PRESS RELEASE
For Immediate Release:

June 23, 2005

Contact: William J. Smith
(718) 556-7150

D.A. Donovan, Commissioner Eristoff Announce Takedown on Retailers Evading Taxes on Cigarettes
***Operation of D.A.’sOffice & NYS Department of Taxation and Finance yields 9 arrests****

STATEN ISLAND, NY – Richmond County District Attorney Daniel M. Donovan, Jr. and New York State Commissioner of Taxation and Finance Andrew S. Eristoff today announced the execution of search warrants, conducted Wednesday afternoon across Staten Island, which yielded the arrest of 9 individuals for the purchase of cigarettes from an unlicensed vendor with the knowledge that the cigarettes contained counterfeit NYC/NYS tax stamps and that the appropriate taxes were not paid.

“My office is committed to aggressively pursuing contraband cigarette traffickers and those who evade our tax laws. Cigarette smuggling feeds illegal markets, deprives states of badly needed tax revenue, and allows those who participate to gain a grossly unfair price advantage over legitimate sellers," stated District Attorney Donovan. “I am grateful to the New York State Division of Taxation and Finance for their assistance in this investigation.”

New York State Commissioner of Taxation and Finance Andrew S. Eristoff said, "We will continue to probe retailers who traffic in counterfeit cigarettes and are cheating honest merchants and taxpayers who faithfully comply with the State's tax laws. Without complicit retailers, the peddlers of these goods will soon find themselves without a market and out of business. The Department of Taxation and Finance is honored to work with Staten Island District Attorney, Dan Donovan to see that these individuals are prosecuted to the fullest extent of the law."

The warrant was written by Assistant District Attorney (ADA) Matthew Blum of the Investigations Bureau, under the supervision of ADA Mario Mattei, Chief of the Investigations Bureau. The warrant was executed by detectives of the District Attorney’s Detective Squad, under the supervision of Lt. Frank DeBenedetto and Sgt. James Burke and investigators from the NYS Department of Taxation and Finance under the supervision of Deputy Commissioner Peter Farrell, Director of Tax Enforcement Thomas Stanton and Deputy Director of Tax Enforcement Paul Rossi.

The operation was executed Wednesday afternoon and resulted in the following arrests:

• Of Manhattan Bagels, 2504A Hylan Boulevard, arrested were Leonard Koci (25), and Devis “David”    Senka (21). Senka is alleged to have attempted to evade the taxes imposed by the City and State of    New York by purchasing 119 cartons of cigarettes from an unlicensed vendor with the knowledge that    the cigarettes contained counterfeit NYC/NYS tax stamps and that the appropriate taxes were not    paid. Koci is alleged to have acted together and in concert with Senka to have purchased 40 additional    cartons of cigarettes.
• Of Your Own Deli, Inc, 1978 Forest Avenue , arrested was Mohinder “Mike” Kumar (43). Kumar is    alleged to have purchased 465 cartons of cigarettes in violation of the aforementioned tax laws.
• Of Shop & Save Superette, 1172 Hylan Boulevard, arrested was Syed “Billy” Sohail (35). Sohail is    alleged to have purchased 202 cartons of cigarettes in violation of the aforementioned tax laws.
• Manjit”Sonny” Singh (35). Singh is alleged to have purchased 2340 cartons of cigarettes in violation of    the aforementioned tax laws. He is not known to be affiliated with any retailer
• Of A.S. Smoke Shop, 1406 Forest Avenue, arrested was Ananda “Andy” S. Goonasekera (43).    Goonasekera is alleged to have purchased 1417 cartons of cigarettes in violation of the aforementioned    tax laws. Cigarettes were also delivered on his behalf to a residence on Heberton Avenue and a Public    Storage unit on Goethals Road.
• Of Not Just Bagels, 1910 Hylan Boulverd , arrested was Diana S. Petrone (28). Petrone is alleged to    have purchased 287 cartons of cigarettes in violation of the aforementioned tax laws.
• Of Shield’s Deli, 4028 Hylan Boulevard , arrested was Thomas “Tommy” W. Falcone (49). Falcone is    alleged to have purchased 165 cartons of cigarettes in violation of the aforementioned tax laws. Falcone    is also alleged to have illegally possessed and sold a .38 caliber firearm and 30 rounds of .38 caliber    ammunition in exchange for an amount of cigarettes.
• Arrested within the confines of the NYC Department of Probation was Dennis Noel (45). Noel is    alleged to have purchased 2379 cartons of cigarettes in violation of the aforementioned tax laws for a    retailer located at 1805 Forest Avenue.

Each defendant, with the exception of Leonard Kolci faces two Class A misdemeanor (up to one year in prison for each count) and two Class E felony (up to four years in prison on each count) charges of tax evasion charges. Kolci faces a single Class A misdemeanor charge . Falcone is additionally charged with 3rd degree Criminal Sale of a Firearm, a Class D felony, and 4th degree Criminal Possession of a Weapon, a Class A misdemeanor. A Class D felony carries a top penalty of 7 years in prison.

The defendants will be arraigned Thursday afternoon in Stapleton Criminal Court.

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