Imperial Brands UK has issued a warning to commercial landlords that they could face prosecution if their retail tenants are caught selling illicit tobacco.
The tobacco giant said its investigations had identified multiple premises where retail tenants had been found to be selling counterfeit or illegal tobacco products, despite repeated warnings and enforcement activity.
Imperial said it had now written directly to landlords of these premises, formally notifying them of the illegal activity and the risks they face if it continues.
Currently the sale of counterfeit goods is a criminal offence carrying up to 10 years’ imprisonment and unlimited fines. Landlords who knowingly benefit from such activity may face prosecution under the Proceeds of Crime Act, with potential penalties of up to 14 years in prison.
In its communications to landlords, Imperial said it was “urging landlords to take swift and decisive action”.
This includes enforcing lease terms prohibiting illegal activity, issuing warnings to tenants, co-operating with enforcement authorities and evicting non-compliant occupiers.
For landlords who fail to act, Imperial said it would pursue legal remedies including seeking injunctions and supporting criminal investigations.
“Landlords cannot turn a blind eye. If you continue to receive rent from tenants engaged in illegal trade, you may be putting yourself at risk of criminal prosecution,” said Imperial Brands UK head of corporate and legal affairs Deirdre Healy.
“This is about accountability across the supply chain. Landlords play a critical role and must act responsibly when illegal activity is taking place on their premises.”
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