Attorney General: Substitute of Alcohol a "Dishonest Ruse"

The practice of filling high-end alcohol bottles with low end product, then passing it off as a premium brand is a “slap in the face to the consumer,” said Attorney General Jeffrey S. Chiesa.

More than 1,000 bottles of alcohol were seized from 29 establishments statewide—including at the Brunswick Grove— during “Operation: Swill,” a collaborative effort between the Alcoholic Beverage Control (ABC) and the Division of Criminal Justice, Chiesa said on Thursday, May 23. 

According to Chiesa, the restaurants and bars would fill empty premium brand bottles with non-premium brand alcohol, and serve them to customers, who believed they were drinking the premium brands listed on the bottles.

“This alleged scheme is a dishonest ruse to increase profits, and it is a slap in the face to the consumer,” Chiesa said. “Consumers should have the peace of mind of knowing that they will get what they spent their hard-earned money on every single time – no exceptions.

“I believe Operation Swill will go a long way towards restoring that peace of mind and will also serve as a warning to anyone currently engaging in, or thinking about engaging in, this fraudulent practice.”

On Wednesday, 29 restaurants/bars throughout the state were served requests for records for serving non-premium brand alcohol in premium brand bottles.

The request for records is part of a year-long investigation of the alleged substitutions.

Over 100 state investigators participated in “Operation Swill,” the result of information provided to the ABC by customer complaints, confidential informants and technology known as the True Spirit Authenticator, used to test samples taken covertly from the establishments by ABC detectives.

The True Spirit Authenticator gives  a preliminary analysis of samples over a short period of time. Samples were also sent to the brand manufacturers, for laboratory testing.

Investigators visited 63 establishments in January and February, and covertly took 150 samples. The samples were taken from drinks that had no ice and were not mixed, Chiesa said.

Open bottles of the following brands were seized during Operation: Swill:

Vodka: Finlandia, Smirnoff, Absolut, Grey Goose, Ketel One

Gin: Tanqueray, Bombay Sapphire, Gordon’s

Rum: Bacardi Light, Bacardi Dark, Captain Morgan Spiced

Scotch: Johnny Walker Black, Dewar’s

Whiskey: Jack Daniel’s Black Label, Jim Beam, Knob Creek, Maker’s Mark

Tequila: Jose Cuervo Silver, Jose Cuervo Gold, Patron Silver

Of the 150 samples, 30 were not the brand they were advertised as. The alcohol will undergo more testing by the ABC and the manufacturers, Chiesa said.

Detectives have also taken statements from employees, Chiesa said. The establishments now have seven days to provide sales and invoice records concerning information about the 20 brands in question, Chiesa said. They must also provide information about employees working on the days the samples were taken, as well as the retail prices of the brands in question over the last nine months.

“The establishments raided yesterday by the Division of Alcoholic Beverage Control were targeted because we are taking this type of fraudulent business practice seriously,” Halfacre said. “This practice affects the entire alcoholic beverage regulatory system. Manufacturers, wholesalers, retailers and consumers are all victims of this scam.”

Some of the establishments visited by detectives had prior complaints levied against them, while others were chosen at random.

 “These cases can be difficult to prosecute because of the fleeting nature of the offense, and evidence of the offense is nearly impossible to collect after the fact,” ABC Director Michael Halfacre said. “The ABC made the determination that the best way to address and eradicate this problem was with a coordinated effort like ‘Operation Swill’.”

The penalty for serving a drink other than the one ordered ranges from a 5-day suspension for the first offense to a 15-day suspension for the third offense. Should further testing uncover further violations, further penalties could be levied, depending on the brands involved.

ABC regulations could also allow for a 30-day suspension for any illegal activity on the licensed premise and those locations could also face a 30-day suspension for not cooperating in the investigation.  

The Division of Alcoholic Beverage Control has a toll-free hotline for citizens to report illegal activity to ABC’s Investigative Unit.  Anyone with information on illegal activity is encouraged to call 1-866-713-8392.  All information received via the ABC hotline will remain confidential.

The following establishments were targeted in Operation Swill:

• Railroad Café, East Rutherford
• The Brick House, Wycoff
• Sunset Tavern, Burlington
• Graziano’s Ristorante, Chesilhurst
• Villari’s Lakeside, Gloucester Township
• Yesterdays, Marmora
• TGI Fridays, West Orange
• Italian Affair, Glassboro
• Bells Tavern, Lambertville
• TGI Fridays, East Windsor
• Brunswick Grove, East Brunswick
• TGI Fridays, Old Bridge
• TGI Fridays, North Brunswick
• TGI Fridays, Piscataway
• TGI Fridays, Freehold
• TGI Fridays, Marlboro
• TGI Fridays, Hazlet
• Murray’s, Dover
• TGI Fridays, East Hanover
• Sona Thirteen, Morristown
• Blackthorn Restaurant, Parsippany
• Ruby Tuesday, Bridgewater
• TGI Fridays, Linden
• Café 34, Matawan
• Applebee’s, Kearny
• Cucina Calandara, Fairfield
• TGI Fridays, Hamilton
• TGI Fridays, Springfield
• TGI Fridays, Clifton