Conflict of Laws: First Nation Seeks Return of Seized Smokes

Montana First Nation maintains reserve tobacco sales fall under federal statute, which means provincial laws don't apply.

January 18, 2011

EDMONTON, ALBERTA - The chief and council members of a First Nation on Hobbema are demanding that Alberta province return about 75,000 cartons of cigarettes seized earlier this month, the Toronto Sun reports.

Edmonton lawyer Chady Moustarah said the Alberta Gaming and Liquor Commission (AGLC) didn't have the jurisdiction to seize tobacco from the Montana First Nation because the cigarettes fall under federal jurisdiction.

"It's not contraband and it's not illegal. This is approved by the Canadian government," Moustarah said. "The mandate of the overwhelming majority of the people is to pursue this vigorously and demand the return of the tobacco immediately."

On January 7, the AGLC, along with Hobbema RCMP, seized 75,000 cartons of cigarettes from First Nation claiming they weren't properly marked for sale within the province, a violation of the provincial Tobacco Tax Act.

The cigarettes were seized in a Quonset on the Montana First Nation, one of four first nations in Hobbema, located 60 miles south of Edmonton.

According to Moustarah, who's representing the chief of the Montana First Nation, reserve tobacco falls under federal statue, which means provincial laws don't apply as the cigarettes were being sold on reservations.

"They are saying because you didn't have a license, you can't hold this so we can seize this," said Moustarah. "What we are saying is they don't have to abide by the provincial tax act because the federal government gave us the green light."

Moustarah said he would seek legal redress this week if the tobacco products are not returned.

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