in prison. The defendants will serve up to half those sentences in custody before being released on licence to serve the remainder in the community.
The court heard a proceeds of crime investigation will now be launched into the defendant’s finances will a view to recovering their ill-gotten gains. For the latest court reports, sign up to our crime newsletter here
Speaking after the sentencing a spokesperson from Carmarthenshire County Council said: “The illegal tobacco trade poses significant risks not only to public health but also to the integrity of our communities and local businesses. This case highlights the devastating impact of illicit activity, from undermining smoking cessation efforts to funding organised crime. Carmarthenshire County Council is committed to protecting residents from the harm caused by these unlawful practices and ensuring that those who flout the law are held accountable. I urge everyone to report any suspected illegal tobacco activity to help us safeguard public health and the environment.”
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