NEW: Together with 12 partners, we reveal how #ChinaTobacco 🇨🇳 — the world’s largest tobacco company — has flooded black markets worldwide 🚬
Ethically dubious and, in some cases, outright illegal practices are often involved — especially smuggling. occrp.org/en/loosetobacc…
What is China Tobacco?
It’s a Chinese state-owned conglomerate that produces 44% of the world’s cigarettes. Most are smoked domestically, but int’l sales have surged since it jumped on China’s Belt and Road Initiative in 2015.
Since China Tobacco went global, its brands — like Regina or Marble — have popped up around the world, including in countries where it's illegal to sell them.
The cigarettes are often made in factories outside of China with tobacco sourced from farms abroad as well.
How do these cigarettes end up in illegal markets? The answer often involves smuggling.
Reporters have uncovered networks connected to #ChinaTobacco that moved its cigarettes to smugglers in Latin America.
While the scale of #ChinaTobacco growth is unprecedented, its tactics are hardly novel.
Experts suggest the Chinese company has taken a page out of the #BigTobacco playbook: flood countries with cigarettes, working with smugglers to do so.
Because China Tobacco is wholly state-owned, it puts the Chinese gov’t in the awkward position of working directly against the "Framework Convention on Tobacco Control," a global treaty overseen by the @WHO aimed at reducing smoking.
The #ChinaTobacco project consists of several investigations, most of which will be published throughout today.
Subscribe to the OCCRP newsletter to get detailed breakdowns of our latest work. mailchi.mp/occrp/subscrib…
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China Brasil Tobacos Exportadora (CBT) is a joint venture between the Brazilian subsidiaries of a US firm and China Tobacco.
Though China Tobacco has evaded the scrutiny faced by its US-owned partner, including lawsuits from labor rights defenders. 2/ occrp.org/en/loosetobacc…
A farm contracted by one of the firms that owns CBT was found using "slave labor." The firm was held partly responsible, but the penalties were later removed under new legislation.
In another case, workers were forced to resign after revealing their pregnancies to bosses. 3/
Leaked trade documents helped reporters identify Ukrainian companies that bought cigarettes from China Tobacco’s factory in Romania, which has flooded Ukraine with 500m+ cigarettes over the past seven years.
Three of the buyers are under investigation for smuggling. 2/
One firm under investigation, we reveal, is owned by Vadym Sliusariev, a former border official with ties to Ukraine’s president.
Sliusariev was recently accused of smuggling by the former president of Georgia. 3/
Reporters reveal that the China National Tobacco Corporation — a state enterprise known as “China Tobacco” — is connected to a network of Panama-based companies that have shipped huge amounts of its cigarettes to Latin American countries where there is no legal market. 2/
Why would a tobacco company want its cigarettes sold on the black market?
It’s a tactic straight from the Big Tobacco playbook: allow your brands to flood illicit markets, then lobby to legalize them. China Tobacco is just following suit, according to experts. 3/
Over the past decade, Syria has become the region’s preeminent supplier of Captagon, the former brand name for a stimulant banned in the 1980s. 2/
The cash-strapped Syrian government has been accused of profiting from the robust trade. Huge amounts of the product are known to flow through the Assad family fiefdom of Latakia. 3/
NEW: Leaked bank records reveal transactions between a company controlled by a Montenegrin tycoon and the #TroikaLaundromat, a multibillion-dollar money laundering scheme exposed by OCCRP in 2019.
The property developer is suing MANS, our member center, and two newspapers for reporting on his land deals — including one involving ex-Supreme Court President Vesna Medenica.
Today’s investigation uncovers new details of his financial activity. 2/
When Bećirović purchased land from Medenica, the company he used was a subsidiary of his Cyprus firm Caldero Trading Ltd., which received $3.4m from Industrial Trade Corp., an offshore at the heart of the #TroikaLaundromat. 3/
NEW: OCCRP has won awards for investigations into Raimbek Matraimov, a corrupt former customs official from Kyrgyzstan who enriched himself on the job.
It turns out his successor also lives large despite a modest government salary. 1/ occrp.org/en/the-matraim…
Zamirbek Karashev was one of Matraimov’s successors as deputy head of customs before being dismissed in April. We found that his daughter attended a luxury private school and went on eye-popping trips. 2/
The Karashev and Matraimov families also vacationed together at a luxury Thai resort, staying in villas complete with a housekeeper and chef. It’s a pattern seen before, when Matraimov’s wife posted photos from Dubai, Turkey, and the Maldives. 3/ occrp.org/en/the-matraim…