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North Tyneside Gym Owner Jailed for £2m Tobacco Duty Fraud After HMRC Seizes 7.4m Cigarettes

HMRC traced the £2m tax fraud using storage records, CCTV evidence, encrypted messages linking Conlon to suppliers in Eastern Europe.

Overview

  • Neil Conlon, 64, was sentenced to two years and eight months at Newcastle Crown Court after admitting involvement in duty evasion from July 2018 to October 2020.
  • HMRC seized 7,432,600 non-UK duty paid cigarettes in July 2018 from three shipping containers at a Killingworth self‑storage site rented in his sister‑in‑law’s name, with CCTV showing Conlon moving boxes.
  • Officers later recovered £443,435 in cash hidden around Conlon’s Forest Hall home during an October 22, 2020 search.
  • Phone analysis showed Conlon used Signal to arrange shipments with a contact called “Henry” in Poland, who referred to him as “Boss,” with orders running to thousands of sleeves per shipment.
  • Prosecutors said Conlon later sought supply from “Alex Boxer,” charges against his wife were dropped, and HMRC warned illicit tobacco profits can fund serious organised crime.