Okla. Admin. Code § 265:40-1-9

Current through Vol. 42, No. 4, November 1, 2024

Section 265:40-1-9 - Penalties

(a) Any manufacturer, wholesale dealer, agent, or other person or entity who knowingly sells or offers to sell cigarettes other than through retail sale in violation of OAC 265:40-1-1(a)(3) shall be subject to a civil penalty not to exceed $500.00 for each pack of such cigarettes sold or offered for sale, provided that the penalty against any such person or entity shall not exceed $100,000.00 for sales or offers to sell in any thirty (30) day period.

(b) Any retail dealer who knowingly sells or offers to sell cigarettes in violation of OAC 265:40-1-1(a)(3) shall be subject to a civil penalty not to exceed $500.00 for each pack of cigarettes sold or offered for sale, provided that the penalty against any retailer shall not exceed $25,000.00 for sales or offers to sell during any thirty (30) day period.

(c) In addition to any penalty prescribed by law, any corporation, partnership, sole proprietorship, limited partnership, or association engaged in the manufacture of cigarettes that knowingly makes a false certification pursuant to Section 326.4 of the Act shall be subject to a civil penalty of at least $75,000.00 and not to exceed $250,000.00 for each false certification.

(d) Upon discovery by OSFM, the Oklahoma Tax Commission, the Office of the Attorney General, or a law enforcement agency that any person offers, possesses for sale, or has made a sale of cigarettes in violation of the Act, OSFM, the Oklahoma Tax Commission, the Office of the Attorney General, or the law enforcement agency may seize those cigarettes possessed in violation of the Act.

(e) To enforce the provisions of the Act, the State Fire Marshal or Attorney General may bring an action on behalf of the people of this State to enjoin acts in violation of the Act and to recover civil penalties authorized under Section 326.6 of the Act and this Chapter.

(f) Civil penalties under this Section shall be assessed by administrative citation issued by the OSFM according to the following provisions:

(1) the civil penalties for OAC 265:40-1-9(a) shall be $100.00 per pack for the first violation, $250.00 per pack for the second violation and $500.00 per pack for each subsequent violation, all subject to the thirty (30) day period maximum per the Act;

(2) the civil penalties for OAC 265:40-1-9(b) shall be $50.00 per pack for the first violation, $150.00 per pack for the second violation, $350.00 per pack for the third offense and $500.00 per pack for each subsequent violation, all subject to the thirty (30) day period maximum per the Act; and

(3) the civil penalties for OAC 265:40-1-9(c) shall be $75,000.00 for making a knowingly false certification of any brand style. Any subsequent making of a knowingly false certification of the same brand will be subject to a civil penalty of $250,000.00.

(g) Administrative citations issued pursuant to this Section shall be scheduled for hearing before the State Fire Marshal within sixty (60) days of issuance pursuant to 75 O.S. § 309. Hearings before the State Fire Marshal under this Section shall comply with OAC Title 265, Chapter 1, Subchapter 5.

Okla. Admin. Code § 265:40-1-9

Added at 26 Ok Reg 522, eff 1-2-09 through 7-14-09 (emergency)¹; Added at 27 Ok Reg 834, eff 4-25-10

¹This emergency action expired without being superseded by a permanent action. Upon expiration of an emergency action enacting a new Section, the Section is no longer effective. Therefore, on 7-15-09 (after the 7-14-09 expiration of this emergency action), Section 265:40-1-9 was no longer effective, and remained as such until added by permanent action on 4-25-10. For the official text of the emergency rule that was in effect from 1-2-09 through 7-14-09, see 26 Ok Reg 522.