Nassau Couple Sentenced For Illegally Distributing Untaxed Cigarettes: DA

A Syosset couple were sentenced for illegally distributing untaxed cigarettes on Wednesday, according to the Queens County District Attorney.

Ben C. Chen, 42, was sentenced to a year and a half to three years in prison while his wife, Qin F. Liu, 39, sentenced to five years’ probation after paying $70,000 in restitution.

In July, Chen plead guilty to second-degree attempted criminal possession of a forged instrument while Liu plead guilty to attempt to evade or defraud a tax on a cigarette or tobacco, the DA said.

As part of a long-term investigation, the two were arrested in March after a search warrant was executed in Flushing, Queens, which, according to New York City Department of Finance records, is owned by the couple, the DA said.

Inside the building, investigators recovered 375 cartons of cigarettes untaxed by New York State and 35.6 sheets of counterfeit tax stamps (3,540 individual tax stamps) issued by the Commonwealth of Virginia. Legitimate tax stamps come in rolls - not sheets, the DA said.

All cigarette packages sold in New York City must have a joint New York City/New York State tax stamp and only a licensed stamping agent can possess untaxed cigarettes and affix the tax stamp on the packages.

In addition, Manhattan resident 54-year-old Qing D. Zheng was also arrested in March, the DA said. His case is
pending.

"Tobacco bootleggers who illegally bring untaxed cigarettes from other locations into New York for resale cheat the public by failing to contribute their fair share to city and state coffers," District Attorney Richard A. Brownsaid. "For every dollar or two dollars a store owner or consumer saves by purchasing an untaxed pack of cigarettes, the honest taxpayer becomes the victim by being forced to dip into his or her own pocket to pay higher taxes.”