(Jackson, Miss.) –The House and Senate Chambers of the Mississippi Legislature passed a bill that would authorize State Auditor Stacey Pickering and Tax Commissioner Ed Morgan to sell tobacco seized in an undisclosed warehouse found in Mississippi in April. The estimated retail value of the contraband tobacco is $20 million and the unpaid state taxes total over $5 million.

“I appreciate Governor Barbour including this issue on the call for the Special Session,” said State Auditor Pickering. “This is a unique opportunity for Mississippi to auction the seized cigarettes and return the money to the State’s general fund. As we face tough economic times, I am pleased that Commissioner Morgan and I can work together on behalf of the taxpayers and recover this money for the State.”

Governor Barbour signed the bill into law Tuesday, June 30 allowing Mississippi to offer the contraband tobacco for sale at a public auction to the highest bidder following formal advertisement of the sale. Current law requires the excise tax to be paid or an actual tobacco stamp be placed on each individual pack of cigarettes prior to being sold. The new legislation eliminates the stamp requirement for out of state vendor, and therefore, does not limit the vendors interested in purchasing the tobacco.

J. Ed Morgan, Commissioner of Revenue for the State of Mississippi, said "the passage of this new legislation enables the Tax Commission to proceed with the auction in the most cost-efficient, cost-effective manner ultimately saving the taxpayers money."

The law authorizes that the tobacco may be offered for sale by the Chairman of the State Tax Commission at public auction to the highest bidder after advertisement.

Elected as Mississippi’s State Auditor in 2007, Stacey Pickering (R) has recovered over $2.4 million in embezzled, misspent or misappropriated funds.  He is a seventh generation Mississippian from Jones County.  While serving as a State Senator from 2004-2007 he was recognized by the Mississippi Association of Realtors as Legislator of the Year and is credited for co-authorizing legislation allowing Mississippi to end law suit abuse. He was named by the American Legislative Exchange Council to the national policy task forces on Transportation and Homeland Security, and founded and was co-chairman of the  Miss. Legislative Sportsman’s Caucus.  Throughout his political career, Pickering has made tremendous strides in creating more accountability and transparency in government and continues to promote fiscal responsibility and the need for more efficiency and productivity in government.  For more information on Stacey Pickering, visit www.osa.ms.gov/auditors-bio.htm.