Minister of Finance, Mr. Pollard.

Yes, they have, Madam Speaker. Thank you.

Thank you. Supplementary, Mr. Patterson.

Madam Speaker, I would like to ask the Minister if they've kept up with previous years' levels, does that mean more people are smoking or does it mean the same number of people are continuing to pay the territorial tax? Thank you.

Minister of Finance, Mr. Pollard.

Madam Speaker, I wish I could say to the House that less people are smoking in the Northwest Territories because, as you know, the Minister of Health of the day was also saying that high prices tend to stop people from smoking as much. But, it would appear that smoking is at the same level in the Northwest Territories as it was before. I think you are seeing the same kind of trend in the rest of Canada; that smoking is not on the decline as it was some years ago. Thank you, Madam Speaker.

Thank you. Supplementary, Mr. Patterson.

Thank you. Minister of Finance, Mr. Pollard.

Madam Speaker, there have been illegal tobacco products detected in Iqaluit. I believe that matter will soon be before the courts. There was another incident in Norman Wells, where Alberta and ourselves discovered somebody who was bringing in tobacco, and that will go before the courts shortly. I'm not saying that there haven't been any incidents of smuggling in the Northwest Territories. There certainly have been two that we've been able to catch.

With regard to direct mail, we are discussing with Canada Post this week whether it is legal to put those flyers into mailboxes because they had told us they weren't going to do that. We will try to get that matter straightened away.

Two weeks ago at the Ministers of Finance meeting, the western Finance Ministers got together to discuss the issue of Manitoba who is sort of right on the front line, as Iqaluit is, with regard to being next to jurisdictions where there are lower tobacco taxes. Manitoba is not seeing any erosion of their market either, and they attribute that to the fact that most Canadians are honest people and they are not interested in smuggling. I think that is the case in the Northwest Territories as well, Madam Speaker.

Madam Speaker, I am aware of an incident in Iqaluit where there is a business person who believes they are seeing lower sales; whereas, our records indicate the same, if not greater, supplies going to that particular merchant. We are trying to work out that problem, to see where this discrepancy is occurring. Thank you, Madam Speaker.

Thank you. Final supplementary, Mr. Patterson.

Madam Speaker, I am going to send the Minister of Finance the flyer I got in my mailbox which gives a 1-800 number and offers sale prices on Canadian name brand

cigarettes. I would like to ask the Minister, if such information about such solicitations -- which makes no mention of paying territorial taxes -- is provided to the Minister, as I'm going to do today, does the Department of Finance have the capability of investigating these people and, in cooperation with whatever jurisdiction it is where this offer is coming from, preventing these people from selling directly to our residents without paying territorial tax? Will he act on such information? Thank you.

Minister of Finance, Mr. Pollard.

Thank you, Madam Speaker. Madam Speaker, I'm not sure what flyer Mr. Patterson has in his possession, but if it's the same one we had last week, then we're already acting upon it. But, I would like to get a copy of the flyer. I think it is on its way to me. Rest assured, the Department of Finance will do whatever it can to follow this issue up and to prevent it happening in the future, if we can. Thank you, Madam Speaker.

May I remind honourable Members that when they are going to discuss an issue that is not known to the House, that the normal procedure is to table documents and then question accordingly. Item 6, oral question. The honourable Member for Natilikmiot, Mr. Ningark.