Men face jail for £500,000 tobacco racket uncovered in Walsall

The haul was uncovered during three raids on a Walsall shop and neighbouring home, Wolverhampton Crown Court heard.

Trading standards officers found over 100,000 illicit and counterfeit cigarettes during swoops on the Polonia Polski Sklep store in Caldmore Green, that took place in 2013, 2014 and 2016, explained Mr Mark Jackson, prosecuting on behalf of Walsall Council.

The cigarettes were either non existent brands, probably produced in China, or copies of legitimate makes with fake trademark packaging.

There were also a large number of genuine packets, which had been smuggled into the country without any duty being paid on them.

These all sold for as little as £3-a-packet, up to £7 less than the price of legitimate cigarettes.

Some of the haul was found stashed in hollowed out walls, microwaves and fridges, the court was told.

During a raid in May 2014, inspectors searched an adjoining property, leased to Mr Mohamad Hsin, and found 65,000 JPS cigarettes amongst various other illicit tobacco products, revealed Mr Jackson.

Both 44-year-old Hsin, who lived above the shop, and Hassan Ali Reza, aged 29, of Friday Acre, Lichfield, were linked with the store, the court heard.

The shop was allegedly controlled by Hsin but he claimed to have sold the lease to Reza. Hsin denied involvement in the conspiracy, alleging he was out of the country during the first two raids.

Reza pleaded guilty to conspiracy to sell the counterfeit tobacco products while Hsin denied the charge but was unanimously found guilty after a trial yesterday.

The two men have been remanded on conditional bail for reports until April 3 when they will be sentenced. Recorder Jacqueline Carey told Hsin: "Prison is something that is on my mind but I need to know more about the people involved."