They seized property and made arrests on tobacco related charges.
Thursday, August 06, 2009 at 6:22 p.m.
Read more: Local, Crime
BARAGA -- Five men were arraigned in U.S. District Court in Marquette Thursday for allegedly conspiring to defraud the State of Michigan out of nine million dollars in cigarette taxes over the past two years.
Those arrested include:
42-year-old Joseph Fish - Baraga
30-year-old Garrick Lamb - Baraga
50-year-old Jay Lewis - Atlantic Mine
48-year-old Joseph Ramano - Toivola
42-year-old John Varline - Baraga
The men are accused of running a contraband tobacco trafficking network and failing to pay taxes on 460,000 cartons of cigarettes. The state's cigarette tax is two dollars per pack.
Out of Joe Fish's Cigarette Shop and Superior Pizza in Baraga, authorities say the men acted as brokers, selling and shipping the cigarettes via the U.S. mail and pocketing the taxes instead of paying them to Michigan and other states.
Sports cars, recreational vehicles and boats, along with cash and long-guns were seized as part of the investigation.
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Baraga was abuzz Thursday with people talking about how the Alcohol, Tobacco, and Firearms, or ATF, agents came into town the past two days.
They seized property and made arrests on tobacco related charges.
Local authorities didn't know they were coming.
According to sources, the Baraga Police Chief was told at 8:00 a.m. Wednesday that arrest warrants were being served, but the contents of the warrants were sealed.
No one will confirm how many arrests were made.
However, the ATF spokesperson TV6 spoke with Thursday afternoon said the case, which they've been investigating for the past two years, is tobacco related.
Both businesses that ATF agents were spotted at are Superior Pizza and Joe Fish's Cigarette Shop on US-41. Signs seen at both businesses in the past, indicated they sold tobacco products. The sign for Joe Fish's Cigarette Shop wasn't up when TV6's Jeni Jewell visited there today. And people in town say it hasn't been open for awhile, although they couldn't pinpoint for how long.
We also understand that long-guns, cash, cigarettes and other items from both businesses and private homes, some outside of Baraga, were seized.
The ATF spokesperson also told us the next step is the indictment of the suspects which will take place at the federal courthouse in Marquette.