AGCO moves to suspend Kitchener convenience store Wholesale Smoke's lottery seller registration after prohibited products found, inspections obstructed

TORONTO, ON, July 13, 2026 /CNW/ - The Alcohol and Gaming Commission of Ontario (AGCO) has issued a Notice of Proposal (NOP) to suspend the lottery-seller registration of Wholesale Smoke, located at 809 Victoria Street North in Kitchener, for 30 days. The NOP alleges that AGCO inspectors identified prohibited nicotine and erectile dysfunction products at the retail location on more than one occasion and reported being obstructed during two separate compliance inspections.

Selling lottery tickets responsibly and with the integrity required in the public interest depends on a registration holder's ability to operate ethically and comply with all applicable rules and regulations. The sale of prohibited products--particularly after prior warnings--and the alleged obstruction of regulatory inspections raise serious concerns about whether the registration holder can meet that standard.

The AGCO determined that a suspension was necessary as a result of the licensee's continued failure to follow rules and heed inspectors' warnings. AGCO inspectors cited the licensee for selling prohibited nicotine products and prohibited erectile dysfunction products at the retail location during a December 10, 2025 and again in a subsequent inspection on March 4, 2026.

The AGCO has also cited Wholesale Smoke for obstructing inspectors during two separate compliance inspections. Cooperation with AGCO inspections is a key obligation of registrants and licensees because it allows the regulator to verify compliance, respond to risks and help ensure products are sold in an environment that protects consumers and maintains confidence in Ontario's regulated marketplace.

In addition to the proposed 30-day suspension, the AGCO is seeking to impose conditions on the registration to strengthen compliance oversight and help ensure prohibited products are not sold, advertised, stored or offered for sale at the business.

A registrant served with a Notice of Proposal has the right to appeal the Registrar's action within 15 days to the Licence Appeal Tribunal (LAT), an adjudicative body that is part of Tribunals Ontario and independent of the AGCO.

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"Lottery retailers are entrusted to operate in a way that is lawful, transparent and consistent with the public interest. The sale of prohibited products and any obstruction of inspectors undermine that trust. Where retailers fail to meet their obligations, the AGCO will take action to protect consumers and uphold confidence in Ontario's regulated marketplace."

-- Dr. Karin Schnarr, Registrar and Chief Executive Officer, AGCO

About the AGCO

The Alcohol and Gaming Commission of Ontario (AGCO) is a provincial regulatory agency that oversees the alcohol, cannabis, gaming and horse racing sectors in Ontario. The AGCO is committed to protecting the public interest through a modern, risk-based regulatory framework that emphasizes compliance, integrity and public safety.

Media contact
AGCO Media Relations
[email protected]

SOURCE Alcohol and Gaming Commission of Ontario