Massachusetts man arrested for running contraband cigarette smuggling ring in Rhode Island, sold cigarettes from southern states that had lower cigarette taxes

PROVIDENCE, Rhode Island , November 9, 2011 () – A Massachusetts man has been arrested on charges of operating a contraband cigarette Smuggling ring in Rhode Island using cigarettes from southern states that have low cigarette taxes.

Federal court records show 35-year-old Mohamad Mohamad, of Cambridge, was arrested Tuesday. He is charged with possession of fraudulent state tax stamps, money laundering, distributing contraband cigarettes and other charges.

An affidavit says Mohamad traveled to North Carolina, South Carolina and Virginia to get cigarettes to sell in Rhode Island, where the tax is $3.46 per pack.

A magistrate judge on Wednesday ordered Mohamad to home detention while awaiting trial. He must pay $50,000 if he misses a court date.

Mohamad has not entered a plea yet. His defense attorney did not immediately return a message Wednesday seeking comment.

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