The Ocean City Police Department uncovered a cigarette smuggling scheme that resulted in the criminal citation of a local businessman for violating Maryland tax regulations.
Rustam Pachev, 30, was fined by the Maryland Comptroller’s Office for selling out-of-state cigarettes from Delaware in his Maryland store, the Smoky Shop at 106 Baltimore Avenue, in order to evade duties imposed by the state.
Delaware’s cigarette tax is 40 cents a pack lower than Maryland’s figure.
The tobacco product was not affixed with the proper Maryland tax stamp, and the sale of smuggled cigarettes prevents the state from receiving revenue from those transactions.
The joint investigation, led by the Ocean City Police Department, included assistance from Homeland Security Investigations and the Maryland Comptroller’s Office.
