Sri Lanka’s Government Analyst is set to find out the similarity in paper used in printing counterfeit security tax stamps and the printing paper of fool proof liquor sticker with QR code for all liquor products, in the latest twist in the investigation into this racket. It has been recommended to terminate the agreement entered [...]

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Turmoil over fake liquor sticker issue, action soon

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Sri Lanka’s Government Analyst is set to find out the similarity in paper used in printing counterfeit security tax stamps and the printing paper of fool proof liquor sticker with QR code for all liquor products, in the latest twist in the investigation into this racket.

It has been recommended to terminate the agreement entered into with the Madras Security Printers Pvt Ltd if the Government Analyst‘s report is proved that the fake security tax stamp is printed in the same paper used by the Madras company, Finance Ministry sources confirmed.

The paper used by the company for the original security tax stamp and the material printing paper used in the fake security tax stamp is being verified by the Government Analyst to find out as to whether the same paper is used by racketeers.

The Commissioner General of Excise, by his letter 07.09.2023, requested the Criminal Investigation Department (CID) to investigate the locations and individuals involved in printing counterfeit security tax stamps and affixing counterfeit security tax stamps in liquor bottles.

If it is proved that Madras Security Printers Ltd breached the agreement, the company can be blacklisted and the authorities can also initiate legal proceedings against the company for allegedly allowing counterfeit security tax stamps to be printed by a third party, a senior ministry official disclosed.

According to the 5-year contract, the Indian company has to supply 384 million stickers per year and 32 million per month, but its supply has been irregular and their printing paper quality was low and it could easily be duplicated by anyone, he said.

The CID has taken over the investigation into alleged malpractices in the introduction of fool proof liquor with QR code for all liquor products without addressing practical issues and malpractices in the implementation of this scheme.

State Minister of Finance Ranjith Siyambalapitiya has already lodged a complaint with the CID regarding alleged malpractices concerning liquor stickers.

The Excise Department has seized hundreds of liquor bottles suspected to contain fake security stickers during island-wide raids conducted at liquor shops countrywide.

Moreover the department has launched a special app titled ‘Excise Tax Stamp Validator’, whereby consumers could verify the authenticity of tax stamps and report any discrepancies to the department, finance ministry sources confirmed.

The government has introduced the fool proof sticker scheme for all imported and local liquor products amidst industry protests and mounting allegations against the sticker printing deal for alcohol products.

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